The severe EPS miss driven by tariff costs will likely pressure the stock near-term. However, management expects gross margins to recover to the low-40% range in H2 as tariff impacts ease. Watch Q2 results for evidence of margin improvement.
Price Chart
Executive Summary
Rocky Brands reported Q1 2026 net sales up 9.1% to $124.4M, but net income plunged 74.5% to $1.3M ($0.17 EPS) vs $0.66 a year ago, missing consensus EPS of $0.27 by 37%. Gross margin contracted 470bps to 36.5% due to $7.1M in incremental tariffs, overwhelming top-line growth.
Key Financial Metrics
Key Facts
- Net sales increased 9.1% to $124.4M (beat consensus of $122.4M)
- Net income decreased 74.5% to $1.3M vs $4.9M YoY
- GAAP EPS $0.17 vs $0.66 YoY, consensus was $0.27
- Gross margin fell 470bps to 36.5% from 41.2%
- Tariff impact of approximately $7.1M in Q1 2026 vs year-ago quarter
- Total debt decreased 5.0% YoY to $122.2M
Financial Impact
EPS miss of $0.10 (37% below consensus); operating income down 58.2% YoY
Risk Factors
- Tariff costs may persist or increase, further compressing margins
- Consumer demand could slow, especially in wholesale channel
- Inventory levels remain elevated at $172.6M
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 5 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001437749-26-013665 |
| Document: 0001437749-26-013665-index-headers.html | 0001437749-26-013665 |
| Document: 0001437749-26-013665-index.html | 0001437749-26-013665 |
| Document: 0001437749-26-013665.txt | 0001437749-26-013665 |
| 8-K Data (Synthetic) | 0001437749-26-013665 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Aug 7, 2026 11w ago | Insider Cluster | $49.23 $48.62 | ▲ +1.24% | ▲ +1.21% | $45.72 (+7.13%) |
Aug 7, 2026 11w ago | Insider Cluster | $49.23 $48.62 | ▲ +1.24% | ▲ +1.21% | $45.72 (+7.13%) |
Aug 5, 2026 11w ago | Insider Cluster | $49.52 $49.04 | ▼ −0.97% | ▼ −1.58% | $45.72 (−7.68%) |
Aug 4, 2026 11w ago | Insider Cluster | $49.76 $49.52 | ▼ −0.48% | ▼ −0.32% | $45.72 (−8.12%) |
Aug 3, 2026 12w ago | Insider Cluster | $50.47 $49.95 | ▼ −1.03% | ▼ −0.83% | $45.72 (−9.41%) |
Aug 3, 2026 12w ago | Insider Cluster | $50.47 $49.95 | ▼ −1.03% | ▼ −0.83% | $45.72 (−9.41%) |
May 18, 2026 23w ago | 8-K | $34.84 $35.48 | ▲ +1.86% | ▲ +0.82% | $45.72 (+31.24%) |
Apr 28, 2026 25w ago | 8-K | $36.05 $36.51 | ▼ −1.27% | ▼ −0.25% | $45.72 (−26.82%) |
Feb 24, 2026 34w ago | 8-K | $45.84 $47.59 | ▲ +3.80% | ▲ +4.35% | $45.72 (−0.27%) |
US Market Status
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