Stacy Adams, Florsheim sales boost Weyco Group

Same-stores sales down in North America

Weyco Group Inc. headquarters
The Weyco Group Inc. headquarters in Glendale.

North American wholesale sales of the Stacy Adams and Florsheim brands helped boost revenue for Glendale-based Weyco Group Inc. during the quarter.

Weyco Group Inc. headquarters
The Weyco Group Inc. headquarters in Glendale.

The footwear designer and distributor reported net income of $1.3 million, up from $1 million during the same period last year. Earnings also improved from 9 to 12 cents per diluted share.

Revenue during the quarter was up 1 percent to $57.5 million. Thomas Florsheim Jr., Weyco chairman and chief executive officer, attributed the increase to new product launches for two wholesale brands. The Stacy Adams and Florsheim brands both saw North American wholesale sales increase by 10 percent during the quarter. Those gains offset a 13 percent decline for the Nunn Bush brand.

“After a difficult first quarter we are pleased with the turnaround in our business,” Florsheim Jr. said “While the environment remains challenging we were able to increase our share of the men’s, non-athletic footwear market.”

The North American retail market did not perform quite as well. Sales were up slightly, but same-store sales were down by 2 percent. The company opened a new outlet store in Florida last September, which helped to offset the closure of two other stores.

Florsheim Jr. said the brick-and-mortar environment continues to be challenged as consumers shift their purchases online, impacting the company’s retail operations and the Nunn Bush brand sold at mid-tier department stores.

He added online sales are also being impacted by increased price competition leading to lower conversion rates.

“We are careful to maintain prices in order to protect the image of our brands and have resisted the trend on the web to price aggressively,” Florsheim Jr. said.

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Arthur covers banking and finance and the economy at BizTimes while also leading special projects as an associate editor. He also spent five years covering manufacturing at BizTimes. He previously was managing editor at The Waukesha Freeman. He is a graduate of Carroll University and did graduate coursework at Marquette. A native of southeastern Wisconsin, he is also a nationally certified gymnastics judge and enjoys golf on the weekends.

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