Weyco Reports First Quarter Sales And Earnings

About this update from Weyco Group, Inc.

[{"type":"text","content":"MILWAUKEE, May 5, 2020 /PRNewswire/ -- Weyco Group, Inc. (NASDAQ: WEYS) (the \"Company\") today announced financial results for the quarter ended March 31, 2020.\nThe Company's operations and business experienced significant disruptions beginning in the second half of March 2020 due to the unprecedented conditions surrounding the COVID-19 pandemic. Government-mandated shutdowns of non-essential businesses resulted in the majority of retailers temporarily closing their stores, which significantly affected the Company's wholesale business. The Company's domestic retail locations closed on March 18, 2020, and remain closed due to government orders. Overseas, the Company's wholesale and retail businesses in Australia, Asia, South Africa, and Europe were similarly impacted by retail store closures and lockdowns requiring consumers to stay at home. These closings resulted in lower first quarter sales and earnings across all of the Company's businesses, and the Company expects the shutdowns and global economic slowdown caused by the pandemic to continue to adversely impact its businesses during 2020. \nNet sales for the first quarter of 2020 were $63.6 million, down 14% compared to first quarter 2019 net sales of $74.1 million. Earnings from operations were $1.3 million in the first quarter of 2020 compared to $5.1 million in the first quarter of 2019. Net earnings were $1.2 million in the first quarter of 2020 and $4.0 million in last year's first quarter. Diluted earnings per share were $0.12 per share in the first quarter of 2020 and $0.40 per share in the first quarter of 2019. \nNet sales in the North American wholesale segment, which include North American wholesale sales and licensing revenues, were $52.7 million in the first quarter of 2020, down 11% compared to $59.5 million in the first quarter of 2019. Within the wholesale segment, Stacy Adams, BOGS, and Nunn Bush first quarter net sales declined 23%, 22%, and 8%, respectively, with sales down in most major categories as a result of the retail shutdowns caused by the COVID-19 pandemic. These decreases were partially offset by a 4% increase in net sales of the Florsheim brand. Florsheim's increase stems from strong sales in January and February before the retail shutdowns went into effect. Licensing revenues were $461,000 in the first quarter of 2020 and $707,000 in last year...

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