After posting lower sales in the third quarter, Bogs bounced back in the fourth quarter with sales jumping by 34 percent. The management said that some of this increase was driven by favorable weather, with early cold and snow this fall across a good part of the U.S. and Canada, which helped jumpstart the insulated-boot business at retail. It pointed out that the brand has been able to diversify its offerings and build on its classic boot foundation with more fashionable versatile products.
The brand's parent company, the Weyco Group, saw total revenues improve by 12 percent to $89.6 million. Revenues from the North American wholesale segment, which include wholesale sales and licensing revenues, advanced by 15 percent to $70.8 million. The Florsheim business recorded growth of 23 percent, driven by the introduction of more relaxed lifestyle products, allowing the brand to move well beyond the traditional dress and dress casual categories. Stacy Adams' sales were up by 6 percent, but Nunn Bush sales declined by 2 percent for the quarter, affected by the difficulties of the mid-tier department store segment, with two key accounts filing for bankruptcy this year. The segment's gross margin was up by 2.6 percentage points to 40.0 percent.
In the North American retail segment, which includes sales at the company's Florsheim retail stores and its internet business in the U.S., sales soared by 19 percent to $8.2 million, or by 21 percent on a comparable store basis, due mainly to increased sales on the company's websites.
Other net sales, which include the wholesale and retail revenues of Florsheim Australia and Florsheim Europe, declined by 11 percent to $10.6 million. The decrease was caused by a drop at Florsheim Australia of 14 percent in U.S. dollars and 8 percent in the local currency.
Overall, Weyco's net income rose by 19 percent to $9.6 million.
For the full year, revenues reached $298 million, an increase of 5 percent compared with 2017. Earnings from operations improved by 9 percent to $25.5 million, while the gross margin gained 1.2 percentage points to 40.2 percent. Net income jumped by 24 percent to $20.5 million.
Moving forward, the management said it will focus on growing its core brands, as well as improving the profitability of its international businesses.