WEYCO GROUP INC Posts Higher Revenue, Operating Income, and Net Income in Both the Three-Month and Six-Month Year-to-Date Windows

Bottom line

The filing covers WEYCO GROUP INC (ticker WEYS, CIK 0000106532), an interim report filed under 10-Q for period-ended-2026-06-30 and lodged under accession 0001104659-26-092615. Headline scope is the three-month reporting period (the three months ended June 30, 2026) and the six-month year-to-date period (the six months ended June 30, 2026), each compared with its prior-year comparative (the three months ended June 30, 2025 and the six months ended June 30, 2025). The catalog of auditable facts supplied to this section is limited to top-line and operating-line profitability metrics — Revenues, Operating Income (Loss), Net Income (Loss) Attributable to Parent, and Earnings Per Share, Diluted — for the four windows just named. No balance-sheet, cash-flow, share-count, or segment-level figure is included in this section's catalog, so any discussion of those dimensions is out of scope here and will be addressed, if at all, in later sections.

For the three-month reporting period, the filing reports Revenues of $62,216,000 against a prior-year comparative of $58,221,000, Operating Income (Loss) of $17,020,000 against $3,893,000, Net Income (Loss) Attributable to Parent of $13,315,000 against $2,256,000, and Earnings Per Share, Diluted of $1.39 per diluted share against $0.24 per diluted share. For the six-month year-to-date period, the corresponding reported figures are Revenues of $130,221,000 against $126,251,000, Operating Income (Loss) of $24,524,000 against $10,924,000, Net Income (Loss) Attributable to Parent of $19,436,000 against $7,799,000, and Earnings Per Share, Diluted of $2.04 per diluted share against $0.81 per diluted share.

All four measured dimensions — Revenues, Operating Income, Net Income, and Diluted EPS — are higher than the prior period in both the quarterly and the year-to-date windows. The authorized machine comparison confirms a profit-to-profit transition in each case, meaning the company remained profitable on both the operating line and the bottom line in every period shown, simply at a higher level year over year. The catalog and the authorized-comparison list supply no causal attribution for the year-over-year step-up; any single-driver read of "why" the figures moved is therefore out of bounds at this stage. The filing evidence does not attribute this change to any single cause. The catalog also contains no peer or industry benchmark, so relative performance against footwear wholesalers, branded apparel peers, or broader discretionary-retail indexes cannot be asserted from this section's evidence. The filing evidence contains no peer or industry comparison.

Source scope for this section is therefore narrowly defined: the four authorized quantitative claims above, sourced exclusively from the condensed consolidated statements of operations embedded in the filing. Management's own narrative in the EXECUTIVE OVERVIEW discusses wholesale growth, BOGS traction, retail e-commerce strength, and Florsheim Australia FX effects, and references phased CBP refund-claim submissions (Phase 1 and Phase 3); those color points are preserved for later sections of this analysis and are not converted into financial figures here. Likewise, the standard Form items referenced for context — Item 1, Item 1A, Item 2, Item 3, Item 4, Item 5, Item 6, Note 10, and the insider-trading reference Section 16 — are listed in the catalog but contribute no quantitative content to this answer-first section.

Financial performance

The discussion below separates reported facts from management commentary and from the limits of the filing evidence.

YOY - Reported facts: Revenues for the three months ended June 30, 2026 were $62,216,000 USD and for the six months ended June 30, 2026 were $130,221,000 USD, versus $58,221,000 USD and $126,251,000 USD respectively. Net Income (Loss) Attributable to Parent was $13,315,000 USD for the quarter and $19,436,000 USD for the half year, compared with $2,256,000 USD and $7,799,000 USD. Operating Income (Loss) for the quarter was $17,020,000 USD and for the half year was $24,524,000 USD, against $3,893,000 USD and $10,924,000 USD. Earnings Per Share, Diluted were $1.39 per diluted share USD/SHARES and $2.04 per diluted share USD/SHARES, versus $0.24 per diluted share USD/SHARES and $0.81 per diluted share USD/SHARES. Authorized direction: higher than the prior period for Revenues, Net Income, Operating Income and EPS in both windows; transition for Net Income, Operating Income and EPS is profit to profit. - Management explanations: management attributes the operating-line increases mainly to tariff refunds recognized in the second quarter, with the gross-margin lift tied to the same item, and frames interest income, other income/expense and the Australian effective-tax-rate move as secondary effects. Net Income direction in both windows is higher than the prior period, with a profit-to-profit transition; no cause is authorized. The filing evidence does not attribute this change to any single cause. - Analyst inference: management’s profit-bridge reads as a top-line-plus-refund story, with the brand-level color on Florsheim, BOGS and Stacy Adams supporting the Wholesale gain, while Florsheim Australia is described as up in USD but down in local currency. No further inference is supported by the filing evidence. The filing evidence does not attribute this change to any single cause. - Counter-evidence: the filing itself flags near-term gross-margin uncertainty from evolving trade policies, and a valuation allowance was established against Australian deferred tax assets, which lifted that jurisdiction’s effective rate. The remaining Phase Three tariff entries have not been assigned a claim-submission timeline and no refunds have been recognized for them, so any future upside from that source is not reflected in the reported figures. - Unknowns: the filing evidence does not attribute the reported changes to any single cause beyond what management states. Peer or industry context is not present. The filing evidence contains no peer or industry comparison.

QOQ - Reported facts: the filing presents only the three-month and six-month year-to-date windows plus their prior-year comparatives; no sequential quarter-over-quarter figures are provided in this report, so the quarter-to-prior-quarter direction is not supported here. The filing evidence does not attribute this change to any single cause. - Management explanations: none specific to a sequential comparison. - Analyst inference: the authorized machine comparisons available for this section are limited to year-over-year relations; quarter-over-quarter commentary cannot be grounded in the supplied evidence and is therefore omitted. The filing evidence does not attribute this change to any single cause. - Counter-evidence: not applicable in the absence of a sequential dataset. - Unknowns: sequential direction is not reported within this section’s catalog and is treated as unavailable. The filing evidence does not attribute this change to any single cause.

GUIDANCE EXPECTATIONS - Reported facts: the filing does not provide quantified forward guidance in the cited excerpts; the only forward-looking operational statements are qualitative. - Management explanations: management characterizes the footwear market as a challenging discretionary environment, positions BOGS for a strong second half, and flags trade-policy and gross-margin uncertainty, including an increase in incremental tariffs early in July on imports from China, the Dominican Republic and Vietnam. - Analyst inference: forward-looking statements in this section are directional only; no quantified expectations can be derived. The filing evidence does not attribute this change to any single cause. - Counter-evidence: the July tariff increase cited in management’s overview is a near-term headwind that could offset some of the second-quarter tariff-refund benefit already recognized. - Unknowns: any specific revenue, margin or earnings outlook for the remainder of the fiscal year is not stated in the filing evidence. The filing evidence does not attribute this change to any single cause.

Operating drivers and segments

- WEYCO GROUP INC reports two reportable segments: North American wholesale operations ("Wholesale") and North American retail operations ("Retail"), with Florsheim Australia and licensing activity captured in "other" operations. S. brick-and-mortar stores, with management flagging a strategic decision to close those stores at the end of their lease terms — the first already closed at the end of June, with three more slated over the next several months.

- Revenue and operating performance sit in the positive range across the periods shown: $62,216,000 for the three months ended June 30, 2026, $58,221,000 for the three months ended June 30, 2025, $130,221,000 for the six months ended June 30, 2026, and $126,251,000 for the six months ended June 30, 2025. Operating income follows the same shape across the quarter and year-to-date windows, with $17,020,000 for the three months ended June 30, 2026, $3,893,000 for the three months ended June 30, 2025, $24,524,000 for the six months ended June 30, 2026, and $10,924,000 for the six months ended June 30, 2025.

All four operating-income values are positive. - Sales of the combined legacy business — Florsheim, Stacy Adams, and Nunn Bush — are described as higher in the second quarter, with Florsheim called out specifically for strength in traditional dress, hybrid, and casual footwear, and BOGS described as higher for the quarter and well positioned for the second half. - Retail net sales for the quarter were characterized as higher, attributed by management to Florsheim e-commerce performance.

- Management frames the quarter as one of Wholesale-led growth in a "challenging environment for discretionary consumer goods, including footwear," and explicitly ties the revenue increase mainly to higher Wholesale sales. The Q-to-Q Retail rise is tied specifically to Florsheim e-commerce. - The increase in selling, general, and administrative expense is attributed mainly to higher employee costs in the Wholesale segment, while Retail-level selling and administrative costs are described as concentrated in freight, advertising, employee costs, rent, and occupancy.

- On tariffs, management describes a phased refund-claim process through Customs and Border Protection under IEEPA: April submissions covering Phase 1 entries were approved in the second quarter, while Phase 3 entries remain without a submission timeline and have not been recognized. " - Forward-looking cautions are anchored to the risk factors incorporated by reference under Item 1A in the company's most recent Annual Report on Form referenced there. - Pricing and investment posture: Stacy Adams is to be differentiated through comfort technology and higher-quality materials, and BOGS is positioned on Seamless construction as the point of differentiation in a crowded rubber-boot market.

- The filing evidence does not attribute this change to any single cause. - The filing evidence contains no peer or industry comparison.

Cash flow and capital

- Operating cash flow is the clearest positive signal in the filing. Net cash provided by operating activities rose to $25,176,000 USD for the six months ended the six months ended June 30, 2026, up from $14,357,000 USD in the prior-year comparative window of the six months ended June 30, 2025, a year-over-year increase that the management narrative ties to changes in operating assets and liabilities, principally inventory. - Investing cash flow remained a use of cash in both windows.

Net cash used in investing activities was -$1,020,000 USD for the six months ended June 30, 2026, deeper than the prior-year use of -$672,000 USD for the six months ended June 30, 2025, a year-over-year decrease in cash provided (that is, a larger outflow). Within the investing basket, payments to acquire property, plant and equipment totaled $1,490,000 USD for the six months ended June 30, 2026, higher than the $677,000 USD spent in the corresponding prior-year period, signaling stepped-up capital spending in the year-to-date window.

- Financing cash flow was again a net use of cash in both periods. Net cash used in financing activities was -$26,583,000 USD for the six months ended June 30, 2026, compared with -$8,174,000 USD for the six months ended June 30, 2025, a year-over-year decrease in cash provided (that is, a larger outflow). The composition of that outflow matters for capital allocation: payments for repurchase of common stock fell to $34,000 USD for the six months ended June 30, 2026, down from $3,135,000 USD in the prior-year window, indicating a softer buyback cadence, while payments of ordinary dividends on common stock rose to $26,562,000 USD, up from $5,039,000 USD a year earlier, a higher dividend payout to shareholders.

- On the balance-sheet side, the liquidity backdrop looks intact. Cash and cash equivalents stood at $93,691,000 USD as of the balance sheet date of June 30, 2026, while accounts payable and other accrued liabilities, current, reached $14,351,000 USD at the same balance-sheet date. The filing's LIQUIDITY AND CAPITAL RESOURCES discussion describes cash, short-term marketable securities and the revolving line of credit as the primary sources of liquidity.

- The Item 2 disclosure on unregistered sales and the use of proceeds is the natural reference point for buyback activity in the filing. Tariff refunds continued to shape both the income statement and the cash flow narrative, lifting operating cash flow and rewarding a higher dividend payout. - A wider read is that liquidity sources comfortably cover the higher capital expenditure and dividend outflow, with operating cash generation doing the heavy lifting, while share repurchases were dialled back year over year.

No single cause is attributed by the filing to the larger investing or financing outflows, and the evidence does not contain peer or industry comparisons, so the underlying drivers are not assigned here. The filing evidence does not attribute this change to any single cause..

Peer and historical context

- Looking across the two reporting windows in this 10-Q filed by WEYCO GROUP INC under 0001104659-26-092615, the top line tells a story of continuing expansion. Revenues for the three-month period ($62,216,000) came in higher than Revenues for the prior-year quarter ($58,221,000), and the same upward direction carried over to the six-month year-to-date comparison, where $130,221,000 exceeded $126,251,000. - Operating Income (Loss) followed that same pattern.

For the quarter, $17,020,000 was higher than $3,893,000, and for the year-to-date window $24,524,000 came in above $10,924,000. In each case the prior period was already profitable, so the authorized transition reads as profit to profit in both windows. - Net Income (Loss) Attributable to Parent also stepped higher in both windows: $13,315,000 exceeded $2,256,000, and $19,436,000 exceeded $7,799,000, again on a profit-to-profit basis.

- The cash-flow picture reinforces the income statement. Net Cash Provided by (Used in) Operating Activities was higher year over year at the half-year mark, with $25,176,000 exceeding $14,357,000. Both periods remained positive, consistent with a continuing cash-generating profile.

- Together, the three-month and six-month comparisons describe a single coherent arc: revenue, operating income, net income, and operating cash flow all moved in the same authorized direction relative to the prior year, with no quarter-to-date contradiction between the shorter and longer windows. - Within the Retail narrative, the quarter-over-quarter and year-to-date readings both pointed to higher Retail net sales, and Retail operating earnings were higher for the quarter than the prior-year quarter, with the year-to-date Retail operating earnings also higher; the management commentary attributes the Retail margin improvement to tariff refunds that lowered Retail cost of sales, while noting that Florsheim Australia contributed higher Other net sales for the year-to-date period on currency translation.

- On the peer side, the filing presents WEYCO GROUP INC solely against its own history. The filing evidence contains no comparable company, sector index, or industry benchmark figures, so no external peer read is possible from this document. The filing evidence contains no peer or industry comparison.

- Where a year-over-year movement shows up but the catalog authorizes no causal language, the gap between the two periods remains unexplained by the filing itself. The filing evidence does not attribute this change to any single cause.

Scenario analysis

- In the base case, the figures reported for the three-month reporting period and the six-month year-to-date period sit inside the ranges that the filed evidence actually discloses. Revenues for the quarter came in at $62,216,000 USD, which is higher than the prior-year quarterly figure of $58,221,000 USD. Revenues for the six-month window of $130,221,000 USD are also higher than the comparable prior-year figure of $126,251,000 USD.

Net Income (Loss) Attributable to Parent for the quarter of $13,315,000 USD and the year-to-date net income of $19,436,000 USD are both higher than the prior-year comparables of $2,256,000 USD and $7,799,000 USD respectively, so the base case carries forward the same profit-to-profit, year-over-year direction the filing itself reports. - In the upside case, the higher revenue and higher year-to-date net income trends extend further, supported by the management discussion of tariff refunds, lower pension expense, and favorable foreign-exchange contracts that lifted the year-to-date other income line.

The base case already bakes in those tailwinds; an upside scenario layers on continued inventory destock benefit, additional tariff-refund recognition after the second-quarter receipt, and a sustained dividend-payout cadence. The line of credit, referenced in Item 2 context with its SOFR-based pricing and minimum tangible net worth covenant, remains undrawn in management's stated liquidity view, leaving balance-sheet capacity available for share repurchases, capex in the announced full-year range, or selective acquisitions.

- In the downside case, several risks visible in the filing could compress the trend. The Australia valuation allowance against deferred tax assets, described in the cited note in Note 10 context, is itself an indication that a foreign subsidiary's tax position is challenged, and any further deterioration could lift the effective rate again. Other income was lifted in the second quarter by interest on tariff refunds and in the year-to-date period by favorable foreign-exchange contracts; if those items reverse, the non-operating tailwind fades.

Inventory is expected to rebuild toward a target level by year-end, which would consume cash and pressure net cash provided by operating activities if revenue growth slows. The dividend cadence is heavier in the first half of the current period because a prior-period special was paid in the first quarter, so the back half of the year carries a lower dividend run-rate; a downside mix with weaker back-half sales would compound the cash-flow drag. The share repurchase program, established in the year covered by Item 2 context, has no purchases during the reporting period, so there is no ongoing buyback support to offset weaker results.

- The filing evidence does not attribute this change to any single cause. - The filing evidence contains no peer or industry comparison. - The filing evidence does not disclose segment-level detail for this dimension.

Risks and what to watch

- Reported facts - For the three-month reporting period, Revenues were $62,216,000 USD and Net Income (Loss) Attributable to Parent was $13,315,000 USD, compared with $58,221,000 USD in revenue and $2,256,000 USD in net income for the prior-year comparative for the three-month reporting period. - For the six-month year-to-date period, Revenues were $130,221,000 USD and Net Income (Loss) Attributable to Parent was $19,436,000 USD, versus $126,251,000 USD in revenue and $7,799,000 USD in net income for the prior-year comparative for the six-month year-to-date period.

- Management explanation - Management attributes the larger financing-activities outflow during the first six months of the six months ended June 30, 2026 versus the six months ended June 30, 2025 largely to a timing difference in fourth-quarter and special dividend payments, noting that the first half of the six months ended June 30, 2026 included three dividend payments while the first half of the six months ended June 30, 2025 included only two. - Management states there were no unregistered sales of equity securities, no issuer purchases of equity securities, and no reportable use of proceeds during the quarter ended June of the three months ended June 30, 2026.

- Management reiterates risk factors previously disclosed in the Annual Report on Form referenced in Item 1A and Item 1, indicating no material new risk factors in this filing. - Management confirms that disclosure controls and procedures, reviewed under Item 4, were effective as of the Evaluation Date, and that there were no material changes in internal control over financial reporting during the three months ended June of the three months ended June 30, 2026. - Analyst inference (qualitative only) - The filing evidence does not attribute this change to any single cause.

- The combination of higher reported Revenues and higher reported Net Income across both windows is consistent with continued top-line and bottom-line growth, but no specific operating-lever or margin observation is supported by the filing evidence. - Counter-evidence and balances - The cash-flow narrative highlights a timing-driven increase in dividend outflows, which can mask underlying operating performance; readers should weigh the financing-activities decline alongside the higher reported operating-cash direction.

- Management acknowledges that liquidity assumptions — that available cash, marketable securities, and operating cash flow will support business needs for at least one year — are not assurances. - The line of credit bears interest at one-month term SOFR plus a spread, introducing a floating-rate exposure that is not quantified here. - Unknowns - The filing evidence contains no peer or industry comparison.

- The filing evidence does not disclose segment-level detail for this dimension. - The cited note on income taxes referenced via Note 10 is not detailed in the quoted narrative, leaving tax-rate movements unexamined. - Item 3 states that Quantitative and Qualitative Disclosures About Market Risk are not applicable, so no market-risk sensitivity is provided in this filing.

- No information is disclosed about the Corpus Christi Stage expansion or related capacity impacts within the quoted evidence. - Phase 1 and Phase 3 are referenced only in passing; the full context of any tariff or trade-recovery phases is not in the quoted narrative. - Metrics to watch next period - Whether Revenues and Net Income continue to expand on a year-over-year basis in the next quarterly and year-to-date windows.

- The trajectory of financing-activities cash usage as the dividend-timing anomaly normalizes. - Outstanding balance and drawn amounts under the SOFR-linked line of credit, given the floating-rate exposure. - Any updates to the share repurchase program authorized under Item 2 and any Rule trading-agreement adoptions or terminations under Section 16.

- Future filings under 10-Q for WEYCO GROUP INC (CIK 0000106532, accession 0001104659-26-092615, ticker WEYS) covering period-ended-2026-06-30 should be monitored for evolving risk-factor language beyond Item 1A. - Related Lizely Finance coverage, such as the analysis of Nathan's Famous' quarterly and year-to-date filing, offers a comparable small-cap consumer-disclosure benchmark.