Rocky Brands Accounting Finally Reflected The Tariff Impacts

Rocky Brands, Inc. delivered Q1 2026 results showing revenue growth but significant margin compression and a 75% decline in net income. Gross margin fell from ~41% to 36.5% as tariff-related benefits reversed, exposing underlying operational challenges and muted organic growth. Guidance for 2026 implies aggressive assumptions on margin recovery and 6% revenue growth, despite a less favorable tariff environment.