Tandy Leather Factory Reports Third Quarter 2026 Results
Key Highlights
- ➤Revenue $18.5 million, up 7.3% from 2025
- ➤Operating income $0.6 million, up 181.9% from 2025
- ➤Net income $0.5 million versus $1.4 million loss in 2025
- ➤Gross margin 62.4%, up from 58.9% in 2025
- ➤Cash $5.7 million after dividends and inventory-related investments
Expert Statements
Johan Hedberg, Chief Executive Officer of Tandy Leather Factory
“We are happy to have continued our growth from the first half of the year with another strong quarter. We saw growth in both retail and e-commerce channels and considerably increased our operating income. Following our new store opening in Waco, Texas in the second quarter, we continued our store expansion in the third quarter with a new opening in Charleston, South Carolina. During the third quarter, we continued to invest in our store fleet, our e-commerce channel and operations but our sales and margin growth more than offset these expenses, driving strong increases in profit from operations.”
BENBROOK, Texas, Nov. 10, 2026 (GLOBE NEWSWIRE) -- Tandy Leather Factory, Inc. (Nasdaq: TLF) today announced the Company’s financial results for the third fiscal quarter of 2026.
Highlights from third quarter 2026: * Revenues were $18.5 million, up 7.3% from 2025 * Generated operating income of $0.6 million, up 181.9% from 2025 * Net income of $0.5 million versus net loss of $1.4 million in 2025 * Gross margin of 62.4%, up from 58.9% in 2025 * Adjusted EBITDA of $0.9 million * Ended quarter with $5.7 million of cash and cash equivalents Tandy Leather Factory’s third quarter sales were $18.5 million in 2026, up from $17.3 million in 2025. Third quarter 2026 gross profit was $11.6 million, up from $10.2 million in 2025. The majority of these gains came from operational improvements. As of September 30, 2026, the Company held $5.7 million of cash and cash equivalents, down from $16.1 million as of December 31, 2025. This decrease reflects $6.0 million in dividends paid to shareholders in Q1 2026 and approximately $4.4 million related to an increase in inventory purchases to support sales, investment in a new POS system, and some capital investments in new stores in Waco, Texas, and Charleston, South Carolina as well as in existing stores. The Company had basic and diluted net income in the quarter of $0.06 per share, versus $(0.17) per share of basic and diluted net loss in the prior year.
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