Tandy Leather Factory reported second quarter 2025 sales of $17.8 million, an increase from $17.3 million in the same period last year. Gross profit rose to $10.6 million from $10 million a year earlier.
The company ended the quarter with $16.4 million in cash and cash equivalents, up from $13.3 million in 2024.
The increase was mainly due to the sale of its corporate headquarters in January, although it paid a special dividend of about $12.7 million in the first quarter.
Inventory stood at $36.2 million, slightly higher than $35.6 million at the end of 2024.
“We were pleased to have grown our sales and margin dollars in the second quarter, despite the challenging environment and economic uncertainty. We hope to continue our sales momentum through the third quarter, while noting that newly-announced tariffs which did not meaningfully affect our product costs in the second quarter may impact our sales and profits going forward.”
Johan Hedberg, Chief Executive Officer, Tandy Leather Factory
Gross margins improved to 59.5% from 58% last year. Operating expenses increased to $10.5 million, up 5.5% from 2024, mainly because the company is now leasing its headquarters and distribution center instead of owning them.
