David Wright's questions to WEYCO GROUP (WEYS) leadership • Q2 2025
Question
David Wright of Henry Investment Trust inquired about the impact of inventory pre-purchasing on current levels and future purchasing plans amid tariff uncertainty. He also asked for an update on the company's supply chain diversification efforts away from China, particularly concerning operations in India.
Answer
Chairman & CEO Thomas W. Florsheim, Jr. explained that the excess pre-purchased inventory has been largely utilized, with pair counts returning to normal levels, though the dollar value may rise due to tariffs. He detailed the progress in diversifying sourcing, with China now at 60% of the open order book, down from 75%, and outlined the company's methodical approach to managing new production in Vietnam, Cambodia, and India to maintain quality and navigate evolving tariff situations.