Tandy Leather Factory, Inc. reported its financial results for the third fiscal quarter of 2026 on November 10, 2026. The company announced that revenues for the quarter reached $18.5 million, representing a 7.3% increase compared to the same period in 2025.
The company generated operating income of $0.6 million, which is an increase of 181.9% from the prior year. This improvement led to a net income of $0.5 million for the quarter, compared to a net loss of $1.4 million in 2025. On a per-share basis, the company reported basic and diluted net income of $0.06 per share, versus a net loss of $(0.17) per share in the prior year.
Gross margin for the third quarter of 2026 was reported at 62.4%, up from 58.9% in 2025. The company also reported an Adjusted EBITDA of $0.9 million for the quarter.
Regarding its balance sheet, Tandy Leather held $5.7 million in cash and cash equivalents as of September 30, 2026. This figure decreased from $16.1 million as of December 31, 2025. The company attributed the decrease to $6.0 million in dividends paid to shareholders in the first quarter of 2026, as well as approximately $4.4 million spent on inventory purchases, an investment in a new point-of-sale system, and capital expenditures for new stores in Waco, Texas, and Charleston, South Carolina, along with investments in existing stores.
The company operates 102 stores, including 93 in the United States, eight in Canada, and one in Spain.
