Footwear company Weyco Group posted first quarter profits down more than 50% on last year, thanks to reduced revenues from the retail and wholesale segments.

Net sales dropped 4% to US$58.9m, while net profits were down to $2.5m from $5.1m the year before.

Earnings per diluted share were $0.22, compared to $0.43.

Weyco said wholesale and licensing revenues fell 10.3% to $46.4m, with sales of the Florsheim and Stacy Adams brands declining 18% and 15% respectively.

Nunn Bush sales were up 3%. Meanwhile, retail sales fell 20% to $5.2m, with same store sales down 9.2%.

Overseas sales were $7.3m, compared to $3.2m last year, thanks to $4.4m of revenues from new acquisition Florsheim Australia.

Operating profits were $3.3m, compared to $7.6m, thanks to lower wholesale revenues and lower gross margins.

"Our first quarter results reflect the challenges of the current retail environment," said Tom Florsheim Jr, Weyco chairman and CEO. "Our company continues to be in solid financial shape and we remain focused on building our brands for the long term. We believe we will be well-positioned when economic conditions improve."