TANDY LEATHER FACTORY INC

For the period ended Sep 30, 2026. Filed Nov 10, 2026.

About this filing

A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.

Sep 30, 2026 · Filed Nov 10, 2026

TLF$2.08-1.9%Stored close · as of Nov 10, 2026

Extracted filing text, with the paragraph anchors used by the comparison.

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Contents

Item 1. Condensed Consolidated Financial Statements (Unaudited)

Item 1.	Condensed Consolidated Financial Statements

Condensed Consolidated Balance Sheets

(amounts in thousands, except share data and per share data)

	September 30,	December 31,
	2026	2025
(Unaudited)
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$5,727	$16,087
Accounts receivable-trade, net of allowance for credit losses of $51 at September 30, 2026 and December 31, 2025	383	425
Inventory	37,509	33,238
Prepaid expenses	913	721
Other current assets	108	111
Total current assets	44,640	50,582
Property and equipment, at cost	27,603	26,203
Less accumulated depreciation	(16,887)	(15,978)
Property and equipment, net	10,716	10,225
Operating lease assets	25,497	24,736
Deferred income taxes	347	380
Other assets	731	710
TOTAL ASSETS	$81,931	$86,633
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES:
Accounts payable-trade	$2,090	$2,154
Accrued expenses and other liabilities	3,375	3,704
Income taxes payable	92	428
Current portion of operating lease liabilities	3,960	3,512
Total current liabilities	9,517	9,798
Uncertain tax positions	227	227
Other non-current liabilities	148	149
Operating lease liabilities, non-current	24,522	23,868
COMMITMENTS AND CONTINGENCIES (Note 7)
STOCKHOLDERS’ EQUITY:
Common stock, $0.0024 par value; 15,000,000 shares authorized; 9,616,451 and 9,497,251 shares issued at September 30, 2026 and December 31, 2025, respectively; 8,192,075 and 8,072,875 shares outstanding at September 30, 2026 and December 31, 2025, respectively	22	22
Paid-in capital	3,766	3,651
Retained earnings	55,892	60,843
Treasury stock at cost (1,424,376 shares at September 30, 2026 and December 31, 2025)	(9,773)	(9,773)
Accumulated other comprehensive loss, net of tax	(2,390)	(2,152)
Total stockholders’ equity	47,517	52,591
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$81,931	$86,633

Condensed Consolidated Statements of Operations and Comprehensive Income (Loss)

(amounts in thousands, except share and per share data)

	Three Months Ended September 30,		Nine Months Ended September 30,
	2026	2025	2026	2025
Net sales	$18,522	$17,264	$56,218	$54,072
Cost of sales	6,969	7,094	20,978	22,612
Gross profit	11,553	10,170	35,240	31,460
Operating expenses	10,997	10,848	33,777	31,811
Income (loss) from operations	556	(678)	1,463	(351)
Other income (expense):
Interest income	26	98	201	461
Gain on disposal of headquarters		-		16,225
Other, net	(7)	(1,253)	(100)	(2,946)
Total other income (loss)	19	(1,155)	101	13,740
Income (loss) before income taxes	575	(1,833)	1,564	13,389
Income tax provision (benefit)	102	(481)	460	3,357
Net income (loss)	$473	$(1,352)	$1,104	$10,032
Foreign currency translation adjustments, net of tax	69	(235)	(238)	70
Comprehensive income (loss)	$542	$(1,587)	$866	$10,102
Net income (loss) per common share:
Basic	$0.06	$(0.17)	$0.14	$1.20
Diluted	$0.06	$(0.17)	$0.14	$1.18
Weighted average number of shares outstanding:
Basic	8,192,075	8,142,441	8,150,039	8,378,083
Diluted	8,192,524	8,142,441	8,150,039	8,502,787

Condensed Consolidated Statements of Cash Flows

(amounts in thousands)

	For the Nine Months Ended September 30,
	2026	2025
Cash flows from operating activities:
Net income	$1,104	$10,032
Adjustments to reconcile net income to net cash used in operating activities:
Depreciation and amortization	853	609
Operating lease asset amortization	4,061	3,915
Gain on disposal of assets	-	(16,225)
Stock-based compensation	253	338
Deferred income taxes	32	1,043
Changes in operating assets and liabilities:
Accounts receivable-trade	40	30
Inventory	(4,474)	(191)
Prepaid expenses	(192)	(186)
Other current assets	3	12
Accounts payable-trade	(63)	(815)
Accrued expenses and other liabilities	(325)	(897)
Income taxes, net	(335)	716
Other assets	(23)	(190)
Operating lease liabilities	(3,722)	(3,727)
Total adjustments	(3,892)	(15,568)
Net cash used in operating activities	(2,788)	(5,536)
Cash flows from investing activities:
Purchase of property and equipment	(1,351)	(6,590)
Proceeds from sales of Headquarter assets, net	-	24,897
Net cash provided by (used in) investing activities	(1,351)	18,307
Cash flows from financing activities:
Dividend Paid	(6,055)	(12,745)
Withholding of vested stock for employee tax	(137)	(1,470)
Net cash used in financing activities	(6,192)	(14,215)
Effect of exchange rate changes on cash and cash equivalents	(29)	191
Net decrease in cash and cash equivalents	(10,360)	(1,253)
Cash and cash equivalents, beginning of period	16,087	13,271
Cash and cash equivalents, end of period	$5,727	$12,018

Condensed Consolidated Statements of Stockholders’ Equity

(amounts in thousands, except share data)

	Number of Shares Common Stock Outstanding	Par Value	Paid-in Capital	Treasury Stock	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Total
Balance, December 31, 2025	8,072,875	$22	$3,651	$(9,773)	$60,843	$(2,152)	$52,591
Stock-based compensation expense	-	-	93	-	-	-	93
Vesting of restricted stock units	117,776	-	-	-	-	-	-
Repurchase of common stock	-	-	-	-	-	-	-
Net income	-	-	-	-	222	-	222
Dividend Paid	-	-	-	-	(6,055)	-	(6,055)
Withholding of vested stock for employee tax	(47,082)	-	(137)	-	-	-	(137)
Foreign currency translation adjustments, net of tax	-	-	-	-	-	(212)	(212)
Balance, March 31, 2026	8,143,569	$22	$3,607	$(9,773)	$55,010	$(2,364)	$46,502
Stock-based compensation expense	-	-	141	-	-	-	141
Vesting of restricted stock units	48,506	-	-	-	-	-	-
Repurchase of common stock	-	-	-	-	-	-	-
Net income	-	-	-	-	409	-	409
Dividend Paid	-	-	-	-	-	-	-
Withholding of vested stock for employee tax	-	-	-	-	-	-	-
Foreign currency translation adjustments, net of tax	-	-	-	-	-	(95)	(95)
Balance, June 30, 2026	8,192,075	22	3,748	(9,773)	55,419	(2,459)	46,957
Stock-based compensation expense	-	-	19	-	-	-	19
Vesting of restricted stock units	-	-	-	-	-	-	-
Repurchase of common stock	-	-	-	-	-	-	-
Net income	-	-	-	-	473	-	473
Dividend Paid	-	-	-	-	-	-	-
Withholding of vested stock for employee tax	-	-	-	-	-	-	-
Foreign currency translation adjustments, net of tax	-	-	-	-	-	69	69
Balance, September 30, 2026	8,192,075	22	3,766	(9,773)	55,892	(2,390)	47,517
Balance, December 31, 2024	8,496,581	$23	$4,529	$(9,773)	$64,486	$(2,112)	57,153
Stock-based compensation expense	-	-	93	-	-	-	93
Vesting of restricted stock units	15,973	-	-	-	-	-	-
Net income	-	-	-	-	11,583	-	11,583
Dividend Paid	-	-	-	-	(12,745)	-	(12,745)
Foreign currency translation adjustments, net of tax	-	-	-	-	-	(288)	(288)
Balance, March 31, 2025	8,512,554	$23	$4,622	$(9,773)	$63,324	$(2,400)	$55,796
Stock-based compensation expense	-	-	118	-	-	-	118
Vesting of restricted stock units	3,078	-	-	-	-	-	-
Repurchase of common stock	(17,233)	-	(176)	-	-	-	(176)
Net loss	-	-	-	-	(199)	-	(199)
Dividend Paid	-	-	-	-	-	-	-
Foreign currency translation adjustments, net of tax	-	-	-	-	-	593	593
Balance, June 30, 2025	8,498,399	23	4,564	(9,773)	63,125	(1,807)	56,132
Stock-based compensation expense	-	-	127	-	-	-	127
Vesting of restricted stock units	-	-	-	-	-	-	-
Repurchase of common stock	(430,987)	(1)	(1,293)	-	-	-	(1,294)
Net loss	-	-	-	-	(1,352)	-	(1,352)
Foreign currency translation adjustments, net of tax	-	-	-	-	-	(235)	(235)
Balance, September 30, 2025	8,067,412	22	3,398	(9,773)	61,773	(2,042)	53,378

ContentsView on SEC.gov

The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.