Recently Issued Accounting Pronouncements
Rocky Brands, Inc. is currently evaluating the impact of certain ASUs on its Unaudited Condensed Consolidated Financial Statements:
| Standard | | Description | | Anticipated Adoption Periods | | Effect on Consolidated Financial Statements |
| ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses | | This pronouncement requires disclosure of disaggregated information about certain income statement expense line items within the notes to the consolidated financial statements. | | Q4 2027 (fiscal year) Q1 2028 (interim period) | | The Company is still assessing the impact of the new accounting standard on its consolidated financial statements. |
| ASU 2025-11, Interim Reporting (Topic 270) Narrow-Scope Improvements | | This pronouncement improves the navigability of the required interim disclosure and provides clarification around the principle that requires entities to disclose events since the end of the last annual reporting period that have a material impact on the entity. | | Q4 2027 (fiscal year) Q1 2028 (interim period) | | The Company is still assessing the impact of the new accounting standard on its consolidated financial statements. |
| ASU 2025-06, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software | | This pronouncement modernizes the accounting for internal-use software costs by removing all references to prescriptive and sequential software development stages. The new standard requires entities to consider whether significant development uncertainty has been resolved before starting to capitalize software costs and enhances disclosure requirements. | | Q4 2028 (fiscal year) Q1 2029 (interim period) | | The Company is still assessing the impact of the new accounting standard on its consolidated financial statements. |
Accounting Standards Adopted in the Prior Year
| Standard | | Description | | Effect on Consolidated Financial Statements |
| ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures | | This pronouncement requires expanded income tax disclosures primarily related to an entity's effective tax rate reconciliation and income taxes paid. | | The Company has included all required disclosures within its Form 10-K for the year ended December 31, 2025. See Note 10 - Taxes for further information on income taxes. |
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