US specialty retailer and wholesale distributor of products including leather, leatherworking tools, and leather dyes and finishes, Tandy Leather Factory, Inc. has reported improved financial results for the second quarter of 2006. Consolidated net income for the quarter ended June 30, was $1.13 million compared with $787,000 for the second quarter of 2005.

Total sales for the quarter ended June 30, increased 10% to $13.4 million from $12.1 million for the same quarter last year.

Consolidated sales for the six months ended June 30, reached $27.8 million, an increase of 12% over 2005 first half sales of $24.9 million. Consolidated net income for the first half was $2.5 million versus $1.8 million in the comparable period last year.

Sales in the Retail Leathercraft segment, which consists of the Tandy Leather stores, increased $1.1 million in the second quarter, a 27% improvement over last year's second quarter. Second quarter sales for the Wholesale Leathercraft segment—which consists of the Leather Factory wholesale centres and national account group—increased $83,000, or 1%.

For the first six months of 2006, sales in its retail segment increased $2.3 million, or 28%, over the first six months of 2005. Wholesale Leathercraft's sales were up $558,000, or 4%, over the same period in 2005.