Dec. 4, 2014, 4:55 PM
- Smith & Wesson (NASDAQ:SWHC) resumes trading after a halt, -3.9% AH after reporting better than expected FQ2 earnings and revenues but issuing downside guidance for FQ3 and FY 2015, as weaker demand for firearms continues to hurt the bottom line.
- For FQ3, SWHC expects EPS of $0.09-$0.11 vs. $0.20 analyst consensus estimate, and sees Q3 revenues of $113M-$118M vs. $129M consensus.
- For FY 2015, SWHC lowers EPS guidance to $0.66-$0.70 from prior $0.89-$0.94 vs. $0.89 consensus, and reduces its revenue outlook to $504M-$508M from prior $530M-$540M vs. $531M consensus.
- SWHC blames the 22% Y/Y decline in FQ2 revenues on lower consumer demand and competitors' excess inventory at distributor and retailer locations, which followed an earlier surge period when consumers purchased firearms in anticipation of possible restrictive regulations.
Aug. 27, 2014, 12:46 PM
Aug. 27, 2014, 9:12 AM
Aug. 27, 2014, 8:05 AM
- Smith & Wesson (NASDAQ:SWHC) is down -13.5% after the company slashed its full-year sales forecast for the second time in two months.
- The company is now expecting full-year sales to be in the range of $530M-$540M, which is much lower than current estimates of around $593M, and sharply lower than the $585M-$600M expectations Smith & Wesson announced in June.
Aug. 26, 2014, 5:35 PM
Aug. 26, 2014, 4:16 PM
- Smith & Wesson (NASDAQ:SWHC) reports decreased sales of long guns contributed 87% of the company's FQ1 revenue tailoff.
- Gross margin rate -540 bps to 37.2% due in part to the shift in mix away from long guns.
- Operating expense ratio +320 bps to 17.7%.
- The company sees FY15 EPS of $0.89-$0.94 vs. $1.34 consensus.
- Shares of SWHC are under a trading halt.
Jul. 29, 2014, 5:43 PM
- Sturm, Ruger & Co. (NYSE:RGR) estimates it saw a 31% Y/Y drop in Q2 in units sold from distributors to retailers, and an 11% drop for the whole of 1H14. Total NICS adjusted background checks (used to measure industry demand) fell 12% in Q2, and 18% in 1H14.
- Declining sales led gross margin to fall to 32.8% from 39.4% a year ago. Opex fell 13% to $17.3M, with both sales and G&A spend declining. New products were 18% of 1H firearm sales.
- $75M has been added to RGR's buyback authorization, raising its size to $100M.
- RGR -4% AH. Smith & Wesson (NASDAQ:SWHC) -2.3% in sympathy.
- Q2 results, PR
Jun. 20, 2014, 12:45 PM
Jun. 20, 2014, 9:14 AM
Jun. 19, 2014, 4:55 PM
- Though Smith & Wesson (SWHC) beat FQ4 estimates, it's guiding for FQ1 revenue of $130M-$135M and EPS of $0.23-$0.25, far below a consensus of $160.6M and $0.40. The company's annual 2-week production shutdown is expected cut output by $6M-$8M.
- FY15 (ends April '15) guidance is for revenue of $585M-$600M and EPS of $1.30-$1.40, below a consensus of $621.9M and $1.45.
- FQ4 revenue was down 1.5% Y/Y excluding a Walther sale agreement that has since ended. Gross margin rose 260 bps to 40.9%, and opex rose to 15.6% of revenue from 12.1% a year ago.
- Sturm, Ruger & Co. (RGR) is following Smith & Wesson lower.
- FQ4 results, PR
Mar. 5, 2014, 12:45 PM
Mar. 5, 2014, 9:12 AM
Mar. 4, 2014, 5:48 PM
Mar. 4, 2014, 4:22 PM
- Smith & Wesson (SWHC) trades higher in post-close action after the companye bests the FQ3 profit estimate of analysts.
- The company saw its gross profit margin rate rise 360 bps to 40.2% on a favorable product mix and reduced promotions.
- FY14 revenue guidance is raised to $615M-$620M and the S&W sees EPS falling in a range of $1.39-$1.42.
- SWHVC +7.1% AH
Dec. 11, 2013, 10:02 AM
- Smith & Wesson (SWHC +5%) trades higher following its FQ2 report and early look at FQ3 projections.
- Execs with the company say they expected the big drop in November for NCIS background checks, a trend they see continuing through May of next year. They note the upcoming comparables run up against an enormous period of demand and they still see industry trends as positive.
- Related stocks RGR, CAB.
- Earnings call transcript
Dec. 11, 2013, 9:11 AM
SWHC vs. ETF Alternatives
Smith & Wesson Holding Corp manufactures firearms. It manufactures handguns, modern sporting rifles, hunting rifles, black powder firearms, handcuffs, and firearm-related products and accessories.
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