Originally published at www.seclive.com
Filing in Focus: Smith & Wesson 10-Q, September 5, 2013
Smith & Wesson Holding Corporation (SWHC) reported a 49% profit increase for the first quarter of fiscal year 2014, from $18.9M last year to $26.5M. Earnings per share were $0.40, compared to $0.28 earnings per share this quarter last year. The company ended a distribution agreement with Walther at the end of fiscal year 2013, which accounted for $9.7M in sales this quarter last year. Smith & Wesson sales in the first quarter jumped 26% while its gross margin expanded from 37.7% to 42.6%. Analysts are predicting that gun sales will soon return to normalized levels, following a period of increased demand following the U.S. presidential elections and December school-shooting in Connecticut. CEO James Debney commented that due to increased manufacturing capability that met increased demand, the company's sales and market share improved.
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