Firearms maker Smith & Wesson's Q2 sales slightly beat expectations

Smith & Wesson Brands

04/12/2025 21:24

Overview

Smith & Wesson fiscal Q2 net sales slightly beat analyst expectations

Adjusted EPS for fiscal Q2 beats consensus, reflecting operational efficiency

Company reports strong operating cash flow of $27.3 mln, up significantly from last year

Outlook

Smith & Wesson expects Q3 sales to rise 8-10% over Q3 fiscal 2025

Company sees no significant impact from channel inventory on Q3 sales

Result Drivers

INNOVATION STRATEGY - Co attributes profitability to innovation strategy and disciplined operations management

NEW PRODUCTS - New products accounted for 38.7% of sales, driving performance despite overall sales decline

INVENTORY MANAGEMENT - Efficient inventory management led to reduced distributor inventory and improved cash flow

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Slight Beat*
$124.70 mln
$123.73 mln (3 Analysts)
Q2 Adjusted EPS
Beat
$0.04
$0.02 (2 Analysts)
Q2 EPS
$0.04
Q2 Net Income
$1.90 mln
Q2 Gross Margin
24.30%


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the aerospace & defense peer group is "buy"

Wall Street's median 12-month price target for Smith & Wesson Brands Inc is $11.00, about 23.9% above its December 3 closing price of $8.88

Press Release: ID:nNFC9tnj8P

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)