Sturm Ruger Q1 sales driven by new products, bottom line hit by one-off costs

Sturm, Ruger & Company

06/05/2026 21:57

Overview

U.S. firearms maker's Q1 net sales rose 4.1% yr/yr, fourth straight quarter of sales growth

Adjusted EPS for Q1 fell to $0.27 from $0.46, impacted by non-recurring expenses

New products accounted for 41% of firearm sales in the quarter

Outlook

Company expects 2026 capital expenditures to total $30 mln

Company says temporary expenses are expected to roll off, improving earnings visibility

Sturm Ruger remains focused on improving cost structure and profitability

Result Drivers

NEW PRODUCT SALES - New products, including recently introduced rifles and shotguns, accounted for $51.6 mln, or 41%, of firearm sales in Q1

NON-RECURRING EXPENSES - Q1 profitability was impacted by $3.2 mln in legal and advisory fees related to the Beretta agreement and $2.5 mln in severance costs from a reduction-in-force

RETAIL DEMAND - Estimated sell-through of products from distributors to retailers rose 3.2% yr/yr, outpacing the 1.6% increase in adjusted NICS background checks

Company press release: ID:nBw4wTR6Ha

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Firearms Sales
$140.90 mln
Q1 EPS
$0.01
Q1 Gross Profit
$28.08 mln
Q1 Operating Income
-$1.95 mln


Analyst Coverage

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

The average consensus recommendation for the recreational products peer group is "buy"

Wall Street's median 12-month price target for Sturm Ruger & Company Inc is $45.50, about 8.9% above its May 5 closing price of $41.77

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)