New post on Village of the Banned
Smith & Wesson Posts Insane Earnings, Revenues Skyrocket
The past couple of years have been alright for famed gun manufacturer Smith & Wesson but 2012 has been exceptionally kind.
“Gross profit for the first quarter was $51.3 million, or 37.7% of net sales, compared with gross profit of $26.5 million, or 28.9% of net sales, for the comparable quarter last year [emphasis added],” the company said in its press release.
And it doesn’t end there.
The company also expects earnings of 19 to 21 cents in the next quarter, which, as Weisenthal notes, is way above earlier estimates of 13 cents.
But let’s try to visualize this information:
“When the final bubble does pop (and here we make the wild assumption that no intelligent extraterrestrial life will be found to bail out the central banks in time), at least everyone will be locked and loaded,” Zero Hedge notes.
Here are some key takeaways from the company’s most recent investor presentation [via Zero Hedge]:
- Record-level quarterly sales growth from continuing ops of $136.0M, +48.3% Y/Y
- Record-level quarterly income from continuing ops of $18.9M, or $0.28 per diluted share
- Raised Full Year Fiscal 2013 Financial Guidance
- Exceeded high end of upwardly revised sales guidance
- Backlog of $392.4M versus $148.8 one year ago
Simply put, and as the above chart clearly demonstrates, demand for the company’s products has grown exponentially over the past two years and it doesn’t look like it will slow down any time soon.
“Smith & Wesson rose $1.07, or 12 percent, to $10.07 on surging gun sales and a raised profit forecast,” the Associated Press reported Friday. “The gun company said it expects earnings for the quarter ending October to climb to as much as twice what analysts had expected.”
Check out the investor presentation here:
- Business is Booming for Smith & Wesson | THE JEENYUS CORNER (jeenyuscorner.com)
- Arm Your Portfolio With Guns (dailyfinance.com)
- Smith & Wesson shares pop on higher outlook (marketwatch.com)
- Smith & Wesson Shoots Higher on Big Boost to Forecast (blogs.barrons.com)
- Business is Booming for Smith & Wesson (investmentwatchblog.com)
- Arm Your Portfolio With Guns (fool.com)
- Smith & Wesson Stock: Absolutely Exploding! (elkhartcountygrassrootshub.wordpress.com)
- Business is Booming for Smith & Wesson (dprogram.net)
- Smith & Wesson Earnings Skyrocket (riehlworldview.com)
- Thursday’s Big After-Hours Stock Movers (ADNC, AAPL, BLOX, MFRM, SWHC, RGR) (247wallst.com)