Today's Other All Time High: Smith And Wesson Gun Sales

Tyler Durden's picture

As the investing world celebrates the all time nominal high of an archaically-weighted index of an ever-changing basket of stocks, there is another - this time unprintable asset - that appears in all-time high demand - firearms. Smith & Wesson just released earnings not only with record high revenues but increasing their outlook dramatically for fiscal year 2013. The surge in 'background checks' and sales since the election (and furthermore since the Tragedy in Newtown) continues (+29% YoY) and as SHWC notes "The tragedy in Newtown has understandably inspired an important national discussion about how to cope with violence in our communities - we possess a broad range of products and a highly flexible manufacturing operation. Taken together, these allow us to be highly responsive should the market and/or legislative developments drive a change in sales mix."

 

SWHC Actual and Estimated Sales...

 

Background checks have surged...

 

and sales have followed for hand-guns and long-guns...

 

Current Environment

The tragedy in Newtown has understandably inspired an important national discussion about how to cope with violence in our communities

 

The outcome of this discussion has yet to be determined - we will not speculate at this time

 

We are participating in the discussion, along with the majority of our industry, through our representatives at the National Shooting Sports Foundation (NSSF)

 

  • We strongly support the U.S. Constitution and the Second Amendment
  • We support a comprehensive approach to preventing violence in our communities through only those efforts that we believe will make a difference

 

We will continue to monitor closely the political and legislative landscape

 

Smith & Wesson is a 160-year-old American company that has successfully thrived in a heavily regulated environment by complying with federal, state, and local laws

 

We possess a broad range of products and a highly flexible manufacturing operation. Taken together, these allow us to be highly responsive should the market and/or legislative developments drive a change in sales mix

Via SWHC Earnings PR:

The company expects net sales from continuing operations for the fourth quarter of fiscal 2013 to be between $165.0 million and $170.0 million, which would represent year-over-year growth from continuing operations of 29.0% at the midpoint.

 

The company anticipates GAAP earnings per diluted share from continuing operations of between $0.38 and $0.40 for the fourth quarter of fiscal 2013. The company is raising its full year fiscal 2013 financial guidance.

 

The company currently anticipates net sales from continuing operations for fiscal 2013 of between $575.0 million and $580.0 million, which would represent year-over-year growth from continuing operations of approximately 40.0% at the midpoint.

 

The company anticipates fiscal 2013 GAAP earnings per diluted share from continuing operations of between $1.17 and $1.19, income from continuing operations of between $78.0 million and $79.5 million, and non-GAAP Adjusted EBITDAS from continuing operations of between $148.4 million and $150.7 million.

Full Presentation:

Swhc Mar 2013 Ir Pres-1 by