Smith & Wesson’s first quarter revenues increased more than 7 percent this year, according to regulatory filings published Thursday.
The upswing follows conservative guidance issued from the company over the summer as the results of its “challenging” fiscal year — which ended April 30 — became public. Now, instead of a forecast of tepid gun sales for the remainder of the year, top executives for parent company American Outdoor Brands sound more optimistic — even revising its full-year sales projections upwards to $630 million.
“We are pleased with our operational and financial results for the first quarter,” said Chief Executive Officer James Debney. “Our increased profitability was driven by consumer preference for our new products, reduced promotions versus the prior year, and solid progress on a number of our expense reduction initiatives.”
Revenue for the company’s gun sales increased 5.9 percent. Debney told investors Thursday long gun sales spiked nearly 38 percent. The outdoors segment — which includes brands such as Bubba Blade, Old Timer and Crimson Trace, among others — grew nearly 15 percent, according to filings.
Debney credited the company’s new “bundling” promotions for some of the growth. He said two of the deals include an M&P 15-22 with a red or green dot optic and a carrying case or a M&P 380 Shield EZ with a storage safe.
“These programs demonstrate how our new divisions within the company work to support our firearms division,” he said. “We bundled our firearms with a variety of accessories into unique packages that are made possible by the wide variety of products we offer across our shooting, hunting and rugged outdoor business.”