Preview - Please log in to view full article.

Article Date: June 2022
Word Count: 630

Smith & Wesson Results Slip, but Supremes Ruling Lifts Shares


Net income dropped 59% in the final fiscal quarter ended Apr. 30 to $36,135,000 from $89,035,000 as revenues declined 44% to $181,299,000 from $322,947,000 on slowing consumer demand for firearms that sent unit sales down about 50%. Gross margin narrowed 530 basis points to 39.8%, largely due to lower fixed costs absorption due to lower sales, but was up 760 b.p. from 2020, reflecting the steps SWBI took during the pandemic to improve productivity. SG&A was reduced by 14% in dollars, but still deleveraged 490 b.p. on the slower sales. Inventory was up 74% to $136.7 million, and will continue ... Log in to view full article.

 


Already a subscriber?

User Name:

Password:


Not yet a subscriber?

Try SGI for a month FREE. You’ll get our daily news feed, weekly newsletter, and access to the last two months of SGI articles.

Start a new subscription to SGI, or order any of our other products.