Smith & Wesson demolishes earnings expectations, boosts guidance
The gunmaker posted adjusted earnings per share of $0.62 and revenue totaling $207 million. Analysts had forecast that it earned $0.54 in adjusted EPS, and revenue of $198.3 million, according to Bloomberg.
Smith & Wesson was expected to report better-than-expected results on higher gun sales following increased talk about gun control. The mass shooting at a nightclub in Orlando in June, the deadliest in US history, helped stoke concerns that guns may be harder to buy if tougher laws are passed.
Sturm, Ruger & Co CEO Michael Fifer said during the company's earnings call that he hoped "freedom-loving Americans" took action in support of the Second Amendment, which grants the right to bear arms. The company pledged to donate $2 to the National Rifle Association for every gun it sold.
Smith & Wesson shares have gained 33% this year.