Business News

Gunmaker American Outdoor Brands jumps more than 13% after earnings beat

Key Points
  • American Outdoor Brands posted better-than-expected earnings and revenue.
  • The company formerly known as Smith & Wesson said it saw strength across multiple business segments.
  • The gunmaker's fiscal third-quarter outlook was also above Wall Street forecasts.
A visitor holding a revolver by US manufacturer Smith & Wesson (S&W) at the IWA OutdoorClassics trade show for hunting, shooting sports, equipment for outdoor activities and for civilian and official security applications.
Daniel Karmann | picture alliance | Getty Images

American Outdoor Brands surged after the company reported second-quarter earnings and revenue that beat analyst expectations on Thursday.

Here's how the company did compared with Wall Street estimates:

  • EPS: 20 cents vs. 14 cents forecast by Refinitiv
  • Revenue: $161.7 million vs. $154.1 million forecast by Refinitiv

In the year-ago quarter, the firearm maker posted adjusted earnings of 11 cents a share on revenue of $148.4 million.

Formerly known as Smith & Wesson, shares of the company leaped as much as 14 percent in after-hours trade.

President and CEO James Debney said the company's results were driven by strength in both its firearms and outdoor products and accessories segments.

"Sales growth occurred in both our Hunting & Shooting product categories, as well as our Cutlery & Tool product categories, and came from a variety of retailers, particularly our online retailers," Debney said in a statement.

The gunmaker's fiscal third-quarter outlook that was above Wall Street projections.

For its fiscal third quarter, American Outdoor says it expects adjusted earnings per share between 9 cents and 13 cents, better than the Refinitiv estimate for earnings of 10 cents a share. The company forecasts fiscal third-quarter revenue between $155 million and $165 million, above the $158 million expected by analysts polled by Refinitiv.

This story is developing. Please check back for updates.