Loading...
•
Sep 30
Ammo Q2 2026 Earnings Report
Outdoor Holding Company reported positive net income and improved financial and operational performance for the second quarter of fiscal 2026.
Key Takeaways
Outdoor Holding Company, owner of GunBroker.com, reported positive net income from continuing operations for the second quarter of fiscal 2026, marking its first quarterly profit after several periods of net losses. The company achieved flat year-over-year net revenues of $11.98 million, significantly reduced operating expenses, and improved its gross profit margin to 87.1%.
Net income from continuing operations turned positive at $1.40 million, compared to a net loss of ($5.87) million in the prior year.
Operating expenses decreased by $6.71 million year-over-year, reflecting enhanced cost discipline and a transition to an asset-light model.
Adjusted EBITDA improved to $4.91 million from $3.95 million in the prior year period.
The company regained full compliance with Nasdaq Continued Listing Rules and relocated its Corporate HQ to Atlanta, Georgia.
Ammo
Ammo
Forward Guidance
Management remains confident in its strategy and execution, expecting continued focus on cost efficiency, disciplined capital allocation, and organic marketplace growth to deliver sustained value creation for shareholders.
Positive Outlook
- Strategic transformation is delivering results, leading to a more agile, focused, and growth-oriented organization.
- Unlocking post-divestiture efficiencies and improving capital allocation.
- Positioning the Company to better capture growth opportunities in its core marketplace platform.
- Continued focus on initiatives designed to drive gross merchandise value (GMV) growth, enhance platform monetization, and optimize the user experience.
- Leveraging strengthened balance sheet and platform investments to deliver sustained value creation for shareholders.
Challenges Ahead
- Management expects the elevated legal and professional services expenses experienced in recent periods to gradually decline, implying they are still a factor.
- Total GMV demonstrated resilience in a soft market with a decrease of (1.1%), indicating ongoing market challenges.
- Adjusted NICS checks were down 5% compared to the same three months in the prior year, suggesting a broader market headwind for firearm sales.
- The company is subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict.
- Potential impacts from adverse economic market conditions, including social and political factors, and the occurrence of other events.