•
Apr 30, 2024

Smith & Wesson Q4 2024 Earnings Report

Smith & Wesson's Q4 2024 financial performance was marked by increased net sales and improved gross margin compared to the same quarter last year.

Key Takeaways

Smith & Wesson Brands, Inc. reported a strong fourth quarter for fiscal year 2024, with net sales increasing by 9.9% to $159.1 million and a gross margin of 35.5%. The company's EPS was $0.57, and adjusted EBITDAS margin reached 22.6%.

Net sales for Q4 reached $159.1 million, a 9.9% increase year-over-year.

Gross margin improved to 35.5% compared to 29.0% in the prior year's quarter.

GAAP net income was $26.1 million, or $0.57 per diluted share.

Adjusted EBITDAS was $36.0 million, representing 22.6% of net sales.

Total Revenue
$159M
Previous year: $145M
+9.9%
EPS
$0.45
Previous year: $0.32
+40.6%
Gross Margin
35.5%
Previous year: 29%
+22.4%
Adjusted EBITDAS
$36M
Previous year: $30.3M
+18.8%
Gross Profit
$56.5M
Previous year: $42M
+34.7%
Cash and Equivalents
$60.8M
Previous year: $53.6M
+13.6%
Free Cash Flow
$38M
Previous year: $13M
+192.6%
Total Assets
$578M
Previous year: $541M
+6.8%

Smith & Wesson

Smith & Wesson

Forward Guidance

Smith & Wesson anticipates healthy firearm demand in fiscal year 2025 and expects to grow both net sales and gross margin despite a competitive marketplace and inflationary impacts.

Positive Outlook

  • Healthy demand overall for firearms in fiscal 2025 is expected.
  • Smith & Wesson is well positioned to deliver another solid year of growth.
  • The company has a deep pipeline of new products.
  • The new state-of-the-art facility is now fully operational.
  • The company possesses a strong balance sheet.

Challenges Ahead

  • The summer months will be highly competitive.
  • The summer months represent the traditionally slower season for firearms.
  • The company faces a competitive marketplace.
  • The company faces inflationary impacts.
  • There are potential risks, uncertainties, and other factors that could cause actual results to differ materially from those reflected by forward-looking statements.