NYSE$RGR

Sturm Ruger & Company Inc · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Sturm Ruger's financial performance decreased due to reduced consumer demand and supply chain challenges.

Sturm, Ruger & Company reported a decrease in net sales and diluted earnings per share for the first quarter of 2022, compared to the first quarter of 2021. The company's sales were $166.6 million and diluted earnings were $1.70 per share.

  • Net sales decreased by 10% compared to Q1 2021, totaling $166.6 million.
  • Diluted earnings per share decreased to $1.70, compared to $2.16 in Q1 2021.
  • A quarterly dividend of 68¢ per share was declared.
  • The company is focused on new product innovation and increasing production of the Marlin product line.

Headline financials

Total Revenue

$167M

Previous: $184M-9.7%
EPS (adj)

$1.70

Previous: $2.16-21.3%
Capital Expenditures

-$10.9M

Previous: -$5.52M-97.3%
Free Cash Flow

$19.4M

Previous: $32.7M-40.8%
Net Income

$30.2M

Previous: $38.2M-20.8%
Operating Income

$38.7M

Previous: $52M-25.5%
Gross Profit

$58.1M

Previous: $72.6M-19.9%
Cash & Equivalents

$41.6M

Previous: $24.1M+72.3%
Total Assets

$446M

Previous: $364M+22.6%
Stock-Based Comp

$1.67M

Previous: $3.38M-50.5%

Revenue & EPS history

Sturm Ruger · Revenue · Quarterly

$167M

Q1 2022-9.7%vs Q1 2021
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Forward guidance

The company did not provide specific forward guidance but highlighted new product development and the Marlin product line as future growth drivers. They also mentioned navigating challenges related to labor markets, transportation, and supply chains.

Tailwinds

  • Commitment to new product innovation.
  • Ongoing progress of the Marlin product line.
  • Ruger Custom Shop 10/22 Left-Handed Competition Rifle was awarded the American Rifleman Rifle of the Year.
  • Operations and logistics folks have done a great job navigating the challenges.
  • Greater flexibility in our production mix and mitigated the impact of these challenges.

Headwinds

  • Consumer demand for firearms subsided from the unprecedented levels of the surge that began early in 2020.
  • Sales decreased by 10%.
  • Tight labor markets.
  • Transportation issues.
  • Supply chain delays.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

+0.0%

Avg return

Earnings day

-1.5%

Avg return

5 days after

-3.3%

Avg return

30 days after

52%

34 / 66 earnings

Positive

+21.7%

Q4 2014

Best reaction

-18.0%

Q2 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-3.0%-10.9%-8.0%
Q4 2025-0.8%+0.2%+8.1%
Q3 2025-0.8%-5.5%-31.7%
Q1 2025-15.9%-18.0%-11.0%
Q4 2024+12.3%+15.0%+11.1%
Q3 2024-4.4%-1.7%-7.4%
Q2 2024-5.8%-10.2%-8.3%
Q1 2024-6.9%-5.8%-7.4%
Q4 2023-1.1%-2.3%+5.0%
Q3 2023-17.9%-17.5%-19.3%
Q2 2023+4.4%+4.5%-2.1%
Q1 2023-7.0%-6.6%-8.0%
Q4 2022+7.9%+4.0%-1.9%
Q3 2022-10.2%-4.2%+7.9%
Q2 2022-7.8%-11.2%-20.7%
Q1 2022-3.8%-4.8%-2.2%
Q4 2021+4.6%+12.5%+12.3%
Q3 2021-4.8%-7.2%-17.8%
Q2 2021+4.6%+7.9%-1.1%
Q1 2021+2.1%+4.6%+16.6%
Q4 2020-0.2%+3.0%+3.6%
Q3 2020+5.2%+3.7%-6.4%
Q2 2020+4.9%+8.4%-7.7%
Q1 2020+7.5%+17.1%+35.9%
Q4 2019+7.0%+3.5%-11.9%
Q3 2019-4.9%-7.6%-3.6%
Q2 2019-18.0%-18.6%-26.1%
Q1 2019-8.8%-7.1%-9.3%
Q4 2018-2.2%-0.4%-14.0%
Q3 2018-8.2%-8.2%-12.5%
Q2 2018+3.9%+2.7%+20.8%
Q1 2018+3.9%+5.0%+4.3%
Q4 2017+1.3%+0.9%+2.2%
Q3 2017+2.9%+1.5%+9.4%
Q2 2017-8.3%-11.5%-19.8%
Q1 2017+5.0%+5.0%+9.7%
Q4 2016+1.7%+1.8%+5.3%
Q3 2016+0.6%+3.9%-13.3%
Q2 2016-4.6%-3.2%-10.4%
Q1 2016+7.1%
Q4 2015+6.1%
Q3 2015-12.8%
Q2 2015+1.8%
Q1 2015-0.2%
Q4 2014+21.7%
Q3 2014-11.4%
Q2 2014-10.2%
Q1 2014-5.9%
Q4 2013-6.8%
Q3 2013+3.8%
Q2 2013+6.8%
Q1 2013+4.5%
Q4 2012+2.8%
Q3 2012-4.4%
Q2 2012-6.8%
Q1 2012+1.0%
Q4 2011-7.6%
Q3 2010+13.4%
Q3 2011+13.4%
Q2 2011+13.0%
Q1 2010+2.9%
Q1 2011-0.2%
Q4 2010+9.0%
Q2 2010+9.0%
Q4 2008+9.0%
Q4 2009+9.0%

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