Smith & Wesson Holding Corp. reported strong earnings in its second quarter ended October 31, but lowered its earnings guidance for the year.

In the quarter, net profits more than doubled to $32.5 million, or 57 cents a share, from $12.5 million, or 22 cents, a year ago.

On an adjusted basis, non-GAAP net income was $39.1 million, or 68 cents per diluted share, compared with $14.2 million, or 25 cents, for the comparable quarter last year. Non-GAAP excludes a number of acquisition-related costs, including amortization, one-time transaction costs and inventory valuation adjustments.

Quarterly net sales were $233.5 million compared with $143.2 million for the second quarter last year, an increase of 63 percent. Gross margin for the quarter was 41.8 percent compared with 39.2 percent for the second quarter last year.

The company had expected adjusted profit between 53 cents and 57 cents on revenue in the range of $220 million and $230 million.

James Debney, Smith & Wesson Holding Corp.’s president and CEO, said, “We are very pleased with our second-quarter results, which exceeded our financial guidance. In our Firearms Segment, we believe higher revenue was driven by strong consumer demand as reflected in adjusted background checks from the National Instant Criminal Background Check System (NICS) as well as our own market share gains.  In our Outdoor Products & Accessories Segment, we completed the acquisitions of Taylor Brands and Crimson Trace, both of which were accretive to our non-GAAP earnings.”

The company completed the acquisition of all the net assets of Ultimate Survival Technologies Inc. (UST) subsequent to the end of the quarter. UST, a provider of survival and camping products, delivered compound annual revenue growth of 49 percent from 2012 through 2015 while maintaining healthy gross margins.

“Overall, we are well on our way to achieving our vision of being a leading provider of high-quality products for the shooting, hunting, and rugged outdoor enthusiast,” said Debney. “By executing our strategy, we have successfully grown from a single operating division to four operating divisions that serve a large addressable market and represent more than 18 respected consumer brands.”

Debney also confirmed that “on January 1, 2017, our holding corporation will become American Outdoor Brands Corporation, pending shareholder approval.  We believe this name better represents our broad range of product offerings and our plan to continue building upon our portfolio of strong American brands. American Outdoor Brands Corporation will serve as the holding corporation for Smith & Wesson Corp., Battenfeld Technologies Inc., and Crimson Trace Corporation, which represent our company’s firearms, manufacturing services, accessories and electro-optics divisions.”

Jeffrey D. Buchanan, executive vice president, chief financial officer and chief administrative officer, said, “During the quarter, we secured a commitment to increase our revolving line of credit to $500 million from $225 million. This expansion of our unsecured credit line provides us with greater opportunities to invest in our future growth, both organically and through strategic acquisitions. Our increased access to capital is a clear reflection of the confidence our bankers have in our company as well as the overall strength of our business.”

Looking ahead, Smith & Wesson said it sees adjusted non-GAAP earnings on a per-share basis for the current quarter in the range of 52 cents to 57 cents, lower than the 59 cents expected on average by analysts. The company projected revenue between $230 million and $240 million, while analysts forecast $237.7 million.

For the full year, the company now expects adjusted earnings between $2.42 and $2.47, narrower and lower on the top end compared with the previous forecast between $2.38 and $2.48. The gun maker boosted its revenue expectation, projecting a range of $920 million to $930 million, up from a previous $900 million to $920 million.