Sturm, Ruger & Company, Inc. reported a loss of $2.1 million on a pre-tax basis in the third quarter, primarily due to $1.9 million in acquisition and operating costs at the new Hebron, KY facility acquired in July, increased costs associated with materials and technology, and higher promotional expenses.

Net income declined 66.6 percent to $1.58 million, or 10 cents a share, from $4.7 million, or 28 cents, a year ago. Sales were up 3.7 percent to $126.8 million from $122.3 million.

For the nine months, net sales totaled $395.0 million, and the company reported a loss of 48 cents per share. For the corresponding period in 2024, net sales totaled $389.9 million, and diluted earnings per share were $1.15.

“This quarter’s results reflect both the realities of a challenging macro environment and the actions we are taking to position Ruger for long-term growth,” said Todd Seyfert, president and chief executive officer. “Earlier this year, we took steps to strengthen our foundation, and we are now seeing the early benefits of that work – stronger topline performance, encouraging new product announcements and growing market share. We will continue to focus on improving our profitability by addressing our cost structure.”

Other observations on the third quarter include:

  • Sales of new products, including the RXM pistol, Marlin lever-action rifles and American Centerfire Rifle Generation II, represented $40.6 million or 33.7 percent of firearm sales in the third quarter of 2025. New product sales include only major new products introduced within the past two years.
  • Compared to the third quarter of 2024, the company’s finished goods inventories decreased by 15,500 units, while distributors’ inventories increased by 4,100 units.
  • Cash provided by operations during the nine months of 2025 was $38.8 million. On September 27,
    2025, Ruger’s cash and short-term investments totaled $80.8 million. The company’s current ratio is 3.5 to 1, and there is no debt.
  • In the first nine months of 2025, capital expenditures totaled $27.6 million, including $15.0 million for the Anderson acquisition in Hebron, KY. The company expects capital expenditures to total $35 million for the year, with continued investments in new product introductions, expanded capacity for product lines in greatest demand, upgraded manufacturing capabilities, and strengthened facility infrastructure.
  • The company returned $35.6 million to its shareholders in the first nine months of 2025 through the payment of $9.5 million of quarterly dividends and $26.1 million through the repurchase of 730,665 shares of its common stock at an average cost of $35.60 per share.

Seyfert concluded, “We achieved meaningful progress in the third quarter to better position Ruger for success in a challenging market. The launch of the Glenfield brand, the expansion of the Ruger American Rifle Generation II product line-up and the broadening of Marlin caliber offerings are just a few examples of how we’re building on our most popular product lines. More is still to come, including the expansion of the RXM pistol family, the return of the Ruger Red Label shotgun and the shipment of new modern sporting rifles from our new Hebron, Kentucky facility.”

Image courtesy Sturm Ruger