Sturm, Ruger & Company reported sales for the third-quarter ended Oct. 2 slipped 18.0% to $58.4 million from the year-ago period on decreased retail transactions of firearms and a steep dip in sales of auto-loading rifles, or “black guns.” Earnings for the quarter slipped 15.0% to $6.0 million.
On a braoder scale, however, revenues were actually relatively stable considering the year-ago period was still riding record sales levels that carried-over from the post-election gun craze. Compared to the third quarter of 2008, profits were up 15-fold while total revenues were jumped 39.7%. Also of note is that NICS checks, which are often used to measure gun sales and firearms use, were up 6% over the year-ago period and 2% from the second quarter of 2009 good news for the firearms industry as a whole.
Although estimated unit sell-through for Ruger products from distributors to retailers in the third quarter slipped 7% from the year-ago period, but management noted that the incoming order rate for the quarter “increased significantly.” In a conference call with analysts, President and CEO Michael Fifer said handguns and other firearms used for self-defense purposes continue to outperform other categories.
The third quarter marked the company’s launched of several notable firearms, including the SR-40, the SR9 compact, the LCR family and the SR-556 family.
