Overview

* Sturm Ruger ( RGR ) Q2 net sales rise to $132.5 mln from $130.8 mln in 2024

* Diluted loss per share of $1.05 due to strategic initiatives aimed at reorganization and realignment

* Declares Quarterly Dividend of 16¢ Per Share

* Co expands with $16 mln acquisition in Kentucky to boost capacity

Outlook

* Company expects capital expenditures to increase in latter half of 2025

* Sturm Ruger ( RGR ) anticipates challenges and potential industry consolidation this year

* Company's acquisition aims to strengthen manufacturing capabilities and product offerings

* Sturm Ruger ( RGR ) remains committed to long-term growth despite market dynamics

Result Drivers

* STRATEGIC INITIATIVES - $17 mln inventory and related other asset write-off, $5.7 mln product rationalizationand SKUreduction, and $3.7 mln organizational realignment impacted Q2 results

* NEW PRODUCT SALES - New products introduced in the qtr accounted for $42.2 mln or 33.5% of firearm sales

* KENTUCKY EXPANSION - $16 mln acquisition of a manufacturing facility in Kentucky to boost capacity and broaden product offerings

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 $131.57

Firearms mln

Sales

Q2 EPS -$1.05

Q2 Basic -$1.05

EPS

Q2 Gross $5.15

Profit mln

Q2 -$20.72

Operatin mln

g Income

Q2 -$19.39

Pretax mln

Profit

Analyst Coverage

* The one available analyst rating on the shares is "buy"

* The average consensus recommendation for the recreational products peer group is "buy"

* Wall Street's median 12-month price target for Sturm Ruger & Company Inc ( RGR ) is $41.00, about 15.6% above its July 30 closing price of $34.62

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)