Sturm, Ruger & Company, Inc. has reported their financial results for the second quarter of 2024, and the figures show a change from the same period in 2023.
The net sales for the second quarter of 2024 were $130.8 million, down from $142.8 million in the second quarter of 2023. Similarly, the diluted earnings per share for the second quarter of 2024 were 47¢, a decrease from 91¢ in the second quarter of 2023.
For the six months ended June 29, 2024, net sales were $267.6 million, down from $292.3 million for the corresponding period in 2023. Diluted earnings per share for the same period were 87¢, a decline from $1.72 per share in 2023.
The company's board of directors declared a dividend of 19¢ per share for the second quarter, which is approximately 40% of net income.
CEO Christopher J. Killoy mentioned that despite a decline in consumer demand in the firearms market, the estimated sell-through of their products from independent distributors to retailers increased, driven by demand for recently introduced products. The company also reorganized some aspects of its business earlier in the year and implemented a reduction in force to achieve greater efficiency, productivity, and flexibility.
Killoy highlighted that the estimated unit sell-through of the company's products from independent distributors to retailers increased by 1% in both the second quarter and first half of 2024 compared to the prior year periods.
Additionally, the company reported that compared to the second quarter of 2023, the company’s and distributor’s finished goods inventories have been reduced by 13,300 units and 88,700 units, respectively, providing an opportunity for replenishment in the second half of the year.
In terms of financial position, at June 29, 2024, the company had cash and short-term investments totaling $105.6 million, with a current ratio of 4.8 to 1 and no debt. Stockholders’ equity was reported at $321.5 million, equating to a book value of $18.90 per share, of which $6.21 per share was cash and short-term investments.
During the first half of 2024, capital expenditures totaled $10.4 million related to new product introductions, upgrades to manufacturing equipment, and facilities. The company also returned $27.1 million to its shareholders through the payment of dividends and the repurchase of shares of its common stock in the open market.
The full quarterly report on Form 10-Q for the second quarter of 2024 is available on the SEC website and the company's website. Interested parties can also listen to the webcast to discuss the second quarter 2024 operating results.
Sturm, Ruger & Co., Inc. is a leading manufacturer of firearms for the commercial sporting market, offering consumers almost 800 variations of more than 40 product lines across both the Ruger and Marlin brands. As a result of these announcements, the company's shares have moved -1.8% on the market, and are now trading at a price of $45.11. If you want to know more, read the company's complete 8-K report here.
