Business
Smith & Wesson Brands, Inc. Reports Third Quarter Fiscal 2026 Financial Results
Q3 Net Sales of $135.7 Million Q3 Gross Margin of 26.2%; Non-GAAP Gross Margin of 26.1% Q3 EPS of $0.08/Share; Q3 Adjusted EPS of $0.08/Share Maryville,
About this update from Smith & Wesson Brands, Inc.
[{"type":"text","content":"\nQ3 Net Sales of $135.7 Million\nQ3 Gross Margin of 26.2%; Non-GAAP Gross Margin of 26.1%\nQ3 EPS of $0.08/Share; Q3 Adjusted EPS of $0.08/Share\n\nMaryville, Tennessee--(Newsfile Corp. - March 5, 2026) - Smith & Wesson Brands, Inc. (NASDAQ: SWBI), a U.S.-based leader in firearm manufacturing and design, today announced financial results for the third quarter of fiscal 2026, ended January 31, 2026.\nFinancial Highlights\n\n\nNet sales were $135.7 million, an increase of $19.8 million, or 17.1%, from the comparable quarter last year.\n\n\nGross margin was 26.2% compared with 24.1% in the comparable quarter last year.\n\n\nNet income was $3.8 million, or $0.08 per diluted share, compared with $2.1 million, or $0.05 per diluted share, for the comparable quarter last year.\n\n\nNon-GAAP net income was $3.6 million, or $0.08 per diluted share, compared with $1.4 million, or $0.03 per diluted share, for the comparable quarter last year. GAAP to non-GAAP adjustments for income exclude costs related to the relocation, expenses related to the grand opening of the Smith & Wesson Academy, and a gain on sale of certain real estate. For a detailed reconciliation, see the schedules that follow in this release.\n\n\nNon-GAAP Adjusted EBITDAS was $16.8 million, or 12.4% of net sales, compared with $13.9 million, or 12.0% of net sales, for the comparable quarter last year.\n\n\nMark Smith, President and Chief Executive Officer, commented, \"We were very pleased with our third quarter results, which demonstrated continued market share growth – while simultaneously maintaining resiliency in our pricing power and profitability. In particular, our handgun results were exceptional, with unit shipments into the sporting goods channel up 28%, while NICS was down 2.2%. Our momentum is strong and building, our brand and product assortment are driving continued healthy profitability, and we remain confident in the direction and trajectory of our business against the backdrop of a healthy and stable market.\"\nDeana McPherson, Executive Vice President and Chief Financial Officer, commented, \"Having focused on driving inventory levels down during the last twelve months, we are now turning our focus to increasing production to meet market demand, which should continue to have a positive impact on margins. We believe the strength of our brand, product assor...