Sturm, Ruger & Company, Inc. · NYSE:RGR

Sturm, Ruger & — Shareholder Meeting (May 2014)

83 slides from Sturm, Ruger &'s shareholder meeting presentation, May 6, 2014

  1. Slide 1: Ruger 2014 Annual Meeting

    RUGER 2014 Annual Meeting Q STURM, RUGER & CO, INC. | 1 LACEY PLACE | SOUTHPORT, CONNECTICUT 06890 USA |

  2. Slide 2: Caution: Forward Looking Statements

    Caution: Forward Looking Statements Statements made in the course of this meeting that state the Company's or Management's intentions, hopes, beliefs, expectations or predictions of the future are forward-looking statements. It is important to note that the Company's actual results could differ mate

  3. Slide 3: Overview

    Overview

  4. Slide 4: Investment Highlights

    Investment Highlights 65 years as one of the world's leading firearms brands. Experienced and engaged Board of Directors. Strong management team. Strong market position in pistols, revolvers and rifles: #1 in Pistols Produced #1 in Revolvers Produced #2 in Rifles Produced #1 in Total Firearms Produc

  5. Slide 5: Company Profile

    Trailing 12-months ending March 31, 2014: Company Profile Sales: $702 Million, Operating Profit: 25%, EPS: $5.62 EBITDA: $201 Million / 29% Manufacturing facilities in Newport, NH, Prescott, AZ & Mayodan, NC. 1,900 non-union employees, 500 temporary employees. Investment castings division. 2-step di

  6. Slide 6: Financial and Operational Highlights

    Financial and Operational Highlights

  7. Slide 7: 5-Year Consolidated Operating Results

    5-Year Consolidated Operating Results

  8. Slide 8: Consolidated Operating Results (in Millions, Except EPS)

    Consolidated Operating Results (in Millions, Except EPS)

  9. Slide 9: Comparison of Underlying Performance (in Thousands)

    Comparison of Underlying Performance (in Thousands)

  10. Slide 10: Comparison of Underlying Performance (in Thousands)

    Comparison of Underlying Performance (in Thousands)

  11. Slide 11: 5-Year Return

    5-Year Return Source: Value Line Publishing LLC: Factual material is obtained from sources believed to be reliable, but the publisher is not responsible for any errors or omissions contained herein. Assumes $100 invested at the close of trading 12/08 in Sturm, Ruger & Co., Inc. common stock, Standar

  12. Slide 12: Return on Equity (in Millions)

    Return on Equity (in Millions)

  13. Slide 13: Return on Equity (in Millions)

    Return on Equity (in Millions)

  14. Slide 14: 2013 Performance Indicators

    2013 Performance Indicators Source: Russell 2000 and S&P 500 results are calculated with data available on March 10, 2014, as published by Bloomberg L.P.

  15. Slide 15: Market Conditions

    Market Conditions

  16. Slide 16: Slide 16

  17. Slide 17: Trends in Retail Demand (in Thousands)

    Trends in Retail Demand (in Thousands) The adjusted National Instant Criminal Background Check System data presented above was adjusted by the National Shooting Sports Foundation to eliminate background checks associated with permit checks rather than firearm sales.

  18. Slide 18: Trends in Retail Demand (in Thousands)

    Trends in Retail Demand (in Thousands) The adjusted National Instant Criminal Background Check System data presented above was adjusted by the National Shooting Sports Foundation to eliminate background checks associated with permit checks rather than firearm sales.

  19. Slide 19: Trends in Retail Demand (in Thousands)

    Trends in Retail Demand (in Thousands) The adjusted National Instant Criminal Background Check System data presented above was adjusted by the National Shooting Sports Foundation to eliminate background checks associated with permit checks rather than firearm sales.

  20. Slide 20: Trends in Retail Demand (in Thousands)

    Trends in Retail Demand (in Thousands) The adjusted National Instant Criminal Background Check System data presented above was adjusted by the National Shooting Sports Foundation to eliminate background checks associated with permit checks rather than firearm sales.

  21. Slide 21: Quarterly Estimated Distributor Unit Sell-Through (in Thousands)

    Quarterly Estimated Distributor Unit Sell-Through (in Thousands)

  22. Slide 22: Quarterly Estimated Distributor Sell-Through & Bookings (in Thousands)

    Quarterly Estimated Distributor Sell-Through & Bookings (in Thousands)

  23. Slide 23: Market Share Movement

    Market Share Movement Product Category 2011 2012 Revolvers: Single-Action Maintained Maintained Double-Action Gained Gained Pistols: Rimfire Maintained Gained Centerfire Full-Size Gained Maintained Centerfire Compact Gained Maintained 1911 Gained Gained Rifles: Mini-14 Rifles Maintained Maintained B

  24. Slide 24: Market Share Movement

    Market Share Movement Product Category 2011 2012 2013 Revolvers: Single-Action Maintained Maintained Maintained Double-Action Gained Gained Gained Pistols: Rimfire Maintained Gained Gained Centerfire Full-Size Gained Maintained Maintained Centerfire Compact Gained Maintained Maintained 1911 Gained G

  25. Slide 25: 2013: The Ruger 2.2 Million Gun Challenge

    7 MILLION GUN CHALLENGE 7 AILLION GUN CHALLENGE 2013: THE RUGER 2.2gMILLION GUN CHALLENGE A Record Setting 2.2 Million Guns Produced and Sold in 2013! Q

  26. Slide 26: Political Environment

    Political Environment

  27. Slide 27: Make Your Voice Heard

    * to ee ee eta te Fike kk RIGHTS! Make Your Voice Heard. OVER 6 MILLION LETTERS Sent to Representatives!

  28. Slide 28: Bloomberg's Everytown

    = BLOOMBERG’S EVERYTOWN mS: SION 50

  29. Slide 29: NRA-ILA

    NRA-ILA ISLATIVE ACTION “Gun control is the unfinished business of Barack Obama's presidency." Nii 7h NRA-ILA Recommends Signs of Anti-Gunner Weakness as NRA Meeting Shines While the NRA displays its strength at its Annual Meeting in Indianapolis, Michael Bloomberg is proving the old adage "there ar

  30. Slide 30: New Product Development

    New Product Development

  31. Slide 31: New Product Impact (in Millions)

    New Product Impact (in Millions)

  32. Slide 32: Highlighted New Products 2013 & YTD 2014

    Highlighted New Products 2013 & YTD 2014 4 New Platform Products Ruger American Rimfire Rifle / SR45 / Red Label Shotgun / SR-762 23 New Product Derivatives Including the Enhanced LCP / LC380 / 22/45 Light / GP100 Match Champion / LCRx / Ruger American Rifle with Redfield Revolution Riflescope / 10/

  33. Slide 33: Ruger SR1911 Commander-Style

    The Ruger’ SR1911 now available in a commander-style model. THE RUGER COMMANDER-STYLE SR1911 @

  34. Slide 34: Ruger SR-Series now includes SR45

    The Ruger’ SR-Series of pistols now includes the SR45" model.

  35. Slide 35: Lightweight Compact Pistol line expanded

    The popular Ruger: Lightweight Compact Pistol line is expanded with the new LC380° model & Stainless LCP: THE RUGER LO33so

  36. Slide 36: Ruger SR22 Pistol new models

    The Ruger SR22’ Pistol now offered in a silver anodized slide model & a threaded barrel model. THE RUGER © RUGER 2014 Q

  37. Slide 37: Ruger 22/45 LITE new finishes

    The Ruger 22/45 LITE; now with a black anodized or cobalt blue finish.

  38. Slide 38: Ruger LCR line includes .22 Magnum

    The Ruger’ LCR’ line of revolvers now includes a .22 Magnum model.

  39. Slide 39: Ruger LCRx external hammer

    The Ruger’ LCRx" features an external hammer that allows it to be fired in single-action mode.

  40. Slide 40: Ruger GP100 Match Champion

    The Ruger: GP100° Match Champion is designed with the competitor in mind. € 1 $4 (~ | S-— - * 176-78) O= THE RUGER MATCH CHAMPION @

  41. Slide 41: Completely re-engineered Red Label Shotgun

    Completely re-engineered Red Label Shotgun “SHoTeUiN @

  42. Slide 42: Ruger SR-762

    The Ruger’ SR-762° brings the downrange authority of the .308 cartridge to the popular SR-556° family of rifles. 2 THE RUGER .SR-762 @

  43. Slide 43: Ruger SR-556VT

    The Ruger’ SR-556VT is the Varmint/Target model of the two-stage piston-driven SR-556.

  44. Slide 44: Ruger Guide Gun rifles with Muzzle Brake System

    The Ruger’ Guide Gun rifles with Ruger’ Muzzle Brake System. THE RUGER® MUZZLE BRAKE SYSTEM: = Includes a removable, radial-port muzzle brake that significantly reduces felt recoil. For times when Sp erezeze te brake isnot preferred, it may be replaced bythe included dynamicaly-matched muzzle weight

  45. Slide 45: M77 Hawkeye Magnum Hunter & African rifles

    The Ruger: M77° Hawkeye’ Magnum Hunter & African rifles with Ruger° Muzzle Brake System. ar = ' THE RUGER ~ M77 HAWKEYE MAGNUM HUNTER THE RUGER M77 HAWKEYE AFRICAN @

  46. Slide 46: Ruger Scout Rifle in stainless steel

    The Ruger’ Scout Rifle, now available in stainless steel. am || | THE RUGER GUNSITE = SCOUT RIFLE @

  47. Slide 47: Ruger American Rifle with Redfield Revolution Riflescope

  48. Slide 48: Ruger American Rifle All-Weather Models

  49. Slide 49: Ruger American Rimfire

    RUGER ~ * @AMERICAN RIMFIRE <a Q

  50. Slide 50: Ruger 10/22 Takedown

    The Ruger: 10/22 Takedown’ now available in satin black with threaded barrel and flash suppressor. — ——

  51. Slide 51: 50 Years of the Ruger 10/22

    ty %964.2° RUGER 10/22’ 50 YEARS OF THE RUGER® 10/22®

  52. Slide 52: The Ruger 10/22 Rifle: Fifty Years

    THE RUGER 10/22 RIFLE * 22 LR FIFTY YEARS * 1964-2014 © RUGER 2015

  53. Slide 53: Ruger 10/22 50th Anniversary Design Contest

    RUGER 10/22 50th ANNIVERSARY DESIGN CONTEST] WINNING DESIGN ®

  54. Slide 54: Recognition & Media Coverage

    Recognition & Media Coverage

  55. Slide 55: Awards & Recognition

    Awards & Recognition FIELD & STREAM NRA GOLDEN BULLSEYE AWARD OUTDOOR LIFE GREAT BUY REST OF/THE/BEST AWARD SHOOTING ILLUSTRATED RUGER® RED LABEL SHOTGUN RUGER® GUIDE GUN, 2018 "HANDGUN OF THE YEAR", 2014 2014 GUN & OPTICS TEST, SHOTGUNS Assocation of ‘Goods Wholeslers SHOOTING, HUNTING & OUTDOOR TR

  56. Slide 56: Editorial Coverage

    Editorial Coverage NMISTAKABLE: THE THOMPSON. RUGER’S NEW 7.62 PISTON-DRIVEN AR on WALTHER TACTICAL 22 RIMFIRE REPLICAS BLUNDERBUSS! | if \ BODDINGTON: LONG-RANGE HUNTING MAUSER'S MODEL 12: © RUGER 2015

  57. Slide 57: Editorial Coverage

    Editorial Coverage New cuntttimo | ee | © RUGER 2015

  58. Slide 58: Editorial Coverage

    Editorial Coverage SPECIAL HANDGUN ISSUE THREAT CLASSIC STOPPER Ty) RUGER'S NEW LCi THEE aug" ENHANCEDLCP aan 9 NOSE a wn © RUGER 2014

  59. Slide 59: Editorial Coverage

    Editorial Coverage S as X 7) ‘ MAGAZINE \ ; OS \ Deeg bie as DAN ‘o os é 0 0 Pistol S D-EXPED a y PAR’ ~ Dyan SN © RUGER 2014 »2014 CONCEALED CARRY BUYER'S GUIDE ay CARRY LAWS (Wl | ll MAXIMUM CONCEALMENT ch ‘CARRY OPTIONS:

  60. Slide 60: Web Editorial Coverage

    Web Editorial Coverage TACTICAL-LIFE © _ Ruger SR-762 .308 Wirv7.62mm NATO Rifle: Hog Hunting | Preview © RUGER 2014

  61. Slide 61: Social Media Presence

    Social Media Presence © RUGER 2015 wy

  62. Slide 62: Liquidity

    Liquidity

  63. Slide 63: Inventory Reduction (in Millions)

    Inventory Reduction (in Millions)

  64. Slide 64: Inventory Reduction (in Millions)

    Inventory Reduction (in Millions)

  65. Slide 65: Inventory Reduction (in Millions)

    Inventory Reduction (in Millions)

  66. Slide 66: Inventory Reduction (in Millions)

    Inventory Reduction (in Millions)

  67. Slide 67: Inventory Reduction (in Millions)

    Inventory Reduction (in Millions)

  68. Slide 68: Quarterly Finished Goods Unit Inventory (in Thousands)

    Quarterly Finished Goods Unit Inventory (in Thousands)

  69. Slide 69: Quarterly Distributor Inventory Turns

    Quarterly Distributor Inventory Turns

  70. Slide 70: Capital Allocation (in Millions)

    Capital Allocation (in Millions)

  71. Slide 71: Capital Expenditures (in Millions)

    Capital Expenditures (in Millions)

  72. Slide 72: Opening of Mayodan, NC

    OPENING OF MAYODAN, NC

  73. Slide 73: Opening of Mayodan, NC

  74. Slide 74: First Production Rifle

    FIRST EHUD RIFLE

  75. Slide 75: First Production Rifle

    FIRST PRODUCTION RIFLE FIRST PRODU! PROUDLY MADE IN ¥ AMERICAN RIMFIRE? NOVEMBER 1

  76. Slide 76: First Production Rifle

    FIRST PRODUCTION RIFLE mi @

  77. Slide 77: Variable Quarterly Dividend (in Millions)

    Variable Quarterly Dividend (in Millions)

  78. Slide 78: Shareholder Return

    Shareholder Return Since early 2007, We have returned $221 million to our shareholders: Stock Buyback $38 Million Special Dividend $87 Million Regular Quarterly Dividend $96 Million We invested $161 million on capital expenditures to grow the business. Our market capitalization increased from $220 m

  79. Slide 79: Investor Communications

    Investor Communications We anticipate releasing 2014 quarterly earnings and holding investor conference calls on the following dates: Earnings Release Conference Call Q2 2014 July 30, 2014 July 31, 2014 Q3 2014 October 29, 2014 October 30, 2014 Q4 2014 February 25, 2015 February 26, 2015

  80. Slide 80: Investment Highlights

    Investment Highlights 65 years as one of the world's leading firearms brands. Experienced and engaged Board of Directors. Strong management team. Strong market position in pistols, revolvers and rifles: #1 in Pistols Produced #1 in Revolvers Produced #2 in Rifles Produced #1 in Total Firearms Produc

  81. Slide 81: Questions

    Questions

  82. Slide 82: Caution: Forward Looking Statements

    Caution: Forward Looking Statements Statements made in the course of this meeting that state the Company's or Management's intentions, hopes, beliefs, expectations or predictions of the future are forward-looking statements. It is important to note that the Company's actual results could differ mate

  83. Slide 83: Ruger Is America

    RUGER IS AMERICA — American Made Products, in American Factories, by American Workers. — _ oe : £

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