Smith & Wesson Q1 Earnings: Rising Spending Weighs On The Balance Sheet
Smith & Wesson reported Q1 net sales up 32.3% year-over-year to $113 million, with gross margin rising to 28.7%, though part of the margin gain came from one-off tariff refunds. Management guided to 5-7% full-year revenue growth, expecting softer demand in the second half after a regulatory-driven Q1 surge.
Why it matters — The results show improving demand and market share, but rising spending and a weaker second-half outlook raise questions about the balance sheet and whether the Q1 surge is sustainable for SWBI investors.