Sturm, Ruger first-quarter profit plunges on workforce and Beretta-related costs
Updated
Updated · MarketWatch · May 6
Sturm, Ruger first-quarter profit plunges on workforce and Beretta-related costs
10 articles · Updated · MarketWatch · May 6
The Southport, Connecticut firearms maker reported net income of $128,000, or 1 cent a share, as revenue rose 4.1% to $141.4 million.
It booked $3.2 million tied to negotiating a strategic cooperation agreement with Beretta Holding, $2.5 million from February workforce cuts and a $1.7 million one-time charge.
Adjusted earnings were 27 cents a share, indicating underlying profitability was stronger than the headline result despite the quarter's restructuring and deal-related expenses.
With profits wiped out but revenue growing, can Ruger's cost-cutting plan outpace the volatile firearms market?
Is Ruger's costly deal with Beretta a strategic partnership or the prelude to a slow-motion foreign takeover?
Could Ruger become an unexpected ESG portfolio favorite as global defense investment policies shift?