Smith & Wesson Holding Corporation’s (SWHC) Third-Quarter Profit Up

Smith & Wesson Holding Corporation (NASDAQ: SWHC) reported results for the third-quarter on Thursday. The company saw an increase in profit as the acquisition of a security firm helped it to offset a return to normal demand in the firearms market.

Smith & Wesson reported a profit of $2.38 million, or $0.04 per share, compared with a profit of $2.36 million, or $0.05 per share, a year earlier. Analysts had forecast EPS of $0.01. Net sales increased by 6.8% to $89.4 million. Gross margins improved by 230 basis points to 28%.

Smith & Wesson shares were down by 8.7% to $4.32 in afterhours trading.