Smith & Wesson Brands Inc (NASDAQ:SWBI) reported fourth-quarter financial results for fiscal 2025 after the market close on Wednesday. Here’s a rundown of the report.
Q4 Highlights: Smith & Wesson Brands reported fourth-quarter revenue of $140.8 million, missing analyst estimates of $152.41 million, according to Benzinga Pro. The company reported adjusted earnings of 20 cents per share in the fourth quarter, missing estimates of 23 cents per share.
Total sales were down 11.6% on a year-over-year basis. Gross margin fell to 28.8% in the quarter, down from 35.5% in the comparable quarter last year. The company attributed the declines to lower sales and production volumes and noted that the fourth quarter ended up being more difficult than it anticipated.
“Looking at the overall firearms market, we continue to see consumers generally being cautious due to macro-economic factors pressuring discretionary spending,” said Mark Smith, president and CEO of Smith & Wesson Brands.
“While new products and lower price point offerings are still performing well, overall conditions suggest headwinds will likely persist in the near term. Despite these challenges, we remain well-positioned to succeed in this environment.”
Smith & Wesson’s board authorized a quarterly dividend of 13 cents per share, payable on July 21 to shareholders of record as of July 7.
Smith & Wesson said it expects demand for firearms in fiscal 2026 to be “similar” to fiscal 2025. The company believes firearm demand is being negatively impacted by “persistent inflation, high interest rates and uncertainty caused by tariff concerns.”
Smith & Wesson executives will further discuss the quarter on a conference call with investors and analysts at 5 p.m. ET.
SWBI Price Action: Smith & Wesson shares were down 13.14% in after-hours Wednesday, trading at $9.44 at the time of publication, according to Benzinga Pro.
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