Smith & Wesson Brands, Inc. Reports Third Quarter Fiscal 2026 Financial Results

Rhea-AI Summary

Smith & Wesson Brands (NASDAQ: SWBI) reported Q3 fiscal 2026 results for the quarter ended January 31, 2026. Net sales were $135.7 million, up 17.1% year-over-year. Gross margin improved to 26.2% from 24.1%. Net income was $3.8 million or $0.08 per diluted share; non-GAAP net income was $3.6 million or $0.08 per diluted share. Adjusted EBITDAS was $16.8 million (12.4% of sales). The board authorized a $0.13 per share quarterly dividend, record date March 19, 2026 and pay date April 2, 2026. Company expects Q4 sales up 10-12% vs fiscal 2025 Q4.

Positive

• Net sales +17.1% to $135.7 million in Q3
• Gross margin improved by 2.1 percentage points to 26.2%
• Net income rose to $3.8 million, or $0.08 per diluted share
• Adjusted EBITDAS + $2.9 million to $16.8 million (12.4% of sales)
• Board authorized quarterly dividend of $0.13 per share
• Company expects Q4 sales growth of 10-12% vs fiscal 2025 Q4

Negative

• None.

Market Reaction – SWBI

+10.70% $13.05

15m delay 12 alerts

+10.70% Since News

$13.05 Last Price

$11.66 $13.40 Day Range

+$51M Valuation Impact

$525M Market Cap

0.1x Rel. Volume

Following this news, SWBI has gained 10.70%, reflecting a significant positive market reaction. Our momentum scanner has triggered 12 alerts so far, indicating notable trading interest and price volatility. The stock is currently trading at $13.05. This price movement has added approximately $51M to the company's valuation.

Data tracked by StockTitan Argus (15 min delayed). Upgrade to Silver for real-time data.

Key Figures

Q3 net sales: $135.7 million Q3 gross margin: 26.2% GAAP EPS: $0.08 per diluted share +5 more

8 metrics

Q3 net sales $135.7 million Q3 FY2026, up 17.1% from comparable quarter

Q3 gross margin 26.2% Up from 24.1% in prior-year quarter

GAAP EPS $0.08 per diluted share Q3 FY2026 vs $0.05 in prior-year quarter

GAAP net income $3.8 million Q3 FY2026 vs $2.1 million last year

Non-GAAP net income $3.6 million Q3 FY2026 vs $1.4 million last year

Adjusted EBITDAS $16.8 million (12.4% margin) Q3 FY2026 vs $13.9 million (12.0%) last year

Handgun unit shipments Up 28% Into sporting goods channel vs NICS down 2.2%

Q4 sales outlook Up 10–12% Expected vs fiscal 2025 fourth quarter sales

Market Reality Check

Price: $12.01 Vol: Volume 361,465 is below 2...

normal vol

$12.01 Last Close

Volume Volume 361,465 is below 20-day average 408,278 (relative volume 0.89). normal

Technical Price 12.01 is trading above 200-day MA at 9.63, reflecting a pre-news uptrend.

Peers on Argus

SWBI is up 1.26% pre-news, while momentum-screened peers like LUNR and BYRN show...

2 Down

SWBI is up 1.26% pre-news, while momentum-screened peers like LUNR and BYRN show declines around 1–2%. Broader peers in Aerospace & Defense are mixed, suggesting this move is more stock-specific than sector-driven.

Previous Earnings Reports

5 past events · Latest: Dec 04 (Positive)

Same Type Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 04	Q2 2026 earnings	Positive	+23.0%	Q2 FY26 beat guidance with higher sales, margins, cash flow and dividend.
Sep 04	Q1 2026 earnings	Negative	+6.5%	Q1 FY26 sales and margins declined, with wider per-share losses year over year.
Jun 18	Q4/FY25 results	Negative	-19.8%	Q4 and full-year FY25 showed double-digit revenue and earnings declines.
Mar 06	Q3 2025 earnings	Negative	-10.9%	Q3 FY25 revenue, margin, and earnings fell sharply versus prior year.
Dec 05	Q2 2025 earnings	Negative	-20.3%	Despite growth, guidance pointed to softer demand and lower future revenue.

Pattern Detected

Earnings releases have produced mixed reactions, with several past reports triggering sharp declines despite stable dividends and ongoing product strength.

Recent Company History

Over the past year, Smith & Wesson’s earnings updates have shown a mix of growth and pressure. Q2 FY26 on Dec 4, 2025 delivered stronger metrics and a 23.01% positive move. Earlier, weaker Q4 and FY25 results on Jun 18, 2025 saw net sales and earnings fall, leading to a -19.81% reaction. Q3 FY25 on Mar 6, 2025 also showed revenue and margin declines, with the stock down 10.93%. Today’s Q3 FY26 report, with higher sales and margins, fits a narrative of recovery from FY25 softness.

Historical Comparison

-4.3% avg move · Across the last five earnings releases, SWBI’s average next-day move was -4.32%, with several sharp ...

earnings

-4.3%

Average Historical Move earnings

Across the last five earnings releases, SWBI’s average next-day move was -4.32%, with several sharp selloffs, framing expectations around new financial updates.

Earnings history shows FY25 marked by revenue and margin pressure, followed by FY26 quarters that mix recovery in sales and profitability with continued dividend payments and product-driven share gains.

Market Pulse Summary

The stock is surging +10.7% following this news. A strong positive reaction aligns with improving fu...

Analysis

The stock is surging +10.7% following this news. A strong positive reaction aligns with improving fundamentals shown in Q3 FY2026: net sales of $135.7M, higher gross margin at 26.2%, and EPS of $0.08. Historical earnings moves averaged -4.32%, so a sharp gain would contrast with prior selloffs after results. Investors may watch whether guidance for Q4 sales growth of 10–12% and continued execution on margins can sustain enthusiasm once initial reactions normalize.

Key Terms

non-gaap, adjusted ebitdas, free cash flow, stock-based compensation expense, +1 more

5 terms

non-gaap financial

"Non-GAAP net income was $3.6 million, or $0.08 per diluted share..."

Non-GAAP refers to financial measures that companies use to show their earnings or performance without including certain expenses or income that are often added back to give a different picture. It matters because it can make a company's results look better or more favorable, but it may also hide important costs, so investors need to look at both GAAP (official rules) and non-GAAP numbers to get a full understanding.

adjusted ebitdas financial

"Non-GAAP Adjusted EBITDAS was $16.8 million, or 12.4% of net sales..."

Adjusted EBITDA is a financial measure that shows a company's earnings before interest, taxes, depreciation, and amortization, with certain unusual or one-time items removed for clarity. It helps investors see how well the core business is performing by providing a clearer picture of ongoing profitability, much like stripping out irregular expenses to understand the true earning power of a company.

free cash flow financial

"including "non-GAAP net sales," ... "Adjusted EBITDAS Margin," and "free cash flow" are presented."

Free cash flow is the amount of money a company has left over after paying all its expenses and investing in its business, like buying equipment or updating facilities. It shows how much cash is available to reward shareholders, pay down debt, or save for future growth. This helps investors understand if a company is financially healthy and able to grow.

stock-based compensation expense financial

"include (i) interest expense, (ii) income tax expense, (iii) depreciation and amortization, (iv) stock-based compensation expense..."

Stock-based compensation expense is the value that a company records when it gives employees or executives shares or options to buy shares as part of their pay. It matters because it shows the true cost of paying employees this way, which can affect the company's profits and how investors see its financial health.

accrued legal settlement financial

"include ... (v) an accrued legal settlement, (vi) Smith & Wesson Academy grand opening expenses..."

An accrued legal settlement is an amount a company has recorded as a likely payment for a lawsuit or legal claim even though the cash has not yet been paid. Think of it like setting money aside in your household budget for a known upcoming bill; it reduces reported profits and signals to investors potential cash outflows and legal risk, so it affects valuation, liquidity assessments and earnings forecasts.

AI-generated analysis. Not financial advice.

• Q3 Net Sales of $135.7 Million
• Q3 Gross Margin of 26.2%; Non-GAAP Gross Margin of 26.1%
• Q3 EPS of $0.08/Share; Q3 Adjusted EPS of $0.08/Share

Maryville, Tennessee--(Newsfile Corp. - March 5, 2026) - Smith & Wesson Brands, Inc. (NASDAQ: SWBI), a U.S.-based leader in firearm manufacturing and design, today announced financial results for the third quarter of fiscal 2026, ended January 31, 2026.

Financial Highlights

• Net sales were $135.7 million, an increase of $19.8 million, or 17.1%, from the comparable quarter last year.

• Gross margin was 26.2% compared with 24.1% in the comparable quarter last year.

• Net income was $3.8 million, or $0.08 per diluted share, compared with $2.1 million, or $0.05 per diluted share, for the comparable quarter last year.

• Non-GAAP net income was $3.6 million, or $0.08 per diluted share, compared with $1.4 million, or $0.03 per diluted share, for the comparable quarter last year. GAAP to non-GAAP adjustments for income exclude costs related to the relocation, expenses related to the grand opening of the Smith & Wesson Academy, and a gain on sale of certain real estate. For a detailed reconciliation, see the schedules that follow in this release.

• Non-GAAP Adjusted EBITDAS was $16.8 million, or 12.4% of net sales, compared with $13.9 million, or 12.0% of net sales, for the comparable quarter last year.

Mark Smith, President and Chief Executive Officer, commented, "We were very pleased with our third quarter results, which demonstrated continued market share growth – while simultaneously maintaining resiliency in our pricing power and profitability. In particular, our handgun results were exceptional, with unit shipments into the sporting goods channel up 28%, while NICS was down 2.2%. Our momentum is strong and building, our brand and product assortment are driving continued healthy profitability, and we remain confident in the direction and trajectory of our business against the backdrop of a healthy and stable market."

Deana McPherson, Executive Vice President and Chief Financial Officer, commented, "Having focused on driving inventory levels down during the last twelve months, we are now turning our focus to increasing production to meet market demand, which should continue to have a positive impact on margins. We believe the strength of our brand, product assortment, and new product offerings are helping us drive growth and take share in an otherwise stable market. Therefore, we expect our fourth quarter sales will be up 10-12% over fiscal 2025 fourth quarter sales." Consistent with our capital allocation strategy, our board of directors has authorized a $0.13 per share quarterly dividend, which will be paid to stockholders of record on March 19, 2026 with payment to be made on April 2, 2026."

Conference Call and Webcast
The company will host a conference call and webcast on March 5, 2026 to discuss its third quarter fiscal 2026 financial and operational results. Speakers on the conference call will include Mark Smith, President and Chief Executive Officer, and Deana McPherson, Executive Vice President and Chief Financial Officer. The conference call may include forward-looking statements. The conference call and webcast will begin at 5:00 p.m. Eastern Time (2:00 p.m. Pacific Time). Interested parties in North America are invited to participate by dialing 1-877-704-4453. Interested parties from outside North America are invited to participate by dialing 1-201-389-0920. Participants should dial in at least 10 minutes prior to the start of the call. A live and archived webcast of the event will be available on the company's website at www.smith-wesson.com under the Investor Relations section.

Reconciliation of U.S. GAAP to Non-GAAP Financial Measures
In this press release, certain non-GAAP financial measures, including "non-GAAP net sales," "non-GAAP gross profit," "non-GAAP gross margin," "non-GAAP operating expenses," "non-GAAP operating income," "non-GAAP net income," "Non-GAAP net income per share – diluted," "Adjusted EBITDAS," "Adjusted EBITDAS Margin," and "free cash flow" are presented. We use these non-GAAP financial measures to facilitate a comparison of our operating performance on a consistent basis from period to period that, when viewed in combination with our results prepared in accordance with GAAP, provides a more complete understanding of factors and trends affecting our business than does GAAP measures alone. We believe these financial measures assist our board of directors, management, investors, and other users of the financial statements in comparing our results on a consistent basis from period to period because it removes certain non-cash items and other items that we do not consider to be indicative of our core and/or ongoing operations. We believe it is useful for us and the reader to review, as applicable, both (1) GAAP measures that include (i) interest expense, (ii) income tax expense, (iii) depreciation and amortization, (iv) stock-based compensation expense, (v) an accrued legal settlement, (vi) Smith & Wesson Academy grand opening expenses, (vii) relocation expense, including non-recurring third-party wind-down net sales and cost of sales related to the closure of an immaterial manufacturing location that was shut down as a result of the relocation, (xiii) a gain on sale of certain real estate, and (ix) the tax effect of non-GAAP adjustments; and (2) the non-GAAP measures that exclude such information. We present these non-GAAP measures because we consider them an important supplemental measure of our performance. Our definition of these adjusted financial measures may differ from similarly named measures used by others. We believe these measures facilitate operating performance comparisons from period to period by eliminating potential differences caused by the existence and timing of certain expense items that would not otherwise be apparent on a GAAP basis. These non-GAAP measures have limitations as an analytical tool and should not be considered in isolation or as a substitute for our GAAP measures. The principal limitations of these measures are that they do not reflect our actual expenses and may thus have the effect of inflating our financial measures on a GAAP basis.

About Smith & Wesson Brands, Inc.
Smith & Wesson Brands, Inc. (NASDAQ: SWBI) is a U.S.-based leader in firearm manufacturing and design, delivering a broad portfolio of quality handgun, long gun, and suppressor products to the global consumer and professional markets under the iconic Smith & Wesson® and Gemtech® brands. Additionally, the company provides manufacturing services such as forging and machining to third parties and offers world-class firearm training programs to Law Enforcement/Military departments and civilians at the Smith & Wesson Academy™ in Maryville, TN. For more information call (844) 363-5386 or visit www.smith-wesson.com.

Safe Harbor Statement
Certain statements contained in this press release may be deemed to be forward-looking statements under federal securities laws, and we intend that such forward-looking statements be subject to the safe-harbor created thereby. Such forward-looking statements include, among others, that (i) our momentum is strong and building, our brand and product assortment are driving continued healthy profitability, and we remain confident in the direction and trajectory of our business against the backdrop of a healthy and stable market; (ii) we are now turning our focus to increasing production to meet market demand, which should continue to have a positive impact on margins; (iii) we believe the strength of our brand, product assortment, and new product offerings are helping us drive growth and take share in an otherwise stable market; and (iv) we expect our fourth quarter sales will be up 10-12% over fiscal 2025 fourth quarter sales. We caution that these statements are qualified by important risks, uncertainties, and other factors that could cause actual results to differ materially from those reflected by such forward-looking statements. Such factors include, among others, economic, social, political, legislative, and regulatory factors; the impact of tariffs; the potential for increased regulation of firearms and firearm-related products; actions of social activists that could have an adverse effect on our business; the impact of lawsuits; the demand for our products; the state of the U.S. economy in general and the firearm industry in particular; general economic conditions and consumer spending patterns; our competitive environment; the supply, availability, and costs of raw materials and components; our anticipated growth and growth opportunities; our strategies; our ability to maintain and enhance brand recognition and reputation; our ability to effectively manage and execute the relocation; our ability to introduce new products and the success of new products; the potential for cancellation of orders from our backlog; and other risks detailed from time to time in our reports filed with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the fiscal year ended April 30, 2025.

Contact:
investorrelations@smith-wesson.com
(413) 747-3448

SMITH &WESSON BRANDS, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Unaudited)
			As of:
			January 31, 2026					April 30, 2025
			(In thousands, except par value and share data)
ASSETS
Current assets:
Cash and cash equivalents		$	18,421				$	25,231
Marketable securities			5,041					—
Accounts receivable, net of allowances for credit losses of $5 on January 31, 2026 and April 30, 2025			50,834					55,868
Inventories			175,264					189,840
Prepaid expenses and other current assets			7,702					6,260
Income tax receivable			4,271					66
Total current assets			261,533					277,265
Property, plant, and equipment, net of accumulated depreciation and amortization of $390,467 on January 31, 2026 and $368,811 on April 30, 2025			238,578					242,648
Intangibles, net			2,195					2,409
Goodwill			19,024					19,024
Deferred income taxes			9,584					10,260
Other assets			7,090					8,006
Total assets		$	538,004				$	559,612
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable		$	25,494				$	26,887
Accrued expenses and deferred revenue			18,770					24,678
Accrued payroll and incentives			11,246					9,060
Accrued profit sharing			1,389					4,636
Accrued warranty			1,244					1,379
Total current liabilities			58,143					66,640
Notes and loans payable			74,056					79,096
Finance lease payable, net of current portion			32,644					33,703
Other non-current liabilities			9,743					7,719
Total liabilities			174,586					187,158
Commitments and contingencies
Stockholders' equity:
Preferred stock, $0.001 par value, 20,000,000 shares authorized, no shares issued or outstanding			—					—
Common stock, $0.001 par value, 100,000,000 shares authorized, 44,493,745 shares issued and outstanding on January 31, 2026 and 75,789,455 shares issued and 44,111,461 shares outstanding on April 30, 2025			44					76
Additional paid-in capital			—					298,075
Retained earnings			363,374					532,615
Treasury stock, at cost (no shares on January 31, 2026 and 31,677,994 shares on April 30, 2025)			—					(458,312)
Total stockholders' equity			363,418					372,454
Total liabilities and stockholders' equity		$	538,004				$	559,612

 

SMITH & WESSON BRANDS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
			For the Three Months Ended January 31,										For the Nine Months Ended January 31,
			2026					2025					2026					2025
			(In thousands, except per share data)
Net sales		$	135,709				$	115,885				$	345,457				$	333,899
Cost of sales			100,120					87,938					257,444					247,261
Gross profit			35,589					27,947					88,013					86,638
Operating expenses:
Research and development			2,412					2,869					7,852					7,605
Selling, marketing, and distribution			11,170					10,336					30,259					29,839
General and administrative			15,482					12,379					42,263					40,959
Gain on sale/disposition of assets, net			(188)					(2,382)					(231)					(2,521)
Total operating expenses			28,876					23,202					80,143					75,882
Operating income			6,713					4,745					7,870					10,756
Other expense, net:
Other income/(expense), net			185					—					523					(11)
Interest expense, net			(1,527)					(1,723)					(4,117)					(3,875)
Total other expense, net			(1,342)					(1,723)					(3,594)					(3,886)
Income before income taxes			5,371					3,022					4,276					6,870
Income tax expense			1,618					920					2,017					2,078
Net income		$	3,753				$	2,102				$	2,259				$	4,792
Net income per share:
Basic - net income		$	0.08				$	0.05				$	0.05				$	0.11
Diluted - net income		$	0.08				$	0.05				$	0.05				$	0.11
Weighted average number of common shares outstanding:
Basic			44,493					44,038					44,384					44,627
Diluted			44,982					44,398					44,825					45,069

 

SMITH & WESSON BRANDS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
				For the Nine Months Ended January 31,
				2026					2025
				(In thousands)
Cash flows from operating activities:
Net income			$	2,259				$	4,792
Adjustments to reconcile net income to net cash provided by/(used in) operating activities:
Depreciation and amortization				23,706					23,860
Gain on sale/disposition of assets				(231)					(2,521)
Deferred income taxes				676					(63)
Stock-based compensation expense				6,364					5,724
Non-cash sublease income				(1,341)					(1,287)
Unrealized gain on marketable securities				(407)					—
Changes in operating assets and liabilities:
Accounts receivable				5,034					1,629
Inventories				14,576					(38,439)
Prepaid expenses and other current assets				(1,442)					(3,015)
Income taxes				(4,205)					(4,713)
Accounts payable				(893)					(16,750)
Accrued payroll and incentives				2,186					(8,160)
Accrued profit sharing				(3,247)					(7,201)
Accrued expenses and deferred revenue				(3,268)					(2,244)
Accrued warranty				(135)					(377)
Other assets				105					946
Other non-current liabilities				(123)					(232)
Net cash provided by/(used in) operating activities				39,614					(48,051)
Cash flows from investing activities:
Purchases of marketable securities				(4,634)					—
Payments to acquire patents and software				(62)					(150)
Proceeds from sale of property and equipment				136					2,668
Payments to acquire property and equipment				(18,914)					(14,314)
Net cash used in investing activities				(23,474)					(11,796)
Cash flows from financing activities:
Proceeds from loans and notes payable				25,000					70,000
Payments on notes and loans payable				(30,000)					—
Cash paid for debt issuance costs				(219)					(941)
Payments on finance lease obligation				(144)					(134)
Payments to acquire treasury stock				—					(25,468)
Dividend distribution				(17,444)					(17,375)
Proceeds to acquire common stock from employee stock purchase plan				743					749
Payment of employee withholding tax related to restricted stock units				(886)					(1,119)
Net cash (used in)/provided by financing activities				(22,950)					25,712
Net decrease in cash and cash equivalents				(6,810)					(34,135)
Cash and cash equivalents, beginning of period				25,231					60,839
Cash and cash equivalents, end of period			$	18,421				$	26,704
Supplemental disclosure of cash flow information
Cash paid for:
Interest, net of amounts capitalized			$	4,464				$	4,219
Income taxes			$	3,743				$	7,098

 

SMITH & WESSON BRANDS, INC. AND SUBSIDIARIES RECONCILIATION OF GAAP FINANCIAL MEASURES TO NON-GAAP FINANCIAL MEASURES (Dollars in thousands, except per share data) (Unaudited)
			For the Three Months Ended												For the Nine Months Ended
			January 31, 2026						January 31, 2025						January 31, 2026						January 31, 2025
			$		% of Sales				$		% of Sales				$		% of Sales				$		% of Sales
GAAP net sales		$	135,709					$	115,885					$	345,457					$	333,899
Relocation			—						(203)						—						(4,416)
Non-GAAP net sales		$	135,709					$	115,682					$	345,457					$	329,483
GAAP gross profit		$	35,589		26.2%			$	27,947		24.1%			$	88,013		25.5%			$	86,638		25.9%
Relocation expenses			(129)						1,096						(133)						2,830
Settlement			—						—						—						70
Non-GAAP gross profit		$	35,460		26.1%			$	29,043		25.1%			$	87,880		25.4%			$	89,538		27.2%
GAAP operating expenses		$	28,876		21.3%			$	23,202		20.0%			$	80,143		23.2%			$	75,882		22.7%
Relocation expenses			10						(149)						372						(586)
S&W Academy grand opening			34						—						(452)						—
Gain on sale of asset			—						2,257						—						2,257
Non-GAAP operating expenses		$	28,920		21.3%			$	25,310		21.9%			$	80,063		23.2%			$	77,553		23.5%
GAAP operating income		$	6,713		4.9%			$	4,745		4.1%			$	7,870		2.3%			$	10,756		3.2%
Settlement			—						—						—						70
Relocation expenses			(139)						1,245						(505)						3,416
S&W Academy grand opening			(34)						—						452						—
Gain on sale of asset			—						(2,257)						—						(2,257)
Non-GAAP operating income		$	6,540		4.8%			$	3,733		3.2%			$	7,817		2.3%			$	11,985		3.6%
GAAP net income		$	3,753		2.8%			$	2,102		1.8%			$	2,259		0.7%			$	4,792		1.4%
Settlement			—						—						—						70
Relocation expenses			(139)						1,245						(505)						3,416
S&W Academy grand opening			(34)						—						452						—
Gain on sale of asset			—						(2,257)						—						(2,257)
Tax effect of non-GAAP adjustments			50						311						15						(381)
Non-GAAP net income		$	3,630		2.7%			$	1,401		1.2%			$	2,221		0.6%			$	5,640		1.7%
GAAP net income per share - diluted		$	0.08					$	0.05					$	0.05					$	0.11
Settlement			—						—						—						—
Relocation expenses			—						0.03						(0.01)						0.08
S&W Academy grand opening			—						—						0.01						—
Gain on sale of asset			—						(0.05)						—						(0.05)
Tax effect of non-GAAP adjustments			—						0.01						—						(0.01)
Non-GAAP net income per share - diluted		$	0.08					$	0.03	(a)				$	0.05					$	0.13

 

(a) Non-GAAP net income per share does not foot due to rounding. 

SMITH & WESSON BRANDS, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP NET INCOME TO NON-GAAP ADJUSTED EBITDAS (In thousands) (Unaudited)
			For the Three Months Ended										For the Nine Months Ended
			January 31, 2026					January 31, 2025					January 31, 2026				January 31, 2025
GAAP net income		$	3,753				$	2,102				$	2,259			$	4,792
Interest expense			2,081					2,355					5,900				5,881
Income tax expense			1,618					920					2,017				2,079
Depreciation and amortization			7,177					7,548					23,527				23,754
Stock-based compensation expense			2,374					2,002					6,364				5,724
S&W Academy grand opening expense			(34)					—					452				—
Gain on sale of asset			—				#	(2,257)				#	—			#	(2,257)
Settlement			—					—					—				70
Relocation expense			(139)					1,230					(505)				3,143
Non-GAAP Adjusted EBITDAS		$	16,830				$	13,900				$	40,014			$	43,186
Non-GAAP Adjusted EBITDAS Margin			12.4%					12.0%					11.6%				13.1%

 

SMITH & WESSON BRANDS, INC. AND SUBSIDIARIES
RECONCILIATION OF NET CASH (USED IN) / PROVIDED BY OPERATING ACTIVITIES TO FREE CASH FLOW (In thousands) (Unaudited)
			For the Three Months Ended									For the Nine Months Ended
			January 31, 2026				January 31, 2025					January 31, 2026				January 31, 2025
Net cash provided by/(used in) operating activities		$	20,456				(9,839)				$	39,614			$	(48,051)
Payments to acquire property and equipment			(3,633)				(6,310)					(18,914)				(14,314)
Free cash flow		$	16,823			$	(16,149)				$	20,700			$	(62,365)

 

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/286362

FAQ

What were Smith & Wesson (SWBI) Q3 fiscal 2026 net sales and growth?

Q3 net sales were $135.7 million, a 17.1% increase year-over-year. According to the company, the sales gain was driven by higher handgun unit shipments and improved pricing and product mix during the quarter.

How did Smith & Wesson (SWBI) profitability perform in Q3 fiscal 2026?

Q3 net income was $3.8 million, or $0.08 per diluted share. According to the company, non-GAAP net income was $3.6 million with adjusted EBITDAS of $16.8 million, reflecting margin expansion.

What dividend did Smith & Wesson (SWBI) announce with the Q3 results?

The board authorized a $0.13 per share quarterly dividend, payable April 2, 2026 to holders of record on March 19, 2026. According to the company, this is consistent with its capital allocation strategy.

What guidance did Smith & Wesson (SWBI) provide for fiscal Q4 2026 sales?

The company expects fiscal Q4 sales to be up 10-12% versus fiscal 2025 Q4. According to the company, this outlook reflects increased production to meet market demand and continued product momentum.

Where and when will Smith & Wesson (SWBI) discuss its Q3 fiscal 2026 results?

Smith & Wesson will host a conference call and webcast on March 5, 2026 at 5:00 p.m. ET to review Q3 results. According to the company, the live and archived webcast will be available on its investor relations website.