Sturm, Ruger & Company (RGR) investor relations material

Executive summary

• Net sales for Q2 2026 reached $158.1 million, up 19.3% year-over-year, driven by strong core product demand, new product introductions, and improved manufacturing execution.

• Adjusted EBITDA for Q2 2026 was $16.6 million (10.5% margin), up 205% year-over-year, reflecting favorable product mix, premiumization, and manufacturing efficiencies.

• Diluted EPS was $0.43, reversing a prior year loss; adjusted EPS rose to $0.52 from $0.41.

• Net income for Q2 2026 was $7.0 million, compared to a $17.2 million loss in Q2 2025.

• The Ruger Business System was formally established to drive operational excellence and consistency.

Financial highlights

• Cash generated from operations exceeded $17 million in Q2 and $36 million year-to-date, up 39% over 2025.

• Cash and short-term investments totaled $117.5 million as of June 27, 2026; current ratio stood at 3.3:1 with no debt.

• Quarterly dividend of $0.21 per share declared, representing approximately 40% of adjusted net income.

• Year-to-date net sales were $299.4 million, up 12% over 2025.

• Adjusted EBITDA for the first half was $27.5 million (9.2% margin).

Outlook and guidance

• Priorities for the remainder of 2026 include improving profitability, aligning factory capacity with demand, and expanding into new markets.

• Capital expenditures for 2026 projected at $30 million, focused on capacity, innovation, and flexibility.

• New product launches postponed in Q2 due to strong demand for existing products; short-term delays expected.

• Company expects continued focus on operational efficiency and strategic alignment under the Ruger 2030 plan.