GrabAGun Digital (PEW) Q3 2025 earnings summary

Executive summary

• Q3 2025 revenue reached $22.3 million, up 10% year-over-year, with firearms sales rising 12% to $18.1 million on 16% volume growth, outperforming industry trends as FBI NICS data declined 5.3%.

• Net loss was $3.3 million versus net income of $0.6 million in Q3 2024, primarily due to $3.2 million in stock-based compensation and legal/accounting expenses from the Business Combination.

• Mobile engagement continued to rise, with mobile sessions up 13% year-over-year, accounting for 67% of orders and 64% of revenue.

• Lifetime value (LTV) improved across all cohorts, with new customer LTV up 8.4%, existing customer LTV up 5.7%, and overall LTV up 11%.

• The Business Combination with Colombier closed in July 2025, resulting in a reverse recapitalization and $119.4 million in net proceeds.

Financial highlights

• Gross profit margin improved to 11%, up from 9% in Q3 2024; gross profit for Q3 2025 was $2.4 million.

• Loss from operations was $4.2 million, compared to $0.5 million income in Q3 2024.

• Adjusted EBITDA was a $0.3 million loss, down from $0.6 million in Q3 2024.

• Cash and cash equivalents stood at $109.5 million as of September 30, 2025, with no debt.

• Net working capital at September 30, 2025: $106.6 million.

Outlook and guidance

• Expecting mid to high single-digit year-over-year revenue growth in Q4 2025 and slight sequential gross margin improvement.

• Management expects existing cash resources and Business Combination proceeds to fund operations for at least the next twelve months.

• Marketing spend and inventory investments to increase in Q4 to drive growth and margin expansion.

• Continued investment in technology, supplier relationships, and customer experience to drive scale and operational efficiency.

• Continued focus on building scale, efficiency, and operating leverage for long-term value creation.