Sturm, Ruger & Company (RGR) Q3 2026 earnings summary

Executive summary

• Q3 net sales rose 16.5% YoY to $147.6M; diluted EPS was $0.36 vs. $0.10, and adjusted diluted EPS was $0.44.

• 9M net sales increased 13.2% to $447.0M; net income was $12.9M vs. a $7.9M loss.

• New products generated $99.5M, or 24% of 9M firearm sales; Hebron was operating at target capacity at quarter-end.

Financial highlights

• Q3 net income was $5.8M vs. $1.6M; operating income was $6.0M vs. an operating loss of $3.5M.

• Q3 firearm sales were $146.8M, up 16.4% YoY; castings sales were $0.8M, up 25.6%.

• Q3 diluted EPS was $0.36 vs. $0.10; adjusted diluted EPS was $0.44.

• Adjusted EBITDA was $14.3M in Q3 vs. $2.9M; 9M adjusted EBITDA was $41.8M vs. $22.6M.

• 9M operating income was $11.7M vs. an operating loss of $15.7M; diluted EPS was $0.79 vs. a $0.48 loss, and adjusted EPS was $1.23 vs. $0.65.

Outlook and guidance

• FY2026 capital expenditures are expected to total $20M–$30M for new products, manufacturing equipment and facility upgrades, funded from operations and cash.

• Production suspensions and final 2026 production and allocation apply to selected products representing ~$25M of revenue and minimal to no profitability; redesigned products may be reconsidered.

• Backlog was described as healthy heading into Q4; lower ASP on units ordered reflected mix and shipment timing, viewed as short term.

• The Southport facility sale for $5.9M was expected to close in Q4 2026, subject to customary diligence and agreed terms.

• New product launches were on track for the next three to four months, with sales and marketing programs in place.