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SWBI

Smith & Wesson Brands, Inc.

SWBI

Smith & Wesson Brands, Inc. • NASDAQ
$8.71 ▼ -0.34% (-0.03)
Market Cap $385.14 M
52w High $14.20
52w Low $7.73
Dividend Yield 0.52%
P/E 33.5
Volume 117.64K
Outstanding Shares 44.22M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q1-2026 $85.077M ▼ $25.075M ▼ $-3.411M ▼ -4.009% ▼ $-0.077 ▼ $5.54M ▼
Q4-2025 $140.762M ▲ $25.896M ▲ $9.735M ▲ 6.916% ▲ $0.22 ▲ $22.628M ▲
Q3-2025 $115.885M ▼ $23.822M ▼ $1.663M ▼ 1.435% ▼ $0.038 ▼ $11.724M ▼
Q2-2025 $129.679M ▲ $27.574M ▲ $4.134M ▲ 3.188% ▲ $0.093 ▲ $15.18M ▲
Q1-2025 $88.334M $26.054M $-2.106M -2.384% $-0.046 $6.186M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q1-2026 $21.183M ▼ $554.633M ▼ $190.254M ▲ $364.379M ▼
Q4-2025 $25.231M ▼ $559.612M ▼ $187.158M ▼ $372.454M ▲
Q3-2025 $26.704M ▼ $578.857M ▼ $214.786M ▼ $364.071M ▼
Q2-2025 $39.093M ▲ $587.443M ▲ $218.378M ▲ $369.065M ▼
Q1-2025 $35.515M $571.268M $193.282M $377.986M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q1-2026 $-3.411M ▼ $-8.11M ▼ $-7.464M ▼ $8.307M ▲ $-7.267M ▼ $-12.401M ▼
Q4-2025 $9.735M ▲ $40.828M ▲ $-7.377M ▼ $-34.924M ▼ $-1.473M ▲ $33.5M ▲
Q3-2025 $1.664M ▼ $-9.839M ▼ $-3.917M ▼ $1.367M ▼ $-12.389M ▼ $-16.187M ▼
Q2-2025 $4.132M ▲ $-7.397M ▲ $-3.214M ▲ $14.189M ▲ $3.578M ▲ $-2.674M ▲
Q1-2025 $-2.106M $-30.815M $-4.665M $10.156M $-25.324M $-35.538M

Revenue by Products

Product Q2-2020Q3-2020Q4-2020Q1-2021
Firearm
Firearm
 $0 ▲$0 ▲$0 ▲$230.00M ▲
Outdoor Products And Accessories
Outdoor Products And Accessories
 $40.00M ▲$40.00M ▲$60.00M ▲$50.00M ▼
Firearms
Firearms
 $110.00M ▲$130.00M ▲$200.00M ▲$0 ▼

Five-Year Company Overview

Income Statement

Income Statement Revenue and profits have clearly come off the pandemic-era peak and are now running at a much lower, more “normalized” level. The company is still profitable, but margins are much slimmer than they were a few years ago, and earnings per share have compressed sharply from prior highs. This pattern fits a classic firearms cycle: a surge in demand followed by a reset. The recent slight drift down in revenue after a small rebound suggests the company is still working through a softer demand environment and more competitive pricing, but not a structural collapse.

Balance Sheet

Balance Sheet The balance sheet looks solid and relatively conservative. Total assets and shareholders’ equity have gradually grown over the period, indicating reinvestment and retained earnings over time. Debt remains modest compared with equity, so leverage does not appear excessive. Cash on hand has trended down from its earlier high point, although it is not depleted, which suggests the company has been using prior cash build-ups to fund operations, investments, and possibly capital returns. Overall, financial flexibility appears reasonable, but the company is not sitting on the same cash cushion it had right after the boom.

Cash Flow

Cash Flow Cash generation has been uneven, which is typical for a cyclical manufacturer. Operating cash flow was very strong during the demand surge, then became choppy, including a recent period of slightly negative operating cash. Free cash flow shows the same lumpiness, with some years of strong surplus and others where investment and working capital swings consumed cash. Capital spending has stepped up versus earlier years, indicating deliberate investment in capacity, tooling, or efficiency. The main takeaway is that cash flow is acceptable over the cycle but can be volatile year to year, so the company needs to keep managing inventory and spending carefully during weaker demand phases.

Competitive Edge

Competitive Edge Smith & Wesson enjoys a powerful legacy brand in firearms, with deep recognition among consumers, law enforcement heritage, and a reputation for reliability. The M&P pistol platform gives it a strong presence in the modern handgun category, and its vertical integration and flexible manufacturing help it adjust production as demand shifts. The Performance Center and specialty product lines allow the firm to address higher-end, enthusiast, and collector segments, which support brand prestige and better margins. That said, the market is crowded, consumer demand is highly sensitive to political and regulatory shifts, and the company operates in an industry where product differentiation is meaningful but not insurmountable for strong rivals.

Innovation and R&D

Innovation and R&D Innovation is focused on product refinement and manufacturing excellence rather than on radically new technologies. The company has steadily upgraded core platforms like the M&P series, improving ergonomics, triggers, materials, and compatibility with modern accessories such as optics. The Performance Center functions as an internal skunkworks, turning out premium, tuned variants that showcase engineering capabilities. Smith & Wesson also leverages advanced machining and in-house forging to maintain quality and control costs. At the same time, it is deliberately avoiding “smart gun” concepts, favoring proven mechanical designs over electronics. This stance aligns with much of its customer base but could become a strategic question if regulations or consumer preferences shift toward more technology-heavy safety features.

Summary

Overall, Smith & Wesson looks like a classic cyclical manufacturer that rode an exceptional demand spike and is now operating in a much more normal, lower-volume environment. Profitability remains positive but far below peak levels, and cash flows are bumpier, yet the balance sheet is reasonably strong with modest debt. The brand, core product platforms, and specialized Performance Center offerings provide a real competitive edge, while ongoing incremental innovation keeps products relevant without transforming the business model. Key uncertainties center on demand cycles, regulatory and political risk, and how the company balances capital investment and shareholder returns in a less buoyant sales environment.

NEWS

November 20, 2025 · 4:05 PM UTC

Smith & Wesson Brands, Inc. Second Quarter Fiscal 2026 Financial Release and Conference Call Alert

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September 4, 2025 · 4:05 PM UTC

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

Read more