Sturm, Ruger & Company announced net sales of nearly $180 million for the quarter ending June 30, which represents an earnings increase of 79% compared to the same quarter in 2012. The company reported fully diluted earnings of $1.63/share compared to 91¢/share for the same quarter last year.
From January 1 – June 29, 2013, the company reported net sales of more than $335 million – up more than $100 million when compared to the first half of 2012.
Ruger attributed new product introductions as a “significant component” of the sales growth, citing new product sales represented $102.7 million of firearms sales in the first half of 2013. The LC380 and SR45 pistols were specifically mentioned as being part of that sales growth.
The profits should not be a surprise to most observers. Ruger firearms have been selling very well. Orders for Ruger firearms have been so high in the past few years, that the company stopped taking new orders for a period of time.
The recent firearms buying frenzy likely contributed to the bottom line, but the sales growth is likely part of a long term trend. Ruger recently announced their intention to purchase a new manufacturing facility in North Carolina. The new Ruger plant is expected to produce up to ten new lines of firearms.
Michael Fifer stated in the past that the two main sticking points for new product development has been manufacturing capacity and the availability of quality engineers. The new North Carolina facility will give Ruger the space to grow, while also allowing them to tap into the local market for engineers and skilled labor.
With a new plant and growth being driven by new product introductions, I expect to see some exciting things from the company at the SHOT Show next year.