Last month, the company’s stock fell to a 7-year low of $8.52 over concerns about the future of the firearms market. American Outdoor has been trying to focus more on outdoor-related offerings rather than the firearms business recently.
The gunmaker combined its electro-optics operating unit with
its outdoor products unit to drive efficiencies. In January, the company also
acquired LaserLyte as part of its electro-optics platform.
In the third quarter, American Outdoor reported a 2.9% increase in net sales to $162 million. Due to the restructuring of the electro-optics business and related impairment charges, the company recorded a net loss of $0.10 per share in the period. Adjusted EPS was $0.16 per share.
For the fourth quarter, AOBC has guided for revenues in the range of $162-172 million and adjusted EPS in the range of $0.11-0.15 per share. For the full year of 2019, revenue is expected to be $625-635 million and adjusted EPS is expected to be $0.69-0.73.
AOBC’s shares have fallen 29% year to date.