Business news : Freedom Group's Q1 Revenues Jump 17 Percent
Freedom Group, the parent of Remington Arms, Bushmaster, DPMS and Marlin., reported sales climbed 16.8 percent in its first quarter ended March 31, to $205.6 million, according to a filing with the Securities & Exchange Commission.
Freedom Group posted net earnings of $6.3 million in the period, rebounding from a loss of $9.5 million a year ago. Net sales of Firearms were $127.4 million, an increase of $32.5 million, or 34.2 percent. Centerfire rifle sales increased $24.4 million, while handgun sales increased $1.9 million. In addition, rimfire rifle sales increased $3.1 million and shotgun sales increased $1.2 million, while sales of other firearms and firearm products increased $1.9 million. These increases were primarily the result of increased demand in the market place for modern sporting products, as well as volumes associated with its handgun introduction and new shotgun product offerings.
Ammunition sales were $69.2 million, a decrease of $4.3 million, or 5.9 percent. Sales of shotshell ammunition decreased $3.8 million, sales of centerfire ammunition decreased $0.4 million, and sales of components and other ammunition products decreased $1.0 million, as the company initiated a program to rationalize unprofitable SKUs.
These decreases were partially offset by increased sales of rimfire ammunition of $0.9 million.
Sales the All Other segment, which includes Mountain Khakis, reached $9.0 million in the quarter, an increase of $1.3 million as compared to the prior year period due to higher sales volumes in our various accessories and apparel businesses. Freedom owns a 75 percent stake in Mountain Khakis.