Sturm, Ruger & Company, Inc. Reports Third Quarter 2026 Results

November 04, 2026

- Delivered Third Quarter Net Sales of $147.6 Million, a 16.5% Increase Year-Over-Year
- Earnings per Share was $0.36, a 260% Increase Year-Over-Year
- Adjusted Earnings per Share was $0.44, a 340% Increase Year-Over-Year
- Declares Quarterly Dividend of $0.18 Per Share

Sturm, Ruger & Company, Inc. (NYSE-RGR) ("Ruger" or the "Company") announced today its financial results for the third quarter 2026.

Third Quarter 2026 Financial Highlights

• The Company achieved net sales of $147.6 million, a 16.5% increase over the $126.8 million achieved in the corresponding period in 2025.
• Diluted earnings were $0.36 per share compared to $0.10 per share in the corresponding period in 2025.
• On an adjusted basis, diluted earnings for the third quarter of 2026 were $0.44 per share compared to $0.10 per share in the corresponding period in 2025.
• Average selling price remained strong both year-over-year and sequentially, reaching approximately $377 for the quarter.
• Gross margin increased to 20.7%, up from 15.1% in Q3 2025, driven by improved cost control, product mix and operational execution.
• Net income was up 266.9% year-over-year to $5.8 million.
• Adjusted EBITDA was up 401.9% year-over-year to $14.3 million.
• Net income margin for the quarter was 3.9% and adjusted EBITDA margin was 9.7%.

The Company announced today that its Board of Directors declared a dividend of $0.18 per share for the third quarter for shareholders of record as of November 20, 2026, payable on December 4, 2026. This dividend equates to approximately 40% of adjusted net income of $0.44 per share for the third quarter of 2026.

"Our third quarter results reflect continued operational progress," said Todd Seyfert, President and Chief Executive Officer. "We delivered another quarter of year-over-year and sequential sales growth while also delivering year-over-year and sequential improvement in profitability. While we are encouraged by the top-line growth, we remain equally focused on translating that growth into stronger bottom-line performance through disciplined cost management, improved product mix and enhanced operational execution."

Third Quarter 2026 Operational Highlights

Throughout the quarter, Ruger continued advancing several initiatives supporting its Ruger 2030 strategy. The Company expanded the implementation of the Ruger Business System across the organization, further developing the tools, processes and capabilities necessary to support growth, cost reduction and quality leadership, resulting in greater profitability.

Business simplification is another important Ruger 2030 initiative. As part of the ongoing product portfolio review, the Company announced in October that it would suspend production of a limited number of product families. Collectively, these products represent approximately $25 million of the Company's total revenues and generate minimal to no profitability. These actions enable Ruger to reduce complexity, improve manufacturing efficiency and allocate resources toward products and platforms with stronger consumer demand, profitability and long-term growth potential.

Importantly, suspension does not necessarily mean permanent discontinuation. Ruger intends to evaluate opportunities to redesign and reposition select products where meaningful improvements in consumer value, manufacturability and profitability can create a stronger opportunity for their return to the market. New product development remains a cornerstone of Ruger's strategy and an important driver of future growth.

"Portfolio rationalization makes Ruger stronger," Seyfert said. "We are taking a disciplined look at where we deploy our people, equipment and capital and ensuring those resources are aligned with the products and markets with the greatest opportunities for consumer demand, profitability and long-term growth."

An important milestone during the quarter was the implementation of the Company's new Oracle enterprise resource planning platform. The updated ERP system provides a technology foundation designed to improve business visibility, strengthen decision-making and support process integration and best practices across the enterprise.

Year-to-Date 2026 Highlights
Through the first nine months of 2026, the Company continued executing its 2026 Plan while strengthening its financial and operational foundation. Other highlights include:

• The Company achieved net sales of $447 million for the period, a 13% increase over the $395 million achieved in the corresponding period in 2025.
• Diluted earnings were $0.79 per share for the period compared to a diluted loss of $0.48 per share in the corresponding period in 2025.
• On an adjusted basis, excluding severance costs related to a first quarter reduction-in-force and legal, professional and advisory fees and other expenses related to stockholder matters, diluted earnings for the first nine months of 2026 were $1.23 per share compared to adjusted earnings of $0.65 per share for the same period in 2025. The 2025 adjusted earnings exclude the inventory and related other asset write-off, product rationalization, and organizational realignment incurred in the second quarter of 2025.
• Cash generated from operations during the first nine months of 2026 totaled $24.2 million, compared to $38.8 million in 2025. As of September 26, 2026, Ruger's cash and short-term investments totaled $101.4 million. The Company's current ratio is 3.0 to 1 and it has no debt.
• For the period, capital expenditures totaled $8.9 million. The Company expects capital expenditures to total approximately $30 million for the year for continued investments in new product introductions, expanded capacity for product lines in greatest demand, upgraded manufacturing capabilities and strengthened facility infrastructure.
• In the first nine months, the Company returned $6.4 million to its shareholders through the payment of quarterly dividends. The Company did not repurchase any shares of its common stock during the period.

"As we approach the end of 2026, we are increasingly confident in the progress we're making across Ruger," Seyfert concluded. "We are growing the top line, improving profitability and making investments in the systems, manufacturing capabilities and products that will define our future. There is still important work ahead, but we are doing what we said we would do – delivering our 2026 Plan while building the capabilities necessary to execute the Ruger 2030 strategy."

"Ruger is financially healthy, our strategy is clear and our organization is aligned around its execution. The decisions we're making today are designed not simply to improve the next quarter, but to build a stronger, more agile and more profitable Ruger capable of creating durable long-term value for our shareholders."

Today, the Company filed its Quarterly Report on Form 10-Q for the third quarter of 2026. The financial statements included in this Quarterly Report on Form 10-Q are attached to this press release. - View Release

The Quarterly Report on Form 10-Q for the third quarter of 2026 is available on the SEC website at SEC.gov and the Ruger website at Ruger.com/corporate. Investors are urged to read the complete Quarterly Report on Form 10-Q to ensure that they have adequate information to make informed investment judgments.

Earnings Call Information

The Company will host a webcast at 4:30 p.m. ET today to discuss the third quarter 2026 financial results. Participants may access the live webcast via this link or by visiting Ruger.com/corporate. Those who wish to ask questions during the webcast will need to pre-register prior to the meeting.