Bulls Eye: Smith and Wesson Sales Sky Rocket: “We Are At Maximum Capacity”
June 26th, 2013
Economic growth from the first quarter may have just gone boom as American wages collapse and the prospects for jobs continue to deteriorate, but one industry is breaking records without fail every month.
Firearms manufacturer Smith and Wesson reported a 37% increase in sales year-over-year, with President James Debney noting that demand for product isn’t waning and production capacity is the only bottleneck (so, if they had more manufacturing plants, sales would be even higher).
President James Debney:
“…gains over the year were driven by strong consumer demand for our products, which we believe is due to heightened awareness paired with our ability to significantly increase our manufacturing capacity. Full year sales growth of nearly 43% was driven in large part by our increased M&P production. Demand remains strong across our product portfolio…
“While we significantly increased our production capacity in fiscal 2013, we remained capacity constrained as we have in the past five quarters. We plan to continue intelligently increasing capacity in fiscal 2014.
“…Sales for the quarter rose 37.6% year-over-year. Gross margins in the high 30s continue to expand …”
According to the report, Smith and Wesson manufacturing operations are running at maximum capacity.