Smith & Wesson Lifts Q3, FY Guidance; Shares Up - Quick Facts

(RTTNews) - Firearms maker Smith & Wesson Holding Corp. (SWHC) is raising its guidance for its third quarter and full fiscal 2015. The company indicated that it has seen recent, positive trends in the primary indicators it uses to assess its business and the consumer firearm market. On December 11, 2014, the firm completed Battenfeld Technologies acquisition, and this updated outlook includes estimated BTI results.

For the third quarter of fiscal 2015, the company now sees net sales of between $124.0 million and $126.0 million and GAAP earnings per share from continuing operations of between $0.10 and $0.11. GAAP earnings include expected one-time BTI acquisition costs of $0.02 per share related to amortization of backlog and $0.03 per share related to deal costs. Excluding one-time acquisition costs, third-quarter earnings per share for the company from continuing operations would be likely to be between $0.15 and $0.16.

On average, 5 analysts polled by Thomson Reuters expect earnings of $0.06 per share, on $116.98 million revenues for the third quarter. Analysts' estimates typically exclude special items.

For full 2015 fiscal year, the firm currently projects net sales of between $526.0 million and $530.0 million and GAAP earnings per share from continuing operations of between $0.68 and $0.72. Those GAAP earnings include expected one-time BTI acquisition costs of $0.03 per share on amortization of backlog and $0.03 per share related to deal costs.

Without those one-time acquisition costs, annual earnings per share for the company from continuing operations would be expected to be between $0.74 and $0.78. Analysts currently estimate annual earnings of $0.63 per share on revenues of $517.18 million.

Earlier, fiscal 2015 earnings from continuing operations were estimated to be in the range of $0.66 to $0.70 per share and sales of $504.0 million to $508.0 million. Previously, the company also projected third-quarter earnings from continuing operations of $0.09 to $0.11 per share and net sales of $113.0 million to $118.0 million.

Following this, Springfield, Massachusetts-based Smith & Wesson's shares grew by 9.78 percentage or $0.98 in the pre-market trading session.