American Rifleman | S&W Sales Up, CEO Claims ‘New Regular’
by Guy J. Sagi –
Thursday March 11th 2021
Smith & Wesson’s latest quarterly reports reflect a 102.2 percent increase in net sales – more than double the prior-year period – but the responses from Mark Smith, President and CEO of the company, during the conference call to the results below, shed light on the results the estimated arms sales in February. what some claim Telegraph is a significant slowdown. Sales rose last month compared to 2020, but not at the unprecedented rate seen during most of the year.
“January 2021 was the fifth largest NICS month ever,” said Smith. “And the February results, which were only released on Tuesday, show that even though gun sales have slowed sequentially, interest in the shooting sports remains very high. The daily rate of gun approval checks is unchanged consecutively, at 35 in February Percent up on the previous year. We expect NICS reviews to become more difficult at the start of the pandemic in March. But we also believe that the expanded consumer base has fundamentally increased the number of market participants. “
FFLs contacted by Smith & Wesson reported that the winter storm that hit the traditionally large gun-owning state reduced their operating hours in an already shortened month. “We spoke to some retailers who said yes, of course, because I was closed for a week because we had no electricity in the south or something,” explained Smith. “Well, I think, like I said, we have a bit of a confluence with a number of different factors going into February.”
Other variables he mentioned were a decline in new customers willing to settle for a weapon suitable for self-defense. “But people still come into the store and maybe where they wanted a Shield EZ – and it wasn’t available – they’d buy whatever was under the counter,” said Smith. “Now they kind of say, well, I’ll come back when you have it [it] available – availability. So, you have a little bit of it, maybe a little bit of that panic that is going on is easing a bit. “
According to Smith, February gun sales could be a more accurate picture of what to expect in the future. “[T]The demand is very high, ”he said. “We don’t know when this delay or… normalization will occur. And in all honesty, while we were talking – as we said in the prepared comments, there are a lot more participants in the industry right now. So I definitely believe we are on a new normal, if you will. “