News

Sturm, Ruger & Co., the Connecticut-based firearms manufacturer, has reported a modest increase in sales for both the fourth quarter and full year of 2025, supported by new product launches and continued demand across its product portfolio. However, the results have drawn criticism from Beretta Holding, the company’s largest shareholder.

For the fourth quarter of 2025, Ruger recorded net sales of $151.1 million, representing a 3.6 percent increase compared with $145.8 million in the same period of 2024. Diluted earnings for the quarter were $0.21 per share, down from $0.62 per share in the fourth quarter of 2024. On an adjusted basis, diluted earnings were $0.26 per share.

Full-year net sales for 2025 reached $546.1 million, a 1.9 percent increase compared with $535.6 million in 2024. However, the company reported a full-year loss of $0.27 per share, compared with diluted earnings of $1.77 per share in the previous year. Adjusted diluted earnings per share were $0.84 in 2025, compared with $1.86 in 2024.

The company’s board of directors also declared a dividend of $0.08 per share for the fourth quarter. The dividend will be paid on March 31, 2026, to shareholders of record as of March 16, 2026, representing approximately 40 percent of net income.

Todd Seyfert, president and chief executive officer of Ruger, said the results reflected continued demand despite a challenging market environment.

“We are encouraged by our fourth quarter and full-year results, with revenues exceeding the same periods last year despite a challenging consumer environment. This performance reflects the strength of our product strategy and our continued focus on innovation,” Seyfert said.

During the fourth quarter, Ruger introduced 65 new models, including three new platforms: the Glenfield by Ruger rifle, the Red Label III shotgun and the Harrier rifle. The company said these products are seeing strong demand in the market.

Additional product growth has also been supported by the continued expansion of the Marlin rifle line, the American Rifle Generation II family and the RXM pistol lineup.

According to the company, estimated sell-through of Ruger products from distributors to retailers increased by 4.5 percent in 2025, despite a 4.1 percent decline in adjusted National Instant Criminal Background Check System (NICS) figures during the same period.

Sales of new products introduced over the past two years accounted for $173 million, or 33 percent, of total firearm sales during 2025.

Ruger also reported inventory reductions during the year. Finished goods inventory decreased by 47,700 units following the rationalisation of certain models during the second quarter, while distributor inventories declined by 33,500 units, reflecting what the company described as strong retail demand for new products.

The company generated $54.3 million in cash from operations in 2025. As of December 31, 2025, Ruger held $92.5 million in cash and short-term investments, with a current ratio of 3.9 to 1 and no debt.

Capital expenditures for the year totalled $30.9 million, including $15.0 million related to the Anderson acquisition in Hebron, Kentucky.

During 2025, Ruger returned $36.1 million to shareholders through $10.1 million in dividends and $26.0 million in share repurchases, buying back approximately 733,000 shares at an average cost of $35.60 per share.

Seyfert said the company remains focused on improving profitability and aligning production capacity with market demand.

“While our product momentum and demand remain strong, we must stay focused on improving our bottom-line performance. As I outlined last year, increasing profitability, aligning our manufacturing footprint with demand and right-sizing the business for the future are not optional – they are essential,” he said.

Following the results announcement, Beretta Holding S.A., which owns approximately 9.95 percent of Ruger’s outstanding shares, issued a statement criticising the company’s recent performance and strategy.

“The Company’s fourth quarter and full-year 2025 results underscore a clear and growing disconnect between management’s rhetoric and actual performance – a disconnect that cannot be explained away as cyclical or temporary headwinds. Instead, these results appear to reveal a management team and Board that are failing to execute effectively and are doubling down on a failed strategy that is eroding value for shareholders, employees and customers,” the company said.

Beretta Holding also pointed to declining margins, falling average selling prices and increased administrative expenses as indicators that the company’s current strategy is not delivering sustainable profitability.

The company has previously announced it will nominate four independent director candidates for election to Ruger’s board at the 2026 annual meeting of shareholders.

The statement added: “Ruger employees, customers and shareholders deserve better accountability and a strategic reset that prioritizes operational excellence and real value creation.”

Ruger has filed its Annual Report on Form 10-K for 2025 with the U.S. Securities and Exchange Commission.