Shares of Vista Outdoor climbed Thursday after the shooting and outdoor products maker beat fiscal third-quarter profit and sales expectations.
Net income for the quarter to December 31st was $53.7 million, compared with a loss of $377.7 million in the same period a year ago. Of note, $48.8 million in net income was a result of recent federal tax reform. Revenue fell 11 percent to $581.2 million, but beat the forecast of $567 million.
Vista CEO Chris Metz says the company delivered solid third quarter results in a continuously challenging marketplace. He pointed to Vista’s generation of strong free cash flow, which enabled the company to repay $108 million of debt. Cash flow provided by operating activities year to date was $243 million, compared to $58 million a year prior. Gross profit was $126 million, down 25 percent from the prior-year quarter.
Vista Outdoor’s Shooting Sports segment, which comprises its firearms and ammunition brands, saw its third quarter sales down 21 percent, to $286 million.
Gross profits there were down 47 percent, to $52 million. (Vista Outdoor, Lewiston Tribune)
