Smith & Wesson stock rises after fourth-quarter results top expectations, dividend hike

Shares of Smith & Wesson Brands Inc.
SWBI,
-3.93%
on Thursday rose after hours after the gun maker reported fiscal fourth-quarter results that topped expectations and said its board approved a 20% dividend hike. The company reported net income of $12.8 million, or 28 cents a share, compared with $36.1 million, or 79 cents a share, in the same quarter last year. Sales fell 20.1% to $144.8 million, compared with $181.3 million in the prior-year quarter. Adjusted for relocation expenses, Smith & Wesson earned 32 cents a share. Analysts polled by FactSet expected adjusted earnings per share of 29 cents, on sales of $138.4 million. Chief Executive Mark Smith said markdowns on firearms helped clear stockrooms at gun stores and distributors, and said it expected consumer demand “to resemble demand in fiscal 2023.” Shares rose 2.6% after hours.