Ruger Sales Plummet 22 Percent

Sturm, Ruger and Company’s sales tanked in its first quarter, according to regulatory filings published this week.

Net sales topped $167.4 million through March 31 — a 22 percent decline over last year. The gun maker blamed “unfavorable de-leveraging of fixed manufacturing costs due to the decline in production volume” in a news release Tuesday. The gun maker will host a conference call with shareholders Wednesday.

Sales of new products introduced within the last two years — the Pistol Caliber Carbine, the Mark IV pistol, the LCP II pistol, the EC9s pistol, the Security-9 pistol, and the Precision Rimfire Rifle — generated $37.2 million, representing just under one third of the company’s total firearm sales.

The dismal earnings come three months after Chief Executive Officer Chris Killoy told investors the company cut 700 positions, reducing its workforce by 28 percent.

“While we reduced production in 2017, we were mindful of the impact that would have on our people, operations and profitability,” he said. “However, we had to make some difficult decisions. We developed a strategic plan focusing on not selling positions vacated through attrition and the reduction of overtime while carefully monitoring our headcount.”

“As a result, Ruger is better positioned to succeed in 2018,” he added.

Ruger reported annual net sales of $522.3 million last year, down 21 percent over 2016 — the biggest on record for federal background checks and by proxy, estimated gun sales.

source: guns.com

  • marcus J

    It is a shame to read this , I have always liked Sturm Ruger and their products , Especially knowing that many of their Firearms are made in Prescott Arizona , I live in Southern Arizona

  • Buck

    Rugers are good I have owned many of them. My opinion is they bounce around change there stuff to much and In the process make the cost go up. I’d like to see them settle with a gun for a few years. Do kinda like Volkswagen did for years with the beetle . I may be wrong but it’s my opinion

    • Robotron123

      You never hear about Remington losing sales! You’re probably right!

      • NRA_Life_Member

        I believe Remington just filed bankruptcy, didn’t they?

        • David Roosa

          Yes they did. They also took over Marlin operations before that. What does that tell ya?

  • I also have a couple of Ruger rifles and I like them.

  • USCBIKER

    Ruger’s problems aren’t caused by making too few guns, they’re caused by them making too damn many guns that simply do not compete with their rivals. Ruger’s been lazy for 15-20 years in R & D and the competition has passed them by.

    • David Roosa

      Seems ever since Mr. Ruger passed. I like the firearms, but the quality just isn’t the same as it was.