Remington board dissatisfied with company performance
By Daniel Terrill
A Remington Arms advertisement from a simpler time — when boys wore suits and hats to hunt rabbits. (Image: Pinterest)
“Neither the board nor I are satisfied with our first half 2017 financial performance,” said James Geisler, executive chairman of the board for Remington Outdoor Company, during Tuesday’s conference call with investors.
The company reported a $9.5 million loss for the quarter ending July 2 due to high inventory levels coupled with low demand. That brings the total loss this year to $44.5 million, which is largely due to impairment costs.
Geisler explained Remington has had a weak couple of quarters, but they’re in line with cyclical patterns following an election cycle. Historically, gun sales decline starting in the spring and hit a low point in the summer, but see an uptick just before hunting season and peak around holiday shopping.
Six months into the calendar year, gun sales have only declined 7.6 percent nationwide and sales for long guns — rifles and shotguns, which Remington mainly produces — also declined by 7.6 percent, federal data shows. For Remington, that translates as a 29 percent drop in firearm sales and 20 percent drop in ammo sales.
Remington — along with the rest of the industry