Shares of American Outdoor Brands (AOUT) - Get American Outdoor Brands, Inc. Report traded higher Wednesday after the provider of outdoor products and accessories for hunting, fishing, camping, shooting, personal security posted fiscal second-quarter earnings higher than a year earlier and raised its outlook for fiscal 2021.
Shares of the Columbia, Mo., company rose 10.98% to $17.58 in trading Wednesday.
American Outdoor reported earnings of $7.33 million, or 52 cents a share, compared with a year-earlier loss of $393,000, or 3 cents a share.
For the quarter ended Oct. 31, revenue rose 65.6% to $79 million from $47.74 million a year earlier.
"We believe we're witnessing a new foundational level of consumer participation in outdoor activities, an interest towards personal protection, and an interest in adjacent home-based hobbies that surround outdoor adventure, creating meaningful, long-term growth potential for our business well beyond 2020," said President and CEO Brian Murphy in a statement.
Gross profit for the three months to October almost doubled to $37 million from $19 million a year earlier.
"We believe our Adjusted EBITDAS margin of nearly 20% in the quarter demonstrates that we have designed and built a highly leverageable platform, made possible by earlier investments in our e-commerce and logistics capabilities," said Chief Financial Officer Andrew Fulmer.
"These capabilities, combined with customer order activity, which remained strong in the quarter, have allowed us to increase our outlook for the balance of fiscal 2021," he added.
American Outdoor Brands lifted its adjusted earnings estimate for 2021 to $1.49 to $1.67 a share. The company expects revenue of as much as $245 million for fiscal 2021.