Ruger’s sales are strong. Here’s why

21Ruger

This is not a political post of any sort: it’s always interesting to study arms and ammunition sales just ahead of any United States presidential election.

At least it might give you some explanation as to why your order isn’t shipping.

I remember the last election, when I had to wait for over a year for a lower, and the delay was quite irritating. I don’t know if the delivery situation is as extreme this time, but it doesn’t seem so (in general).

Sturm, Ruger & Co. Inc. (RGR) just released their Q3 figures, and as you could expect they’re having a good year.

Below: One year graph from Yahoo Finance.

Ruger

Buy on the rumor, sell on the news?

 

In their own words, here’s one reason why sales are strong: “stronger than normal industry demand during the summer, likely bolstered by the political campaigns for the November elections.”

No surprise there really, BUT – it’s not the only thing boosting sales.

Again in Ruger’s own words: “strong demand for certain new products, greater  availability  of  rimfire  ammunition  which spurred  demand for our 10/22 rifle and other rimfire firearms, and increased production of several products in strong demand.”

 

ruger

 

So, what’s selling?

New  product  sales, which  include those  launched  in  the  third  quarter  as  well  as the Ruger Precision  Rifle,  the AR-556  modern  sporting  rifle, and  the  LC9s  pistol,  were $58 million  or 36% of firearm sales in the third quarter of 2016.

Below, the AR-556:

1Ruger

As always, R&D and new products drive sales and at Ruger this is no exception.

“Sturm, Ruger & Company, Inc. (NYSE – RGR) announced  today  that  for the third quarter  of  2016 the  Company reported net  sales  of  $ 161.4 million and diluted earnings of $1.03 per share, compared with net sales of $ 120.9 million and diluted earnings of 62 ¢  per share in the third quarter of 2015.

For the nine months ended October 1, 2016, net sales were $502.5 million and diluted earnings were $3.48 per share.  For the corresponding period in 2015, net sales were $398.7 million and diluted earnings were $2.33 per share. The Company also announced today that its Board of Directors declared a dividend of 41 ¢ per share for the third quarter for stockholders of record as of November 18, 2016, payable on November 25,  2016.”

1Ruger

The Mark IV  pistols,  similar  to the classic Mark  III designs, but with a greatly simplified one-button takedown, the  LCP  II  pistol,  a major  re-design  of  the  popular  LCP  pistol  that  was introduced in 2008, and the American Compact pistols, an expansion of the American pistol family that was launched in 2015.

Below: Ruger Precision Rifle ver 1.0 with Schmidt & Bender 3-12 and Aimpoint Micro in a Spuhr mount. Swiss B&T sound suppressor. Caliber: 308 Win. Still hard to get deliveries of the RPR. 

RPR1

“New product sales include only major new products that were introduced in the past two years.

The  new  product  sales  percentage  is expected  to  decrease next  quarter  as sales  of the  AR-556  and the LC9s will no longer be included among the new products.”

 

The 2017 SHOT Show is around the corner, and it’s apparent that new products are needed to drive sales.

I have only one wish from Ruger: A Precision Rifle that can take larger calibers. I’ll have mine in .338 Lapua Magnum, or re-barelled into 6,x5x55 Swedish. Please reserve one for me. Thank you!



Eric B

Ex-Arctic Ranger. Competitive practical shooter and hunter with an European focus. Always ready to increase my collection of modern semi-automatic firearms, optics and sound suppressors.


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  • Drew Coleman

    Ruger makes solid guns for a good price with a great “warranty” to back them. It’s not surprising to me that they have strong sales.

    • albaby2

      Ruger doesn’t warrant their products. Look at your owers manual. I have a Mini 14 Ranch that ejects spent cartidges 15-20 feet and is dangerous to use where others are near, such as a range. Rugers reply when I asked for a fix: Older models do that and any attempt to modify the gas block would result in their not being held liable for the modification or any other part of my gun.

      • Mikial

        Actually, Ruger specifically says they don’t provide a written warranty because they want to be independent of the Magnuson – Moss Act but they will honor warranty-type issues on their guns. If you have a legitimate problem with a Ruger gun (rare in my personal experience) they will address and correct it. A rifle ejecting spent brass well away from the shooter is not really a malfunction, it’s just a characteristic of the rifle. Sort of like the fact that the M1 Garand ejects the empty clip pretty much straight up so that is can sometimes come right down on the shooter’s head. Not a malfunction, just a characteristic of the design.

        • albaby2

          The problem is, is that it ejects hard and hot cartrdiges onto the person next to you. The newer minis didn’t have ths problem so there is a fix, but Ruger won’t fix it. There are also aftermarket fixes but then Ruger denies responsibility for the entire gun. Why does Ruger have a problem with Moss-Magnuson when no one else seems to? Would you buy a new.
          car or anything else with no written warranty only hearsay that the manfacturer will make it right? I guess I will just have to live with the realization that the gun I paid $550 is only worth $ 150-200 in trade on a $1200 replacement. The gun is in perfect condition because it has spent most of its life in my safe.

  • c4v3man

    Just shot a new production SR762 and it’s a heck of a rifle. Kicks quite a bit less than my PTR91 which is impressive given how light the SR762 is. While the original reviews complained about the trigger it seems Ruger has fixed that now… it was a better trigger than my POF 3.5lb drop in trigger. Even cycles wolf steel cased ammo on the 3rd of the 4 gas settings even through the fourth is recommended for steel cased ammo… kicked the cases easily 10-15ft to the right.

    • Billy Jack

      How’s your PTR91’s trigger?

      • c4v3man

        Stock PTR trigger, so nothing to write home about. Kinda long and mushy, but I have a 22lr conversion kit that let me get some cheap trigger time until I can the pack to Bill Springfield. I was only comparing the recoil impulse between the 18″ barreled PTR MSG91 rifle at 12LBs + scope against the SR762 with iron sights at around 8.6LBs. Nor jarring at all, a really pleasant push instead of a hit. Reminded me a scaled-up recoil impulse of a SCAR 16s in 223, which makes sense considering they’re both piston guns. I was comparing the trigger against a POF 3.5lf trigger in a 300blk pistol/(sbr in ??? days).

        EDIT: My PTR91MSG is a 2009ish build, they’ve made changes to those since then as far as I’m aware. Biggest problem is the shallow flutes in the chamber necessitates the use of commercial 308 instead of cheap 762 ammo, although sometimes it’s less finicky. The new ones (since probably 2010-2011) have properly cut flutes. Not thrilled that they put out my gun as-is, but they marketed it as requiring commercial 308 to run, so it’s not as if they lied. Also, PTR91 has stood up for our rights publicly since then, so I’m willing to give them a little slack.

        • Billy Jack

          You still are better off than Century Arms suckers/customers 😉
          12lbs+scope = a nice workout.
          Biggest complaint I’ve heard from newer ptr91 owners is the nasty trigger but I’ve seen guys working on it on YouTube. I’ve been lusting after one for a few years.
          I wonder if PTR would/could modify the flutes on your rifle. I heard they’re doing all of century’s repairs now too.

          • c4v3man

            PTR didn’t seem interested in doing a warranty repair, but I’d imagine they’d be happy to do it for a price. That being said, at 12LBs+ it’s a bench queen, so I shoot it for groups/fun, and use premium ammo anyways. Hence the desire to get a decent trigger on it. Even cheap American Eagle works reliably, just no foreign milsurp. It’s not really a rifle I’ll be running around blasting with like an AK, so I’ve just come to terms with it.

            The 22lr kit is pricey, but there’s something special about shooting 22lr from a big nasty looking 308 that’s fun by itself.

      • Christopher Wallace

        i sent my trigger pack off for a trigger job and it is fantastic now

  • Billy Jack

    Their AR is priced to move. It’s going for around$500. Low price lowers like Anderson are hard to find some places. Prices doubled in some retail outlets to $99. Then yesterday some large vendors like Cabelas got inventory in and continued to sell at the original price of $49. Primary Arms is restricting customers to one unit per household which shows there are guys trying to buy in bulk in hopes of a certain person winning the election. Polymer lowers do not seem to be moving much. Higher price billet and brand name lowers are moving a lot too but over $200 seems to cool off prospecters and fraidy cats.

    • Hoplopfheil

      When the Ruger is priced almost as low as the ultra-basic Anderson or Windham ARs, you can be they’re gonna sell like crazy.

      • David B

        In my area ruger ARs tend to be in the $600-650 range. The only ones around $500 are Del-tons, which are decent rifles (what I ended up with though I would have liked the ruger, being a college student that extra $150 is an impedament).

        • Hoplopfheil

          I’ve been there. When I was in college even $20 was an impediment. And for a while after.

          When I bought a Marlin 795 for about $130 it felt like a big purchase… In retrospect not so much.

          • Dr. Longfellow Buchenrad

            My first gun that I bought a few years ago was a single shot H&R 12ga that I paid $70 for. Looking back now what I paid was almost pocket change (It looks like I did get a pretty good deal though; I cant find those for less than $120 now, but I of course didnt have any grasp on the firearm market back in 2013 so all I knew is that I could afford it and it was cheaper than others I compared it to) but back then when I was in school $70 was a huge commitment of money.

        • TW

          You could be stupid like me and use extra student loans and buy multiple guns. So far I’ve got a Glock 17 and 19, stripped lower, and a Aero Precision AR.

          • David B

            Not going to lie, that idea had crossed my mind. But, I don’t like buying things on credit and my loans are enough as it is, so I’m not buying more till I have the cash for them.

        • Billy Jack

          If I had an AR in college I’d be posting this from a halfway house.

          Check slickguns next time you shop. The internet is in your area 😉
          My locals have some stuff at better prices now due to internet pricing. Two years ago they were putting $100+ on almost every firearm.
          Lots of coupons, sales and other stuff including trending prices at large online retailers who will usually be priced $50 to $100+ lower than your local guys. Just pay your FFL transfer fee. That’s usually cheaper than tax in my state. My locals charge fifteen for the first and ten on any after that. I saved $300 on my Colt AR a few years ago. Palmetto State Armory will match their internet pricing in store. Got military LEO pricing on new Sigs, they bundle night sights and extra mags plus knock off a couple hundred bucks from retail. Got a new Sig Xchange kit for a hundred bucks last week. Still dancing about that one.

          I’d cry if I had to pay retail brick and mortar prices again.

          ( I try to give the shop owner an extra 5 bucks and buy some ammo. I want to support them but I can’t pay an extra $100 to $500 on rifles)

    • Ark

      Yup. Hunt around a little bit and the AR556 is within $50-100 of a budget build.

      • Billy Jack

        At that end of the market a name like Reuger means a lot even if performance wise it doesn’t.

  • Just say’n

    Election year sales, coupled with decent guns at good prices. Ruger’s distributor network is likely among the best out there as well.

  • Frank Grimes

    High Ruger sales means a lot of people don’t have standards.

    • Martin frank

      Shut up grimey.

    • You can get better guns, and you can get cheaper guns, but you’d be hard pressed to find better guns cheaper. Not everyone feels like spending $Mercedes when all they need is a basic firearm that works reliably.

      • Just say’n

        Well said!

      • Frank Grimes

        Ruger is glorified Keltec.

        I wouldn’t own either.

        • Mikial

          I like Ruger and Kel Tec. Both good solid guns with interesting and innovative designs. We own several of each and they work great.

          • Frank Grimes

            I don’t think copying Grendel is too innovative, but ok.

  • Paul White

    Good quality, good price, good service when I needed it. Glad to hear good sales are happening too.

  • Dr. Longfellow Buchenrad

    Ruger makes inexpensive interesting guns that work. There will always be a market for that.

    • BearSlayer338

      I’d put even more emphasis on the “that work” part. I’ve seen many guns jam but the only time I’ve seen Rugers jam are when they don’t have good magazines.

  • Ryan Snow

    “..at this point I pulled the plug on the whole thing and we packed up and left. And in a blink of an eye Ruger lost a minimum of 100,000 or more views on my channel on this one product alone. You ever wonder why NO Special Operations or SWAT teams on the entire planet use anything Ruger makes ? Now you know why.” – Larry “LAV” Vickers

    • Don Ward

      That’s mighty big talk for a one-eyed fat man.

      • iksnilol

        he lost an eye?

    • Sean

      Needed more Crisco

    • Kyle

      I googled that quote. Just so everyone is clear it had nothing to do with the firearms and everything to do with an oversize ego. Vickers comes across as a complete tool in context. WAHHHHHH a random employee didn’t know who I am and grovel at my feet WAAAAHHHHHHH.

      • stephen

        Yea I totally agree with you about LV. Seems his ego and pride has grown as much as his waist. Just goes to show that if people don’t watch themselves, fame will ruin them.

        Aside from LV’s slow motion camera, I mean has he really done lately? If he didn’t have that, he would be just another middle aged, round in the middle vlogger.

    • iksnilol

      Sooo SWAT&co don’t use Rugers cause a Ruger employee didn’t recognize him and grovel at his feet?

    • DW

      But many SWAT teams did use Mini14/ AC556 before AR15 became popular, some still do, and French police were pictured with them in recent terror attacks. Israeli forces used silenced 10/22s as “less than lethal” weapon (often causing death in reality) and are replacing them with SR-22s. So yeah, Vickers is very wrong in this regard.

    • Bill

      Ruger actually had a number of federal contracts, primarily for P series pistols, back in the day.

    • robert57Q

      Yeah, I’m sure Ruger is deeply regretting losing Larry’s endorsement, what with their plummeting sales and layoffs and… oh, wait.

  • A Fascist Corgi

    Clearly the Ruger American is the primary culprit. You’d have to be crazy to not want such a beautiful looking pistol.

  • mazkact

    Amen on the RPR in 6.5×55.

  • I wonder how long it’ll be before President Clinton II takes President Obama’s title of Greatest Salesperson The Shooting Sports Industry Ever Had.

  • Mark Wynn

    lc.380s

  • DudeSC

    .500 Linebaugh Blackhawk please 😊

  • Eric B.

    Lessee, I have a 10/22, 96/22 (mag) lever action, 6.5 CM American Predator, 6.5 CM Precision Rifle, LC9, LC9 s.
    And I once owned a Mark I and a ,22-250 American.
    It wasn’t because I’m a Ruger fanboy but Ruger just made exactly what I was looking for and at a reasonable price with great Ruger quality. They research their market and research HOW to design their firearms to best meet that market while still being innovative.