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10 Smith & Wesson® Smith & Wesson Brands , Inc. Reports First Quarter Fiscal 2022 Financial Results September 1 , 2021 - Record Gross Margin of 47.3 % Record Q1 Net Sales of $ 274.6M -Two - Year Compounded Sales Growth of Nearly 170 % - EPS of $ 1.57 / Share and EBITDAS of 39.9 % SPRINGFIELD , Mass . , Sept. 1 , 2021 / PRNewswire / -- Smith & Wesson Brands , Inc. ( NASDAQ Global Select : SWBI ) , a U.S. - based leader in firearm manufacturing and design , today announced financial results for the first quarter of fiscal 2022 , ended July 31 , 2021. Unless otherwise indicated , any reference to income statement items refers to results from continuing operations . Smith & Wesson First Quarter Fiscal 2022 Financial Highlights • Net sales were $ 274.6 million , an increase of $ 44.7 million , or 19.5 % , over the comparable quarter last year . • Gross margin was 47.3 % , compared with gross margin of 40.2 % for the comparable quarter last year . • Quarterly GAAP net income was $ 76.9 million , or $ 1.57 per diluted share , compared with $ 43.3 million , or $ 0.77 per diluted share , for the comparable quarter last year . • Quarterly non - GAAP net income was $ 77.1 million , or $ 1.57 per diluted share , compared with $ 46.8 million , or $ 0.83 per diluted share , for the comparable quarter last year . GAAP to non - GAAP adjustments for income exclude costs related to the spin - off of the outdoor products and accessories business , COVID - 19 related expenses , and other costs . For a detailed reconciliation , see the schedules that follow in this release . • Quarterly non - GAAP Adjusted EBITDAS was $ 109.6 million , or 39.9 % of net sales , compared with $ 72.5 million , or 31.5 % of net sales , for the comparable quarter last year . Mark Smith , President and Chief Executive Officer , commented , " Our flexible manufacturing model and strong consumer preference for our products at the retail counter combined to deliver the highest first quarter net revenue in the company's history , marking the fifth consecutive quarter of top line records . Even more remarkable , our team has been able to deliver nearly 170 % two - year compounded growth , significantly outpacing the competition , while simultaneously lowering operating costs over this same timeframe . This is a direct result of significant strides the team has made in executing our strategy to streamline business operations and increase flexibility , and has driven an incredible EBITDAS margin of nearly 40 % in the quarter . But more importantly , we believe we are well positioned for the ever - changing market conditions in our industry , to maintain our leadership position in the industry , and continue delivering impressive profitability in any environment . " Smith continued , " We are also thrilled to introduce our new M & P12 shotgun , which marks our entry into a brand - new category for the iconic Smith & Wesson brand , and presents a significant opportunity to continue capitalizing on the momentum we've built over the past year with the consumer . Within the first 24 hours of the announcement , we had tallied over 3 million consumer impressions and 300,000 engagements on social media , already making this one of our most widely viewed and most successful launches to date . We are excited to continue innovating in this category and look forward to its growth potential . " Deana McPherson , Executive Vice President and Chief Financial Officer , commented , " Our first quarter results continue to demonstrate our ability to react to the changing needs of the market , delivering a 19.5 % increase over last year's results and securing a two - year compounded growth rate of nearly 170 % . This increase in sales , combined with strong expense containment , resulted in a record gross margin of 47.3 % for the quarter while also generating $ 109.1 million in cash . We believe our ability to grow our top line without adding significant fixed costs , while also leveraging synergies from the spin - off , have been key contributors to our profitability and position us well for the adjusting market . As we begin to replenish inventory in the channel and in our warehouse , we believe the flexibility of our operations and the strength of our balance sheet , combined with the hard work and ingenuity of our R & D and marketing teams will enable us to continue to invest in our business and capture market share , while returning capital to our stockholders . Our Board of Directors has again authorized our $ 0.08 per share quarterly dividend , which will be paid to stockholders of record on September 14th with payment to be made on September 28th . " Conference Call and Webcast