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Has Dick’s Sporting Goods Gun Ban Affected Sales?

Smith & Wesson’s parent company told investors last week policy changes from Dick’s Sporting Goods won’t impact its bottom line much.

American Outdoor Brands Chief Executive Officer James Debney said Thursday only three percent of the outdoor conglomerate’s sales come from big box stores, like Dick’s. The retailer — which also includes more than 30 Field and Stream stores — announced last week it would stop carrying “assault-style” rifles and ban gun sales to customers under age 21.

“It’s extremely small,” Debney said. “It’s actually one-tenth of one percentage point of our total sales. So, there isn’t really any impact and, of course, anything like this is obviously built into our guidance going forward.”

He said modern sporting rifles represent between 10 percent and 12 percent of the company’s total revenue — far behind the 55 percent generated from handguns and the 25 percent from other outdoor product lines, the latter of which Debney credits for helping the company weather a difficult year for gun sales.

“Overall, our long term strategy remains focused on being the leading provider of quality product for the shooting, hunting and rugged outdoor enthusiast,” he said. “Continued growth in our outdoor products and accessories business helped us better balance our overall revenue by mitigating the volatility we have experienced with our firearms business.”

American Outdoor Brands reported a 32.6 percent decrease in revenue for the third financial quarter ending Jan. 31. The company’s firearms segment tanked 40 percent while its burgeoning outdoor product segment increased more than 13 percent. Debney said the company also reduced its manufacturing workforce 25 percent over the last year, eliminating 200 positions overall.

“Going forward, we will operate our business under the assumption that the next 12 to 18 months could deliver flattish revenues in firearms,” he said.

Debney and Chief Financial Officer Jeffrey Buchanan wouldn’t forecast how the corporate backlash over the recent mass shooting in southern Florida would impact the company’s earnings. “What’s going to happen in 12 months or six months is a little hard to speculate right now since the environment overall right now politically and otherwise is pretty, pretty volatile,” Buchanan said.

Walmart, Kroger, and L.L. Bean followed Dick’s lead last week, implementing similar policies as a response to the Valentine’s Day shooting at a high school in Parkland, Florida that left 17 dead and more than a dozen injured.

REI and Mountain Equipment Co-Op likewise halted new orders with Vista Outdoor over the company’s significant profits from firearms and ammunition and its ties with the National Rifle Association.

“REI does not sell guns,” the retailer said in a news release Thursday. “We believe that it is the job of companies that manufacture and sell guns and ammunition to work towards common sense solutions that prevent the type of violence that happened in Florida last month.”

Debney addressed the shooting during a conference call with investors Thursday, calling it “incomprehensible and a senseless loss of life.”

“We share the desire to make our community safer,” he said. “Through our membership and work with the National Shooting Sports Foundation, we will continue to support the development of effective solutions that accomplished that objective while protecting the rights of the law-abiding firearm owner.”

source: guns.com

17 Comments

  • Larry5469

    So “common sense” doesn’t include identifying those who would do us harm and instead focuses on the weapon. It amazes me how the people who are in control of these companies pander to the democruds and shun the Republicans to act like they truly care about what their weapons are used for. Let me tell you something…. I intend to shop elsewhere since you are going to be anti-second amendment. I hope to find all the other stores who are caving to this nonsense and ensure that they get less than none of my business going forward.

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  • stephen kaminski

    DICK’S are azzhole’s ,,, guns dont kill people ,,, people kill people,,,, if the government did there job this shooting would not have happen’d.

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  • USCBIKER

    Dicks is an outdated model that has crappy inventory and is only a minor player. They will go the way of Sports Authority soon.

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  • Rick Vitti

    Wow now REI and LL Bean also…Hypocrites! See ya later morons

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  • rooster

    None of these companies operate in my area, if they did I would Boycott

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  • Dianna Zerbe

    other stores will take business Dick’s, Walmart and the stores that have folded to gun controllers. I’m really getting tired of all these “politically” correct stores telling us what we should buy. God bless America! wake up America! most of these politicians and celebrities all have security with GUNS but they don’t want ordinary citizens to have the right to protect themselves! Let your government officials know how you feel about gun control and let the businesses you shop in know your feelings.

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  • Marc McGuire

    IF I CAN’T PURCHASE A FIREARM AT DICK’S I’LL GO ELSEWHERE! MORE THAN ONE WAY TO SKIN A CAT!!!

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  • Dr Tom

    Dicks were far too expensive anyway. Consumers are much better off.

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  • denoferth

    Hard to believe in America we have so many college educated people (including teachers) so pathetically stupid they actually believe a silly sign on a door advertising everybody behind it is unarmed and helpless will deter armed psychopaths determined to murder them. To actually hate firearms to the point they prefer to cower like trapped rats with the kids in their care while they are hunted down and slaughtered rather than be armed and at least give the kids a chance makes me wonder who’s the crazy one there?

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  • keith andrew bounds

    Hope it cause Dick’s sales to go down across the board!!

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  • Attorney John

    Dick’s measuring its projected loss of revenue resulting from its anti-AR policy is like Delta Airlines using the same standard regarding its anti-NRA policy and concluding that it will lose only 13 fares, based on the 13 passengers who actually jumped through the hoops to use Delta’s NRA discount in the recent past. Dick’s loss of revenue from foregone AR-15 sales will be infinitesimal compared to its loss of sales of everything from hiking boots to fishing tackle to those of us Second Amendment supporters who will no longer do business with Dick’s (or Delta, for that matter).

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  • Andrew Cabrera

    I have already communicated with Dick’s regarding their policy on AR-15’s and magazines of high capacity. They have been advised to stop emailing sales ads and, although I have been a high volume frequent shopper, will no longer be purchasing any merchandise whatsoever from them.

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  • SgtOIF

    Let see what their bottom line look like in 6 months Or a year from now. I’ll bet it won’t be as rosy as they think it will be

    Reply

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