AOUT American Outdoor Brands Inc

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): March 06, 2025

 

 

American Outdoor Brands, Inc.

(Exact name of Registrant as Specified in Its Charter)

 

 

Delaware			001-39366	84-4630928
(State or Other Jurisdiction of Incorporation)			(Commission File Number)	(IRS Employer Identification No.)
1800 North Route Z
Columbia, Missouri				65202
(Address of Principal Executive Offices)				(Zip Code)

 

Registrant’s Telephone Number, Including Area Code: (800) 338-9585

 

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

Securities registered pursuant to Section 12(b) of the Act:

Title of each class		Trading Symbol(s)		Name of each exchange on which registered
Common Stock, Par Value $0.001 per Share		AOUT		The Nasdaq Global Select Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company ☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☒

 

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Item 2.02 Results of Operations and Financial Condition.

On March 6, 2025, American Outdoor Brands, Inc. issued a press release reporting its financial results for the three months ended January 31, 2025. A copy of the press release is furnished as Exhibit 99.1 to this report and incorporated herein by reference.

Item 9.01 Financial Statements and Exhibits.

(d)	Exhibits.
Exhibit
Number			Description
99.1			Press release from the Registrant, dated March 6, 2025, reporting American Outdoor Brand, Inc.’s financial results for the three months ended January 31, 2025.
104			Cover Page Interactive Data File (embedded within the Inline XBRL document)

 

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

			AMERICAN OUTDOOR BRANDS, INC.
Date:	March 6, 2025	By:	/s/ H. Andrew Fulmer
			H. Andrew Fulmer Executive Vice President, Chief Financial Officer, and Treasurer

 

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Contact:

Liz Sharp, VP, Investor Relations

lsharp@aob.com

(573) 303-4620

American Outdoor Brands, Inc. Reports

Third Quarter Fiscal 2025 Financial Results

COLUMBIA, Mo., March 6, 2025 – American Outdoor Brands, Inc. (NASDAQ Global Select: AOUT), an innovation company that provides product solutions for outdoor enthusiasts, today announced financial results for the third quarter of fiscal 2025 ended January 31, 2025.

 

Third Quarter Fiscal 2025 Financial Highlights

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Brian Murphy, President and Chief Executive Officer, said, “Our third quarter results came in ahead of our expectations. We believe our strong performance demonstrates the effectiveness of our long-term strategy to leverage our innovation advantage to broaden our distribution opportunities, expand awareness of our brands, and strengthen our margins. We delivered growth in both our Outdoor Lifestyle and our Shooting Sports categories, supported by year-over-year increases in nearly all sales channels in the third quarter, including our traditional, e-commerce, and domestic sales channels. In addition, we delivered a significant increase in Non-GAAP Adjusted EBITDAS, which nearly doubled year-over-year.

“In January, we unveiled several new products that showcase our ability to leverage our innovation advantage to drive brand awareness and expand our markets by making outdoor activities more accessible to a broader audience of enthusiasts. Two prime examples come from our Caldwell® and BUBBA® brands. From Caldwell, we are reshaping how clay shooters take aim by introducing a revolutionary new target system called the ClayCopter™, which includes an easy-to-use, handheld electronic launcher that propels a set of biodegradable discs up to 100 yards in an endless variety of flight patterns, challenging shooters like never before. Both the launcher and targets fit easily into a backpack, making clay target shooting a more fun and spontaneous activity. From BUBBA, we are bringing fishing gamification to a much larger group of everyday anglers, allowing them to compete like the pros with the BUBBA SFS Lite™, an affordable breakthrough scale made with the same uncompromising reliability that Major League Fishing pros have come to trust in our BUBBA SFS Pro Series™. These are just two of the many industry-changing innovations we showcased in January. The response to our new products has been overwhelmingly positive, generating industry excitement, favorable reviews, social media buzz, and exceptional retailer enthusiasm that helps reinforce our confidence in our sales outlook for fiscal 2025 and beyond.”

Andrew Fulmer, Chief Financial Officer, said, “During the third quarter, we maintained disciplined capital management, building inventory to support customer order strength and repurchasing roughly $1.2 million of our common stock. We ended the quarter with $17.1 million in cash and no debt. We remain excited about the opportunities that lie ahead, especially in light of our strong third quarter performance, combined with ongoing retailer enthusiasm for our new products and our ability to provide instant access to innovation and excitement. As a result, we are increasing the midpoint of our net sales, earnings per share, and non-GAAP Adjusted EBITDAS guidance for fiscal 2025, and reiterating our net sales outlook for fiscal 2026, which begins May 1, 2025.”

 

 

 

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AMERICAN OUTDOOR BRANDS, INC. AND SUBSIDIARIES
NET SALES, EARNINGS/(LOSS) PER SHARE, and ADJUSTED EBITDAS GUIDANCE (Unaudited)
		Range for the Year Ending April 30, 2025
Net sales (in thousands)		$	207,000			$	210,000
GAAP loss per share - diluted		$	(0.27	)		$	(0.19	)
Non-GAAP Adjusted EBITDAS (in thousands)		$	14,500			$	15,500
		Range for the Year Ending April 30, 2026
Net sales (in thousands)		$	220,000			$	230,000

 

Conference Call and Webcast

The Company will host a conference call and webcast today, March 6, 2025, to discuss its third quarter fiscal 2025 financial and operational results. Speakers on the conference call will include Brian Murphy, President and Chief Executive Officer, and Andrew Fulmer, Chief Financial Officer. The conference call may include forward-looking statements and a discussion of non-GAAP financial measures. The conference call and webcast will begin at 5:00 p.m. Eastern Time (2:00 p.m. Pacific Time). Those interested in listening to the conference call via telephone may call directly at (844) 481-2551 and ask to join the American Outdoor Brands call. No RSVP is necessary. The conference call audio webcast can also be accessed live on the Company's website at aob.com, under the Investor Relations section.

 

Reconciliation of U.S. GAAP to Non-GAAP Financial Measures

In this press release, certain non-GAAP financial measures, including “non-GAAP net income” and “Adjusted EBITDAS” are presented. A reconciliation of these and other non-GAAP financial measures is contained at the end of this press release. From time to time, the Company considers and uses these non-GAAP financial measures as supplemental measures of operating performance in order to provide the reader with an improved understanding of underlying performance trends. The Company believes it is useful for itself and the reader to review, as applicable, both (1) GAAP measures that include (i) amortization of acquired intangible assets, (ii) stock compensation, (iii) technology implementation, (iv) non-recurring inventory reserve adjustment, (v) emerging growth status transition costs, (vi) income tax adjustments, (vii) interest (income)/expense, (viii) income tax expense, and (ix) depreciation and amortization; and (2) the non-GAAP measures that exclude such information. The Company presents these non-GAAP measures because it considers them an important supplemental measure of its performance and believes the disclosure of such measures provides useful information to investors regarding the Company’s financial condition and results of operations. The Company’s definition of these adjusted financial measures may differ from similarly named measures used by others. The Company believes these measures facilitate operating performance comparisons from period to period by eliminating potential differences caused by the existence and timing of certain expense items that would not otherwise be apparent on a GAAP basis. These non-GAAP measures have limitations as an analytical tool and should not be considered in isolation or as a substitute for the Company's GAAP measures. The principal limitations of these measures are that they do not reflect the Company's actual expenses and may thus have the effect of inflating its financial measures on a GAAP basis.

 

About American Outdoor Brands, Inc.

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American Outdoor Brands, Inc. (NASDAQ Global Select: AOUT) is an innovation company that provides product solutions for outdoor enthusiasts, including hunting, fishing, camping, shooting, outdoor cooking, and personal security and personal defense products. The Company produces innovative, high quality products under brands including BOG®; BUBBA®; Caldwell®; Crimson Trace®; Frankford Arsenal®; Grilla Grills®; Hooyman®; Imperial®; LaserLyte®; Lockdown®; MEAT!TM; Old Timer®; Schrade®; Tipton®; Uncle Henry®; ust®; and Wheeler®. For more information about all the brands and products from American Outdoor Brands, Inc., visit aob.com.

Safe Harbor Statement

Certain statements contained in this press release may be deemed to be forward-looking statements under federal securities laws, and we intend that such forward-looking statements be subject to the safe harbor created thereby. All statements other than statements of historical facts contained or incorporated herein by reference in this press release, including statements regarding our future operating results, future financial position, business strategy, objectives, goals, plans, prospects, markets, and plans and objectives for future operations, are forward-looking statements. In some cases, you can identify forward-looking statements by terms such as “anticipates,” “believes,” “estimates,” “expects,” “intends,” “targets,” “contemplates,” “projects,” “predicts,” “may,” “might,” “plan,” “would,” “should,” “could,” “may,” “can,” “potential,” “continue,” “objective,” or the negative of those terms, or similar expressions intended to identify forward-looking statements. However, not all forward-looking statements contain these identifying words. Specific forward-looking statements in this press release include our belief in the effectiveness of our long-term strategy to leverage our innovation advantage to broaden our distribution opportunities, expand awareness of our brands, and strengthen our margins; our belief in the enthusiasm of retailers for our new products ; our confidence and belief in our sales outlook for fiscal 2025 and beyond; our belief in our ability to provide instant access to innovation and excitement; and our expectations in achieving our guidance for fiscal 2025 and initial net sales outlook for fiscal 2026. We caution that these statements are qualified by important risks, uncertainties, and other factors that could cause actual results to differ materially from those reflected by such forward-looking statements. Such factors include, among others, potential disruptions in our ability to source the materials necessary for the production of our products, disruptions and delays in the manufacture of our products, and difficulties encountered by retailers and other components of the distribution channel for our products; economic, social, political, legislative, and regulatory factors; lawsuits and their effect on us; inventory levels, both internally and in the distribution channel, in excess of demand; natural disasters, pandemics, seasonality, news events, political events, and consumer tastes; future investments for capital expenditures; future products and product development; the features, quality, and performance of our products; the success of our strategies and marketing programs; our market share and factors that affect our market share; liquidity and anticipated cash needs and availability; the supply, availability, and costs of materials and components; the potential for increased tariffs on our products, including tariffs that may be imposed by the current presidential administration; our ability to maintain and enhance brand recognition and reputation; risks associated with the distribution of our products and overall availability of labor; and other factors detailed from time to time in our reports filed with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the fiscal year ended April 30, 2024.

 

 

 

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AMERICAN OUTDOOR BRANDS, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
	As of:
	January 31, 2025 (Unaudited)				April 30, 2024
	(In thousands, except par value and share data)
ASSETS
Current assets:
Cash and cash equivalents	$	17,070			$	29,698
Accounts receivable, net of allowance for credit losses of $159 on January 31, 2025    and $133 on April 30, 2024		31,642				25,728
Inventories		115,771				93,315
Prepaid expenses and other current assets		3,338				6,410
Income tax receivable		213				223
Total current assets		168,034				155,374
Property, plant, and equipment, net		11,502				11,038
Intangible assets, net		33,761				40,217
Right-of-use assets		32,328				33,564
Other assets		258				404
Total assets	$	245,883			$	240,597
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable	$	18,366			$	14,198
Accrued expenses		11,559				9,687
Accrued payroll and incentives		3,630				4,167
Lease liabilities, current		1,343				1,331
Total current liabilities		34,898				29,383
Lease liabilities, net of current portion		32,299				33,289
Total liabilities		67,197				62,672
Commitments and contingencies
Equity:
Preferred stock, $0.001 par value, 20,000,000 shares authorized, no shares    issued or outstanding on January 31, 2025 and April 30, 2024		—				—
Common stock, $0.001 par value, 100,000,000 shares authorized, 14,910,868 shares    issued and 12,736,866 shares outstanding on January 31, 2025 and 14,701,280 shares    issued and 12,797,865 shares outstanding on April 30, 2024		15				15
Additional paid in capital		279,562				277,107
Retained deficit		(73,708	)			(74,623	)
Treasury stock, at cost (2,174,002 shares on January 31, 2025 and    1,903,415 shares on April 30, 2024)		(27,183	)			(24,574	)
Total equity		178,686				177,925
Total liabilities and equity	$	245,883			$	240,597

 

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AMERICAN OUTDOOR BRANDS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data)
		For the Three Months ended January 31,								For the Nine Months Ended January 31,
		2025				2024				2025				2024
		(Unaudited)
Net sales		$	58,505			$	53,425			$	160,380			$	154,801
Cost of sales			32,382				30,591				86,425				85,758
Gross profit			26,123				22,834				73,955				69,043
Operating expenses:
Research and development			1,947				1,792				5,487				5,065
Selling, marketing, and distribution			15,019				14,464				41,376				41,933
General and administrative			8,854				9,461				26,293				29,035
Total operating expenses			25,820				25,717				73,156				76,033
Operating income/(loss)			303				(2,883	)			799				(6,990	)
Other (expense)/income, net:
Other income, net			47				51				189				143
Interest income/(expense), net			(123	)			(65	)			19				(71	)
Total other (expense)/income, net			(76	)			(14	)			208				72
Income/(loss) from operations before income taxes			227				(2,897	)			1,007				(6,918	)
Income tax expense			58				13				92				28
Net income/(loss)		$	169			$	(2,910	)		$	915			$	(6,946	)
Net income/(loss) per share:
Basic		$	0.01			$	(0.23	)		$	0.07			$	(0.53	)
Diluted		$	0.01			$	(0.23	)		$	0.07			$	(0.53	)
Weighted average number of common shares outstanding:
Basic			12,764				12,883				12,830				13,030
Diluted			13,124				12,883				13,215				13,030

 

 

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AMERICAN OUTDOOR BRANDS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
	For the Nine Months Ended January 31,
	2025				2024
	(In thousands)
Cash flows from operating activities:
Net income/(loss)	$	915			$	(6,946	)
Adjustments to reconcile net income/(loss) to net cash used in    operating activities:
Depreciation and amortization		9,814				11,919
Loss on sale/disposition of assets		—				7
Provision for credit losses on accounts receivable		26				9
Stock-based compensation expense		2,685				3,071
Changes in operating assets and liabilities:
Accounts receivable		(5,940	)			(383	)
Inventories		(22,456	)			(282	)
Accounts payable		3,811				(2,034	)
Accrued liabilities		1,335				1,909
Other		3,414				2,553
Net cash (used in)/provided by operating activities		(6,396	)			9,823
Cash flows from investing activities:
Payments to acquire patents and software		(799	)			(1,180	)
Proceeds from sale of property and equipment		—				131
Payments to acquire property and equipment		(2,594	)			(4,271	)
Net cash used in investing activities		(3,393	)			(5,320	)
Cash flows from financing activities:
Proceeds from loans and notes payable		7,000				—
Payments on notes and loans payable		(7,000	)			(5,000	)
Payments to acquire treasury stock		(2,609	)			(5,550	)
Proceeds from exercise of options to acquire common stock,    including employee stock purchase plan		286				339
Payment of employee withholding tax related to restricted stock units		(516	)			(352	)
Net cash used in financing activities		(2,839	)			(10,563	)
Net decrease in cash and cash equivalents		(12,628	)			(6,060	)
Cash and cash equivalents, beginning of period		29,698				21,950
Cash and cash equivalents, end of period	$	17,070			$	15,890
Supplemental disclosure of cash flow information
Cash paid for:
Interest	$	236			$	254
Income taxes (net of refunds)	$	72			$	(979	)

 

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AMERICAN OUTDOOR BRANDS, INC. AND SUBSIDIARIES RECONCILIATION OF GAAP FINANCIAL MEASURES TO NON-GAAP FINANCIAL MEASURES (In thousands, except per share data) (Unaudited)
	For the Three Months Ended January 31,								For the Nine Months Ended January 31,
	2025				2024				2025				2024
GAAP gross profit	$	26,123			$	22,834			$	73,955			$	69,043
Non-recurring inventory reserve adjustment		223				—				444				—
Non-GAAP gross profit	$	26,346			$	22,834			$	74,399			$	69,043
GAAP operating expenses	$	25,820			$	25,717			$	73,156			$	76,033
Amortization of acquired intangible assets		(2,120	)			(2,960	)			(6,361	)			(8,881	)
Stock compensation		(887	)			(1,133	)			(2,685	)			(3,071	)
Technology implementation		—				(106	)			—				(465	)
Emerging growth status transition costs		(82	)			—				(245	)			—
Other		(22	)			—				(100	)			(204	)
Non-GAAP operating expenses	$	22,709			$	21,518			$	63,765			$	63,412
GAAP operating income/(loss)	$	303			$	(2,883	)		$	799			$	(6,990	)
Amortization of acquired intangible assets		2,120				2,960				6,361				8,881
Stock compensation		887				1,133				2,685				3,071
Non-recurring inventory reserve adjustment		223				—				444				—
Technology implementation		—				106				—				465
Emerging growth status transition costs		82				—				245				—
Other		22				—				100				204
Non-GAAP operating income	$	3,637			$	1,316			$	10,634			$	5,631
GAAP net income/(loss)	$	169			$	(2,910	)		$	915			$	(6,946	)
Amortization of acquired intangible assets		2,120				2,960				6,361				8,881
Stock compensation		887				1,133				2,685				3,071
Non-recurring inventory reserve adjustment		223				—				444				—
Technology implementation		—				106				—				465
Emerging growth status transition costs		82				—				245				—
Other		22				—				100				204
Income tax adjustments		(760	)			(286	)			(2,402	)			(1,284	)
Non-GAAP net income	$	2,743			$	1,003			$	8,348			$	4,391
GAAP net income/(loss) per share - diluted	$	0.01			$	(0.23	)		$	0.07			$	(0.53	)
Amortization of acquired intangible assets		0.16				0.22				0.50				0.66
Stock compensation		0.07				0.09				0.21				0.23
Non-recurring inventory reserve adjustment		0.02				—				0.03				—
Technology implementation		—				0.01				—				0.03
Emerging growth status transition costs		0.01				—				0.02				—
Other		—				—				—				0.02
Income tax adjustments		(0.06	)			(0.02	)			(0.19	)			(0.10	)
Non-GAAP net income per share - diluted	$	0.21			$	0.08		(a)	$	0.63		(a)	$	0.33		(a)
(a) Non-GAAP net income per share does not foot due to rounding.

 

 

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AMERICAN OUTDOOR BRANDS, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP NET INCOME/(LOSS) TO NON-GAAP ADJUSTED EBITDAS (In thousands) (Unaudited)
	For the Three Months Ended January 31,										For the Nine Months Ended January 31,
		2025				2024					2025					2024
GAAP net income/(loss)	$		169			$		(2,910	)		$		915			$		(6,946	)
Interest expense/(income)			123					65					(19	)				71
Income tax expense			58					13					92					28
Depreciation and amortization			3,164					3,968					9,741					11,848
Stock compensation			887					1,133					2,685					3,071
Technology implementation			—					106					—					465
Non-recurring inventory reserve adjustment			223					—					444					—
Emerging growth status transition costs			82					—					245					—
Other			22					—					100					204
Non-GAAP Adjusted EBITDAS	$		4,728			$		2,375				$	14,203				$	8,741

 

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v3.25.0.1

Document And Entity Information	Mar. 06, 2025
Cover [Abstract]
Document Type	8-K
Amendment Flag	false
Document Period End Date	Mar. 06, 2025
Entity Registrant Name	American Outdoor Brands, Inc.
Entity Central Index Key	0001808997
Entity Emerging Growth Company	true
Entity File Number	001-39366
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	84-4630928
Entity Address, Address Line One	1800 North Route Z
Entity Address, City or Town	Columbia
Entity Address, State or Province	MO
Entity Address, Postal Zip Code	65202
City Area Code	(800)
Local Phone Number	338-9585
Entity Information, Former Legal or Registered Name	Not Applicable
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Entity Ex Transition Period	true
Title of 12(b) Security	Common Stock, Par Value $0.001 per Share
Trading Symbol	AOUT
Security Exchange Name	NASDAQ

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