American Outdoor Brands stock rallies 8% after surprise profit for company

Shares of American Outdoor Brands Inc. (AOUT) jumped more than 8% in the extended session Wednesday after the maker of outdoor products and accessories reported quarterly sales above expectations and a surprise adjusted EPS. American Outdoor Brands lost $3.8 million, or 29 cents a share, for its fourth quarter, compared with a loss of $76.7 million, or $5.71 a share, in the year-ago quarter. Adjusted for one-time items, the company earned 6 cents a share. Sales dropped 8% to $42.2 million. Analysts polled by FactSet expected the company to report an adjusted loss of 13 cents a share on sales of $39.3 million. The company's brands "remain well positioned to capitalize on positive, long-term consumer outdoor participation trends," Chief Financial Officer Andrew Fulmer said. "As a result, we believe that our net sales for fiscal 2024 could exceed fiscal 2023 net sales by as much as 3.5%," and the company's "solid financial position enables us to continue executing on our long-term strategic plan as we invest in our business, return capital to stockholders, and address the exciting growth opportunities we have identified for our company."

-Claudia Assis

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06-28-23 1656ET

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