Iconic gun manufacturer Smith & Wesson will be changing the company name come 2017. What does this mean for its firearms division?
Well, not a whole lot, as it turns out. The Massachusetts-based company will still keep the iconic Smith & Wesson name on all of its firearms. This is very good news for Smith & Wesson firearm enthusiasts.
Can you imagine Dirty Harry in that famous movie scene where he confronts the thugs in the diner:
Harry: “Well, we’re not just gonna let you walk outta here.”
Bad guy: “What you mean ‘we,’ sucka?”
Harry: “American Outdoor Brands Corporation and me…”
Nope, doesn’t quite play.
Yes, American Outdoor Brands Corp. is what shareholders voted to change the famous Smith & Wesson name to. The new name will become the official company name on or about January 1, 2017.
President and CEO of Smith & Wesson/AOBC James Debney said of the change, “We are excited about the results of today’s stockholder vote. We believe that American Outdoor Brands Corp. is a name that truly represents our broad and growing array of brands and businesses in the shooting, hunting and rugged outdoor enthusiast markets.”
“Looking ahead,” Debney continued, “and operating as American Outdoor Brands Corp., we intend to continue building upon our portfolio, focusing on brands and products that best meet the needs and lifestyle of our target consumers.”
Firearms enthusiasts should not see the name change as a threat to the Smith & Wesson firearms subdivision of the larger company. Sales of firearms represent around 40% of the company’s gross profits and make up more than 90% of the larger corporation’s total net sales.
Investopedia indicated that “management has sought to diversify its operations into sporting goods and outdoor gear to protect itself against the vagaries of the gun business.”
Smith & Wesson was founded in 1852 when Horace Smith and D.B. Wesson produced revolvers under their joint names. The company has long produced high quality firearms, most notably its 44 Magnum handgun, made famous for being Dirty Harry’s weapon of choice in the 1970s Hollywood film series starring Clint Eastwood.
But Smith & Wesson/AOBC also manufactures other outdoor related products such as knives and survival gear. CNBC reports that the company “bought knife and tool maker Taylor Brands for $85 million in August and laser-sight manufacturer Crimson Trace for $95 million in the same month, as part of its diversification efforts.”
They also indicate that “Smith & Wesson’s revenue for 2016 was $723 million and the company estimates 2017 revenue of $920 million to $930 million.”
The name change seems like a good decision, particularly for devotees of the company’s firearms division, which will keep the iconic Smith & Wesson name.
Like what you see here? You can read more great articles by David Smith at his facebook page, Stumpjack Outdoors.