About Sturm, Ruger & Company

Sturm, Ruger & Company, Inc. principally engages in the design, manufacture, and sale of firearms to domestic customers. The company’s design and manufacturing operations are located in the United States and almost all product content is domestic. The company primarily offers products in three industry product categories – rifles, pistols, and revolvers. The company’s firearms are sold through independent wholesale distributors, principally to the commercial sporting market. The company manufactures and sells investment castings made from steel alloys and metal injection molding (‘MIM’) parts for internal use in the firearms segment and has minimal sales to outside customers. The castings and MIM parts are sold to outside customers, either directly or through manufacturers’ representatives. Firearms Products The company presently manufactures firearm products, under the ‘Ruger’ name and trademark, in the following industry categories: Rifles: Single-shot, autoloading, bolt-action, and modern sporting. Revolvers: Single-action and double-action. Pistols: Rimfire autoloading and centerfire autoloading. In addition, the company manufactures lever-action rifles under the ‘Marlin’ name and trademark. Most firearms are available in several models based upon caliber, finish, barrel length, and other features. Rifles A rifle is a long gun with spiral grooves cut into the interior of the barrel to give the bullet a stabilizing spin after it leaves the barrel. Pistols A pistol is a handgun in which the ammunition chamber is an integral part of the barrel and which typically is fed ammunition from a magazine contained in the grip. Revolvers A revolver is a handgun that has a cylinder that holds the ammunition in a series of chambers which are successively aligned with the barrel of the gun during each firing cycle. There are two general types of revolvers, single-action and double-action. To fire a single-action revolver, the hammer is pulled back to cock the gun and align the cylinder before the trigger is pulled. To fire a double-action revolver, a single trigger pull advances the cylinder and cocks and releases the hammer. Accessories The company also manufactures and sells accessories and replacement parts for its firearms. Castings Products The company offers casting products. Marketing and Distribution Firearms The company’s firearms are primarily marketed through a network of federally licensed, independent wholesale distributors who purchase the products directly from the company. They resell to federally licensed, independent retail firearms dealers who in turn resell to legally authorized end users. All retail purchasers are subject to a point-of-sale background check by law enforcement. These end users include sportsmen, hunters, people interested in self-defense, law enforcement and other governmental organizations, and gun collectors. Each domestic distributor carries the entire line of firearms manufactured by the company for the commercial market. 15 distributors service the domestic commercial market, with an additional 26 distributors servicing the domestic law enforcement market and 44 distributors servicing the export market. In 2023, the company’s largest customers and the percent of firearms sales they represented were as follows: Lipsey’s – 24%; Davidson’s - 19%; and Sports South - 15%. The company employs 18 employees who service these distributors and call on retailers and law enforcement agencies. The company considers its relationships with its distributors to be satisfactory. The company also exports its firearms through a network of selected commercial distributors and directly to certain foreign customers, consisting primarily of law enforcement agencies and foreign governments. Foreign sales were 6% of the company’s consolidated net sales for the year ended December 31, 2023. Seasonality The company does not consider its overall firearms business to be predictably seasonal, however, orders of many models of firearms from the distributors tend to be stronger in the first quarter of the year (year ended December 2023) and weaker in the third quarter of the year. Investment Castings and Metal Injection Moldings The castings segment provides castings and MIM parts for the company’s firearms segment. In addition, the castings segment produces some products for a number of customers in a variety of industries. Research and Development In 2023, the company spent approximately $9.8 million on research and development activities relating to new products and the improvement of existing products. History Sturm, Ruger & Company, Inc. was founded in 1949. The company was incorporated under the laws of Delaware in 1969.