OUR NEW PROFILE IS: (NASDAQ: POWW)
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Net Revenues increased 36.6% to $60.8 million for the first quarter 20022
The company has guidance of over $300 Million for this year
They Recently opened 185K sq. ft. state-of-the-art manufacturing plant in Manitowoc, WI that is expected to triple the current manufacturing output
Awarded contract by Irregular Warfare Technical Support Directorate (IWTSD) to design and manufacture Signature- on-Target (SoT) rounds in support of military operations
AMMO, Inc. Expands Distribution Network with Rollout of Product Offerings to Additional 440 Retail Locations Nationwide and 5 New Distributor Partners, Providing the Company with Access to 10,000+ Nationwide Retailers
READ THE ENTIRE INVESTOR PRESENTATION HERE
AMMO, Inc. to Export 2.5 Million Rounds of .50BMG for More Than $15 Million
SCOTTSDALE, Ariz., Oct. 26, 2022 (GLOBE NEWSWIRE) — AMMO, Inc. (Nasdaq: POWW, POWWP) (“AMMO” or the “Company”) the owner of GunBroker.com, the largest online marketplace serving the firearms and shooting sports industries, and a leading vertically integrated producer of high-performance ammunition and components, is pleased to announce that its .50BMG manufacturing line is fully operational and supporting performance of an South American export transaction involving the delivery of 2.5 million rounds of .50BMG and other ancillary rounds representing an approximate total transaction value north of $15,000,000.00 (US).
With capacity being added out of the Company’s new Manitowoc, WI plant on a weekly basis, AMMO was excited to favorably respond to and be awarded a contract to manufacture and deliver 2.5 million rounds of .50BMG and 1.8 million rounds of 7.62×51. The transaction will be fulfilled over the next several months and AMMO is fielding increasing international inquiries related to the capacity available from its new plant operation. Fred Wagenhals, AMMO’s Chairman & CEO, commented as follows: “With the full support of our entire Board, the team worked hard to position the Company in our new state-of-the-art Plant with the necessary increased capacity and technological capabilities to fully support not only the US commercial and military/law enforcement markets, but to also answer the bell for our allies across the globe. This order tells us the market has taken notice.”
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Hello Everyone,
We want you to put POWW back on your radar for today’s session. It has made some small gains and is still sitting above our profile price from a few weeks back.
We think that you should put POWW back on your radar immediately.
Gun companies have historically been talked about and have seen some big sector wide moves historically after certain events that take place in the news cycle.
There is one company right now trading just above $3 bucks with a $9 price target on it from Lake street capital.
If you want to exercise your right to bear arms, you can buy almost any type of gun you want in America. Analysts use federal background checks to estimate gun purchases in the U.S. In 2020, background checks hit an all-time high of 1.2 million in a week and 39 million for the entire year. That’s a significant increase from the previous all-time high of 28 million background checks in 2019. 2021 Gallup survey showed that 88% of Americans own a gun for personal protection or safety. Proof of this is evident in the uptick in gun purchases after gun violence or mass shooting events like Sandy Hook and the Las Vegas Strip massacre.
In 2020, several anti-racism and police violence protests occurred, leading to injuries, deaths, and damaged properties. For property and personal protection, more Americans bought guns.
According to the New York Times, American gun buyers increased from 5.3% in 2019 to 6.5% in 2020 (17 million buyers). About one-fifth of these buyers were first-time purchasers, and the gun purchase trend continued until the end of 2021.
One of the leading causes of the current ammo shortage is increased gun purchases and ownership. So, why are so many Americans suddenly buying guns? The reasons vary but political ties, civil unrest & safety concerns are leading factors.
Since 2021, hunters and other gun owners have had trouble finding ammo for their handguns and rifles. Shortages were due to panic buying and new laws. The current bullet shortage is due to ripple effects caused by the COVID-19 pandemic and other factors. Another factor contributing to the ammunition shortage is ammo import restrictions implemented by the government. Currently, the U.S. government has implemented sanctions that restrict the importation of Russian ammunition. The U.S. has also banned the importation of ammo and firearms from China, Iraq, and several other countries. We also have a raw materials issue. Copper is one of the primary materials needed to make bullets. However, due to COVID-19 and other factors, American ammo manufacturers are experiencing a copper shortage.
The ammo shortage has been a blessing for several firearm manufacturers. For instance, since 2020, POWW and other gun manufacturers have seen their stock prices outperform estimates. Also, sky-high demand means that manufacturers can count on their products to sell out quickly, leading to increased and faster revenue generation. POWW even had to up their game and open up a new state of the are manufacturing plant.
We want y0u to start your research on AMMO inc, (Nasdaq: POWW).
AMMO, Inc. [NASDAQ: POWW] designs, produces, and markets ammunition and ammunition component products for sport and recreational shooters, hunters, individuals seeking home or personal protection, manufacturers, and law enforcement and military agencies. The company’s products include STREAK Visual Ammunition that enables shooters to see the path of the bullets fired by them; and Stealth Subsonic ammunition primarily for suppressed firearms.
AMMO, Inc. also owns and operates GunBroker.com, an auction site that supports the lawful sale of firearms, ammunition, and hunting/shooting accessories. In addition, the company offers Jesse James ammunition, a jacketed hollow point projectile for self-defense; and Jeff Rann’s ammunition for game hunting. Further, its products include armor piercing and hard armor piercing incendiary tactical rounds; and ammunition casings for pistol ammunition through large rifle ammunition.
Action Outdoor Sports (Manufacturing)
- Engages in the design, production, and marketing of ammunition and ammunition component products
- Serves a variety of markets, including law enforcement, military, sports shooting, and self-defense
- Recently opened 185K sq. ft. state-of-the-art manufacturing plant in Manitowoc, WI that is expected to triple the current manufacturing output and provide up to $1M in operational efficiencies
Outdoor Online (Marketplace)
- GunBroker.com is a marketplace of 6+ million users supporting the lawful sale of firearms, ammunition, and hunting/shooting accessories
- Deep network of FFL partners and unmatched scale in a large addressable market
- Proprietary operating platform, market-leading secure transactional technology and robust compliance protocols
Manufacturing Division
Leading ammunition and brass casing manufacturer with proprietary products. New, state-of-the-art 185,000 sq. ft. ammunition and brass case manufacturing plant in Manitowoc expected to triple current manufacturing output. Built to be scaled to support recent industry growth.
- Engages in the design, production, and marketing of ammunition and ammunition component products
- Serves a variety of markets, including law enforcement, military, sports shooting, and self-defense
- Recently opened 185K sq. ft. state-of-the-art manufacturing plant in Manitowoc, WI that is expected to triple the current manufacturing output and provide up to $1M in operational efficiencies
Investor Manufacturing Highlights
- Differentiated, patented products backed by leading technology
- Opportunity for efficiencies and margin improvement from move to Manitowoc facility Consistent growth and attractive cash flow
- Significant opportunity in the military and law enforcement markets
- Vertically integrated, scalable model
SIGNIFICANT MILITARY OPPORTUNITY
Next Generation ammunition AP/HAPI™,
O.W.L. Technology™, Ballistic Matching
Sniper and Signature-on-Target (SoT)
Ammunition for U.S. Military
AMMO Inc. (NASDAQ: POWW) Has been awarded contract by Irregular Warfare Technical Support components Directorate (IWTSD) to design and manufacture Signatureon-Target (SoT) rounds in support of military operations. Awarded contract by Irregular Warfare Technical Support Directorate (IWTSD) to design and manufacture Ballistically Matched Multi-Purpose Rounds (BM-MPR) rounds in support of military operations
Market Penetration Strategy
Launched in 2019 with Mission to Deliver High-Quality, Precision Rounds for Military & Defense Operations Across the World.
Introduce Proprietary Technologies
- Strong demand for our patented Armor Piercing (AP) and Hard Armor Piercing Incendiary (HAPI™) rounds
- Patented One-Way Luminescent Technology (O.W.L. Technology™) utilized in our STREAK products provides competitive advantage in tactical and defense scenarios
- Ballistic Match Multi-Purpose Round (BM-MPR) is being developed to provide snipers with the ability to switch from standard issue match-grade ammunition without re-zeroing their weapons
- Signature-on-Target (SoT) ammunition is being developed to provide warfighters with the ability to see the impact of rounds fired on a wider variety of targets in both day and night
Penetrate and Expand Market Share
- Prove increased performance through demonstrations of lethality and accuracy
- Offer lower-cost, made in America product lines by controlling component manufacturing costs Ability to better meet increased market demands allows AMMO, Inc. to capture sales opportunities
- Partner with strategic players and weapon manufacturers to expand product lines
Six Additional Catalysts For Superior Investor Potential
- Strong record of operational execution, revenue growth, margin expansion and free cash flow generation
- Successful track record of acquisitions and integration
- Large addressable markets with multi-channel, diverse distribution
- Spin transaction is a likely catalyst for value recognition, improved performance and optimized capital structures
- Significant market expansion opportunities in both businesses (adjacent products for OO and military for AOS)
- Experienced management team
AMMO, Inc. Reports First Quarter 2023 Financial Results
SCOTTSDALE, Ariz., Aug. 15, 2022 (GLOBE NEWSWIRE) — AMMO, Inc. (Nasdaq: POWW, POWWP) (“AMMO” or the “Company”), the owner of GunBroker.com, the largest online marketplace serving the firearms and shooting sports industries, and a leading vertically integrated producer of high-performance ammunition and components, today reported results for its first quarter of fiscal 2023, ended June 30, 2023
First Quarter Fiscal 2023 vs. First Quarter Fiscal 2022
- Net Revenues increased 36.6% to $60.8 million.
- Gross profit margin of approximately 29.8%.
- Adjusted EBITDA of $14.3 million compared to $16.3 million.
- Net Income of $3.2 million, compared to net income of $9.5 million.
- Diluted EPS of $0.02, compared to $0.08.
- Adjusted EPS of $0.09, compared to $0.13.
GunBroker.com “Marketplace” Metrics – First Quarter 2023
- Marketplace revenue of approximately $16.5 million.
- New user growth averaged 38,000 per month.
- Average take rate increased to 5.3% compared to 4.5% in fiscal 2022.
- Loyalty program revenue increased 139.1% year-over-year
Reiterating Fiscal Year 2023 Guidance
- Total Revenues of $300 million to $310 million
- EBITDA of $82 million to $85 million
- Adjusted EBITDA of $108 million to $111 million
AMMO continued to show strong momentum in both our ammunition and marketplace divisions in the first quarter of Fiscal 2023, as revenue increased 37% from the first quarter of Fiscal 2022. With the recently successful opening of our state-of-the art manufacturing facility in late July, along with the ongoing enhancements to the GunBroker.com marketplace platform, we reiterate our guidance for over $300 million in revenues and Adjusted EBITDA between $108 million and $111 million for Fiscal 2023, with projected annual growth rates of 25% and 45%, respectively.
“With our revenue momentum continuing into Fiscal 2023, AMMO’s management team and board completed a detailed analysis and assessment of our operations, business units, and growth opportunities, all with the goal of unlocking and enhancing shareholder value. With this analysis, and with the support of our advisors, the Board has determined that the optimal path for unlocking shareholder value is through the separation of these divisions into two separately traded companies” stated Fred Wagenhals, AMMO’s Chairman & CEO. “We believe this separation will allow investors to more appropriately value the business models of each segment and create greater shareholder value by facilitating the expansion and value we have created in both brands while pursuing compelling and distinct growth opportunities.
“Our entire team remains singularly focused and committed to working collectively through this transformational process to best position each company with the right team members and full spectrum of resources to continue to deliver exceptional products, innovation, and an overall enhanced experience for the outdoor sporting and shooting enthusiast. Our reiteration of our 2023 outlook reflects our ongoing confidence that both companies will continue to grow revenues, enhance margins, and drive even greater shareholder value as we move towards these strategic goals,” concluded Mr. Wagenhals.
First Quarter 2023 Results
Sales for the three months ended June 30, 2022 increased 36.6% or approximately $16.3 million over the three months ended June 30, 2021. This increase was the result of approximately $10.9 million of increased sales in bulk pistol and rifle ammunition, an increase of approximately $1.7 million of Proprietary Ammunition sales, a decrease of approximately $0.6 million of sales from our casing operations, and an increase of approximately $4.2 million of revenue generated from our GunBroker.com Marketplace, which includes auction revenue, payment processing revenue, and shipping income. Management expects the sales growth rate of Proprietary Ammunition to greatly outpace the sales of our Standard Ammunition.
We are focused on continuing to grow top line revenue quarter-over-quarter as we continue to further expand distribution into commercial markets, introduce new product lines, and continue to initiate sales to U.S. law enforcement, military (domestic and ally nations), and international markets.
Our gross margin percentage decreased temporarily to 29.8% in the current quarter. This was primarily attributable to near-term cost of materials increase, as well as additional labor for our new facility, and overhead costs in preparation for the late July opening of our new manufacturing facility. Management’s informed opinion is these cost increases are temporary and should swiftly subside as our world-class new plant becomes fully operational, which we expect to be by the end of our second fiscal quarter.
We believe our gross margins will increase in the second half of this fiscal year as we add a host of operating efficiencies through the fully integrated and ramped up operation of our new production facility, while we continue to grow sales through new markets and expanded distribution. Our goal in the next 12 to 24 months is to continue to improve our gross margins. This will be accomplished through the following:
- Increased product sales, specifically of proprietary lines of ammunition, like the STREAK VISUAL AMMUNITION ™ , Stelth in addition the ammunition we have developed in support of our military and government programs.
- Introduction of new lines of ammunition that historically carry higher margins in the consumer and government sectors.
- Reduced component costs through operation of our ammunition segment and expansion of strategic relationships with component providers.
- Expanded use of automation equipment that reduces the total labor required to assemble finished products.
- Better leverage of our fixed costs through expanded production to support the sales objectives.
Overall, our operating expenses for the quarter increased by approximately $3.8 million over the three months ended June 30, 2021, or 140 basis points as a percentage of sales as a result of a full quarter of GunBroker.com in comparison to a partial quarter in the prior year period due to the timing of the 2021 GunBroker acquisition. We expect to see administrative expenditures decrease as a percentage of sales in the 2023 fiscal year, as we leverage our work force and expand our sales opportunities.
Operating expenses includes non-cash depreciation and amortization expense of approximately $3.4 million for the period and consisted of commissions related to our sales increases, stock compensation expense associated with issuance of our Common Stock in lieu of cash compensation for employees and board members during the period. Operating expenses included noncash expenses of approximately $4.6 million.
Operating income was $5.1 million for the quarter compared to operating income of $9.7 million in the year-earlier. As a percentage of net revenues, operating income was 8.3%.
We ended the quarter with a net income of approximately $3.2 million compared with a net income of approximately $9.5 million for the three months ended June 30, 2021. The decrease was mostly attributable to the decrease in our margin and the addition of a tax provision in the current period in comparison to the prior year period in which we had a full valuation allowance. As we increase our margin in upcoming quarters, we expect our net income to increase in comparison to the prior year.
Our goal is to continue to improve our operating results as we focus on increasing sales and controlling our operating expenses through the integration and fully ramped up operation of our new manufacturing facility, coupled with the expanded leveraging of the GunBroker.com Marketplace.
Adjusted EBITDA was $14.3 million compared to Adjusted EBITDA of $16.3 million in the year-earlier period. The decline in Adjusted EBITDA was mostly attributable to the temporary decrease in the gross margin of our ammunition segment as discussed above. Please note that Adjusted EBITDA is a non-GAAP measure, and you should refer to the reconciliation of our GAAP to non-GAAP results in today’s press release for additional details.
Adjusted net income per diluted share was $0.09 versus an adjusted net income per share of $0.13 in the prior year period.
For the three months ended June 30, 2022, net cash provided by operations totaled approximately $5.2 million. This was primarily the result of net income of approximately $3.2 million, which was offset by increases in our inventories of approximately $5.6 million, increases in deposits of approximately $0.5 million, decreases in our accounts receivable of approximately $4.2 million, decreases in prepaid expenses of approximately $0.9 million, and decreases in our accounts payable of $3.0 million. Non-cash expenses for depreciation and amortization totaled approximately $4.3 million and non-cash expenses for employee stock awards totaled $1.2 million.
Outlook
We are reiterating our 2023 Fiscal Year guidance of revenues in the range of $300 million to $310 million, EBITDA in the range of $82 million to $85 million and Adjusted EBITDA in the range of $108 million to $111 million.
About AMMO, Inc.
With its corporate offices headquartered in Scottsdale, Arizona, AMMO designs and manufactures products for a variety of aptitudes, including law enforcement, military, sport shooting and self-defense. The Company was founded in 2016 with a vision to change, innovate and invigorate the complacent munitions industry. AMMO promotes branded munitions as well as its patented STREAK ™ Visual Ammunition, /stelTH/ ™ subsonic munitions, and specialty rounds for military use via government programs. For more information, please visit: www.ammo-inc.com .
It’s Friday, time to go STREAKing
//📷 @wilson.neal @garrettw04 pic.twitter.com/HsoV4MIxar
— AMMO INC (@ammoincusa) March 18, 2022
About GunBroker.com
GunBroker.com is the largest online marketplace dedicated to firearms, hunting, shooting and related products. Aside from merchandise bearing its logo, GunBroker.com currently sells none of the items listed on its website. Third-party sellers list items on the site and Federal and state laws govern the sale of firearms and other restricted items. Ownership policies and regulations are followed using licensed firearms dealers as transfer agents. Launched in 1999, GunBroker.com is an informative, secure and safe way to buy and sell firearms, ammunition, air guns, archery equipment, knives and swords, firearms accessories and hunting/shooting gear online. GunBroker.com promotes responsible ownership of guns and firearms. For more information, please visit: www.gunbroker.com .
LEADING MARKETPLACE PLATFORM
Unique Capabilities + Strong Barriers to Entry Proprietary Operating Platform
- GunBroker.com developed its own proprietary source code upon which the marketplace website operates
- The system is highly scalable and easily maintained by the Company’s lean team of technical engineersAuthoritative Brand Value
- GunBroker.com benefits from its reputation as “the” online destination to buy and sell firearms online
- The GunBroker.com name drives significant traffic and new users to the website to buy, sell and trade firearms and related productsAir-Tight Compliance Protocols
- GunBroker.com has a spotless record with the ATF and FBI, which are Distributorsthe primary regulatory authorities in the firearms marketplace
- The Company minimizes fraudulent activity through enhanced security measures, such as cell phone verification and additional customer diligence as needed
Unmatched Scale
- GunBroker.com has accumulated a critical mass of users, which allows the business to operate at high levels of profitability
- New market entrants will struggle to operate above breakeven levels at lower transaction volumesLeading Industry Credibility• GunBroker.com has earned decades of credibility across the firearms community as the authoritative online auction marketplace with strict compliance to relevant regulatory protocols• Potential competitors would struggle to gain the same level of trust and customer stickiness as an unproven service providerDeep Network of FFL Partners
- GunBroker.com has amassed a network of more than 25 thousand FFL partners and has entrenched its service as an integral part of these dealers’ marketing platforms
- It would take a new market entrant decades to cultivate the depth and breadth of GunBroker.com’s relationships across the U.S.
AMMO, Inc. Expands Distribution Network with Rollout of Product Offerings to Additional 440 Retail Locations Nationwide and 5 New Distributor Partners, Providing the Company with Access to 10,000+ Nationwide Retailers
SCOTTSDALE, Ariz., Sep 20, 2022 (GLOBE NEWSWIRE via COMTEX) — SCOTTSDALE, Ariz., Sept. 20, 2022 (GLOBE NEWSWIRE) — AMMO, Inc. (Nasdaq: POWW, POWWP) (“AMMO” or the “Company”), the owner of GunBroker.com, the largest online marketplace serving the firearms and shooting sports industries, and a leading vertically integrated producer of high-performance ammunition and components, announced the rollout of its full portfolio of loaded ammunition, including its STREAK(TM) Visual Ammunition, brass casings and munition components, to an additional 440 retail stores in the first two quarters of the Company’s fiscal year throughout the U.S. Included in the rollout were Turner’s Outdoorsman and 5 new distributor partners.
“The significant increase in demand across the commercial market has allowed us to further expand AMMO’s distribution footprint throughout the U.S.,” said Fred Wagenhals, AMMO’s Chairman & CEO. “Adding distribution is critical to building our brand in the industry, and I am confident we will continue to grow our U.S. and international distribution at a rapid pace throughout the course of this fiscal year.”
Wagenhals added: “As anticipated, we are consistently receiving increasingly strong interest in our technologically advanced ammunition from military and law enforcement channels (domestic and abroad), including our patented armor piercing and STREAK(TM) rounds. We continue to expect this channel to be a fiscal 2023 growth driver.”
Have you tried STREAK? Unlike tracers, STREAK ammo is non-incendiary. In other words, it doesn’t generate heat and won’t cause a fire.
//📷 @kostassant pic.twitter.com/Ziv8zFLjOM
— AMMO INC (@ammoincusa) March 10, 2022
AMMO, Inc. Celebrates Grand Opening of State-of-the-Art Ammunition Manufacturing Plant in Manitowoc, WI
SCOTTSDALE, Ariz., Sep 26, 2022 (GLOBE NEWSWIRE via COMTEX) — New Facility Expected to Triple Current Manufacturing Output to Meet Growing Demand. 
Company AnticipatesAdding 100 Jobs Over the Next Year to Maximize Capacity and Productivity
SCOTTSDALE, Ariz., Sept. 26, 2022 (GLOBE NEWSWIRE) — AMMO, Inc. (Nasdaq: POWW, POWWP) (“AMMO” or the “Company”) the owner of GunBroker.com, the largest online marketplace serving the firearms and shooting sports industries, and a leading vertically integrated producer of high-performance ammunition and components, celebrated the grand opening of its new 185,000 square foot world-class ammunition manufacturing facility in Manitowoc, WI, on September 22nd.
Alongside AMMO’s Chairman & CEO, Fred Wagenhals, the Company’s senior management team, directors Richard Childress, Harry Markley, Jessica Lockett, Rob Goodmanson, Manitowoc Mayor Justin Nickels, more than 100 attendees, other state and local officials, and a host of news media celebrated and covered the opening of this state-of-the-art ammunition manufacturing facility in a ribbon-cutting ceremony.
Fred Wagenhals, AMMO’s Chairman and CEO, commented on the significant milestone in the Company’s history:
“We are incredibly excited to expand our company’s footprint here in Manitowoc. I’m proud of the entire AMMO team for their hard work on this project, which will provide a solid foundation for the Company’s continued growth in the ammunition and components manufacturing side of our business. The other new plant opportunities we aggressively and diligently explored were substantially more expensive and involved proposed schedules that would have set our operations back considerably. The efforts of the collective AMMO, city of Manitowoc, and General Contractor/Architect teams over the past 18 months were critical to ensuring that the project was executed successfully, on-time and within our budget, with incredibly helpful assistance provided by Mayor Nickels’ team throughout.
We are also grateful for the continued universal support of all of our directors as the team took on this momentous transformational step to stand up this amazing new plant. Their support has been unwavering.
We are excited for the opportunities that this plant will provide for AMMO and the Manitowoc community. This new, state-of-the-art ammunition production facility is part of AMMO’s commitment to developing differentiated, cutting-edge technology and meeting our increased consumer demand as we continue to work to create value for the benefit of all our stakeholders.”
The 185,000 square foot manufacturing plant integrates state-of-the-art capabilities, allowing AMMO to significantly expand production capacity to meet the increased demand for its commercial, military and law enforcement products, both domestically and overseas. The Company currently employs over 300 people in Manitowoc and anticipates hiring another 100 team members over the next year with the completion of the new facility.
NEWS
The Urvan Group Issues Statement Regarding AMMO Inc.
AMMO, Inc. Comments on Letter from The Urvan Group
AMMO, Inc. Announces Preferred Stock Dividend
10-Q: AMMO, INC.
AMMO, Inc. Reports First Quarter 2023 Financial Results
AMMO, Inc. Announces Launch of Green Streak(R) Ammunition
MANAGEMENT
The Viral Stocks Team
