Vista Outdoor Earnings 8-8-19

LEWISTON, ID -- Vista Outdoor Inc. on Thursday released operating results for the first quarter of its Fiscal Year 2020 , which ended on June 30, 2019. "We've now completed the first phase of Vista Outdoor's turnaround," said Vista Outdoor Chief Executive Officer Chris Metz. "By divesting our Eyewear business and now our Savage firearms business, we've right-sized our portfolio to brands who are, or can be, market leaders in their space. While we continued to see softness and challenges in our markets in the first quarter of Fiscal Year 2020, I remain confident in our plan to restore our brands to greatness. We are mitigating unprecedented challenges while making continued progress to a more growth-centric Vista Outdoor."

For the first quarter ended June 30, 2019:

Sales were $460 million, down 13 percent from the prior-year quarter, down 7 percent on an organic basis, excluding results from the sale of our Eyewear brands, which were sold in the second quarter of Fiscal Year 2019. Sales for our ammunition business were $214 million, down 1.5 percent from the prior year quarter.

Gross profit was $95 million, down 16 percent from the prior year quarter, down 8 percent on an adjusted organic basis, excluding results from the sale of our Eyewear brands.

Operating expenses were $100 million, which reflects a pre-tax, non-cash $9 million impairment related to a loss on the sale of Savage and Stevens firearms brands. This compares to $153 million of operating expenses in the prior-year quarter. Adjusted operating expenses were $89 million compared to $94 million in the prior year quarter on an organic basis, excluding results from the sale of our Eyewear brands.