American Outdoor Brands swings to a profit, raises FY27 operating income outlook

American Outdoor Brands reported impressive first-quarter fiscal 2027 results, with net sales soaring 25.4% to $37.3 million. Adjusted EBITDA turned positive at $1.2 million, marking a significant turnaround from the previous year's loss. The company credited new product launches for a substantial portion of the sales growth, which widened gross margins to 53%.

Full-year adjusted EBITDA guidance was raised to $14.5 million-$17.5 million, up from the previous estimate of $13 million-$16 million. Investors responded positively, pushing the stock up 27.87% in after-hours trading to $12.80, following a regular session close at $10.02. Gross margin expanded by 630 basis points compared to the prior year.

Organic net sales grew 4.3%, and e-commerce sales rose 20.1%. The company's strong performance across various channels, including outdoor lifestyle and shooting sports, contributed to the robust results.