AMMO, Inc. (POWW): history, ownership, mission, how it works & makes money

A Brief History of AMMO, Inc. (POWW)

Foundation and Early Years

AMMO, Inc. was founded in 2016 in Scottsdale, Arizona. The objective was to become a premier manufacturer of high-quality ammunition and related shooting products.

Public Offering

AMMO, Inc. went public on the NASDAQ under the ticker symbol POWW on October 1, 2020. The initial public offering (IPO) was priced at $4.00 per share.

Financial Performance

In its fiscal year 2021, AMMO, Inc. reported revenues of approximately $40.7 million, showing significant growth compared to $8.9 million in 2020. The growth trajectory continued with Q2 2022 revenues reported at $12.7 million.

Acquisitions

In 2021, AMMO, Inc. acquired GunBroker.com, an online auction platform for firearms and ammunition, for approximately $240 million. This acquisition aimed to enhance their market presence and diversify revenue streams.

Product Expansion

• High-performance handgun ammunition
• Rifle ammunition
• Specialty ammunition

AMMO has broadened its product line to include various types of ammunition tailored for different markets, including law enforcement and the sporting goods sector.

Market Position

As of mid-2023, AMMO, Inc. holds a market share of approximately 4% in the commercial ammunition sector in the United States, positioning itself among the leading manufacturers.

Stock Performance

As of October 2023, the stock price of AMMO, Inc. fluctuated around $2.50 per share, down from a high of $5.28 since its IPO. The market capitalization was roughly $100 million.

Sustainability Initiatives

AMMO, Inc. has initiated various sustainability measures, including reducing waste during manufacturing and using environmentally friendly materials in their products. They aim for a 25% reduction in carbon emissions by 2025.

Future Outlook

Analysts predict a projected revenue growth rate of 15-20% annually over the next three years due to increased demand for ammunition and shooting sports.

A Who Owns AMMO, Inc. (POWW)

Major Shareholders

As of October 2023, the ownership structure of AMMO, Inc. (POWW) includes a mix of institutional investors, retail investors, and insiders. Below is a detailed table showcasing the major shareholders and their respective ownership percentages.

Institutional Ownership

Institutional investors play a significant role in the ownership of AMMO, Inc. As of the latest filings, institutional ownership represents approximately 25% of the total shares outstanding.

Insider Ownership

Insider ownership is crucial for understanding the confidence of management in the company's future. As of October 2023, insiders hold 12% of the total shares. This includes notable figures such as:

• Fred Wagenhals – CEO and Chairman
• Other key executives – 200,000 shares collectively

Public Float

The percentage of shares available for trading by the public is significant. The current public float for AMMO, Inc. stands at approximately 60%, indicating a healthy liquidity position.

Recent Trading Data

The stock of AMMO, Inc. (POWW) has shown various trends in its trading history. The latest stock price as of October 2023 is $4.50 per share, reflecting an increase of 20% over the past month.

Ownership Summary

The overall ownership of AMMO, Inc. is diversified among institutional, insider, and retail investors. The current shareholder composition can be summarized as follows:

Conclusion on Ownership Dynamics

The ownership landscape of AMMO, Inc. (POWW) is indicative of a balanced distribution between institutional and retail investors, with significant insider holdings reflecting management's vested interest in the company's performance.

AMMO, Inc. (POWW) Mission Statement

Overview

AMMO, Inc. (POWW) is engaged in the manufacturing and distribution of ammunition products and accessories. The company’s mission is centered on delivering the highest quality ammunition while ensuring exceptional customer satisfaction and operational excellence.

Core Values

• Quality: Commitment to providing high-quality, reliable products.
• Innovation: Focus on continuous improvement and technological advancements.
• Integrity: Conducting business honestly and ethically.
• Customer Focus: Prioritizing the needs and satisfaction of customers.
• Sustainability: Implementing environmentally responsible practices.

Financial Performance

AMMO, Inc. has shown significant growth in revenue, with financial data from recent quarters reflecting the following:

Market Position

AMMO, Inc. has positioned itself as a leading player in the ammunition industry. The company has a diverse product line that includes:

• Handgun ammunition
• Rifle ammunition
• Shotgun shells
• Ammunition components
• Accessories and related products

Strategic Goals

The strategic goals of AMMO, Inc. include:

• Expansion: Geographic and product line expansion to increase market share.
• Investment: Continued investment in technology and facilities to enhance production capabilities.
• Collaboration: Building partnerships with law enforcement and military agencies.
• Sustainability Initiatives: Implementing sustainable practices throughout the supply chain.

Recent Developments

Recent initiatives by AMMO, Inc. include:

• The launch of new product lines in 2023, focusing on eco-friendly ammunition.
• Investment in artificial intelligence for better inventory management.
• Partnerships with major retailers to improve distribution channels.

Customer Engagement

AMMO, Inc. emphasizes engagement with its customers through various channels, including:

• Direct sales platforms
• Social media interaction
• Customer feedback surveys

Conclusion

The mission statement of AMMO, Inc. reflects its commitment to quality, innovation, and customer satisfaction, aligning with its strategic goals and market presence.

How AMMO, Inc. (POWW) Works

Business Overview

AMMO, Inc. (POWW) operates primarily in the ammunition and shooting sports products industry. The company is engaged in manufacturing and selling a wide variety of ammunition, including rimfire, centerfire, and reloading components. Its business model encompasses both direct-to-consumer sales and wholesale distribution channels.

Revenue Generation

As of the fiscal year ended March 31, 2023, AMMO, Inc. reported total revenue of $77.2 million, reflecting an increase from $50.9 million in the previous fiscal year.

Key Financial Metrics

Product Offering

AMMO, Inc. offers several product lines, including:

• Ammunition for hunting
• Self-defense ammunition
• Competition shooting ammunition
• Reloading supplies
• Branded merchandise

Manufacturing Capabilities

The company operates a state-of-the-art manufacturing facility located in Manitowoc, Wisconsin. This facility is capable of producing a wide range of ammunition, utilizing advanced manufacturing techniques.

Market Presence

AMMO, Inc. has established itself in both retail and online markets. Distribution is achieved through:

• Sporting goods stores
• Online retailers
• Direct sales through the company website

Strategic Partnerships

In 2023, AMMO, Inc. formed strategic partnerships with several key players in the outdoor and sporting goods industry to expand its distribution network. These partnerships have enabled the company to reach a broader customer base and enhance brand visibility.

Growth Strategy

AMMO, Inc. aims to drive growth through:

• New product development
• Expansion into international markets
• Enhanced marketing strategies

Recent Performance Highlights

In the second quarter of 2023, the company reported a 40% increase in year-over-year sales, highlighting the strong demand for its products.

Stock Performance

As of October 2023, the share price of AMMO, Inc. (POWW) is approximately $4.10. The market capitalization is estimated at $203 million.

Industry Trends

The ammunition market is expected to grow at a CAGR of 5% from 2023 to 2028, driven by heightened interest in recreational shooting and self-defense.

Conclusion of Financial Performance

The financial health of AMMO, Inc. can be summarized as follows:

How AMMO, Inc. (POWW) Makes Money

Product Sales

AMMO, Inc. generates revenue primarily through the sales of ammunition products. In 2022, the company reported revenues of approximately $21.7 million, reflecting a significant increase compared to $10.3 million in 2021. The average gross margin for ammunition sales is typically around 35%.

Retail and Wholesale Distribution

AMMO, Inc. has a diversified distribution strategy that includes both retail and wholesale channels. The company offers its products through various online platforms and physical retail outlets. As of 2023, the company reported that around 40% of its sales come from wholesale distribution, while 60% is from retail sales.

Government Contracts

Government contracts constitute a vital part of AMMO, Inc.'s revenue stream. In 2022, the company secured contracts worth approximately $5 million, showcasing its capacity to meet the demands of military and law enforcement agencies. These contracts typically have robust margins, estimated at 25% to 30%.

Product Development and Innovation

AMMO, Inc. invests heavily in research and development to create innovative ammunition products. The company allocated around $1.5 million to R&D in 2022. This investment focuses on enhancing performance and sustainability, which is crucial for capturing market share in a competitive landscape.

Market Trends and Consumer Demand

The market for ammunition has been on an upward trajectory, with the industry expected to grow at a compound annual growth rate (CAGR) of 5.3% from 2023 to 2028. This growth is driven by factors such as increased participation in shooting sports and rising self-defense awareness among consumers.

Online Sales Growth

AMMO, Inc. has witnessed significant growth in online sales, which currently contributes to about 25% of total revenues. This segment has seen an annual growth rate of 20%, propelled by an increasing shift towards e-commerce in the retail sector.

Partnerships and Collaborations

Strategic partnerships with distributors and retailers enhance AMMO, Inc.'s market outreach. The company reported a partnership with several major sporting goods retailers, which has helped to boost sales figures by approximately 15% year-over-year.

Financial Health

As of Q2 2023, AMMO, Inc. has reported a net income of approximately $3 million, an increase from $1 million in the previous year. The company's EBITDA for the same period was around $4 million.

Stock Performance

As of October 2023, the stock price of AMMO, Inc. (POWW) stands at approximately $4.50 per share, representing a 20% increase year-to-date. The market capitalization of the company is estimated at around $200 million.

Future Outlook

Analysts forecast continued revenue growth driven by expanding market opportunities and product innovation. Projections for revenue in 2024 suggest reaching upwards of $40 million, assuming a stable increase in demand for ammunition products.