ABCDEFGHIJKLMNOPQRSTUVWXYZ
1
Financial Model ($ millions)
2
3
Company nameSmith & Wesson Brands, Inc.
4
TickerSWBI
5
Share price as of valuation date$10.75
6
Valuation date3/2/2023
7
Most recent fiscal year-end date4/30/2022
8
9
10
Income Statement 2019A2020A2021A2022A2023E2024E2025E2026E2027E
11
Revenue 481 530 1,059 864 1,050 1,276 1,551 1,885 2,292
12
Cost of goods sold (COGS)(296)(320)(600)(480)(584)(712)(868)(1,058)(1,289)
13
Gross Profit 185 209 459 385 466 564 683 828 1,003
14
SG&A and other indirect expenses(142)(159)(140)(128)(161)(203)(254)(319)(399)
15
Operating Profit 44 50 320 256 304 362 429 509 604
16
Interest expense(10)(12)(4)(2)(6)(7)(9)(11)(13)
17
Other non-operating income (expense) except interest expense & unusual
 0 0 2 3 2 2 3 3 4
18
Unusual items 0 0 0 (5)(1)(2)(2)(2)(3)
19
Earnings Before Taxes 34 39 318 252 299 355 421 500 592
20
Taxes(9)(12)(74)(58)(77)(91)(108)(128)(152)
21
Net income from continuing operations 25 28 244 194 222 264 313 371 440
22
Other considerations (discontinued, noncontrolling, preferred dividends, etc.)
(7)(89) 8 0 4 5 6 8 9
23
Net income 18 (61) 252 194 226 269 319 379 449
24
25
26
Balance Sheet 2019A2020A2021A2022A2023E2024E2025E2026E2027E
27
Assets
28
Cash & equivalents 41 125 113 121 309 368 433 504 580
29
Other nonoperating current assets 2 2 1 2 3 4 4 5 6
30
Accounts receivable 85 61 67 63 74 88 103 122 143
31
Inventory 164 104 78 137 189 230 281 342 417
32
Other operating current assets 7 102 8 6 10 12 14 18 21
33
Current Assets 299 393 268 328 584 701 835 990 1,168
34
PP&E 183 148 142 139 169 206 250 304 369
35
Other long-term assets 285 188 37 31 37 45 55 67 82
36
Long-term Assets 468 336 178 170 206 251 305 371 450
37
Total Assets 767 730 446 497 791 952 1,140 1,361 1,619
38
39
Liabilities
40
Accounts payable 36 31 57 30 50 61 74 90 110
41
Short-term debt 0 0 0 0 12 13 15 17 20
42
Current portion of long-term debt 6 0 0 0 0 0 0 0 0
43
Other current liabilities 70 98 68 59 71 87 105 127 154
44
Current Liabilities 112 130 126 89 134 161 195 235 285
45
Long-term debt 149 159 0 0 163 199 242 294 357
46
Other long-term liabilities 62 53 54 48 58 71 86 105 127
47
Long-term liabilities 211 212 54 48 222 270 328 398 484
48
Total Liabilities 323 342 180 137 355 431 522 634 769
49
50
Shareholders' Equity
51
Total Shareholders' Equity 444 387 266 361 436 521 618 727 850
52
Total Liabilities & Shareholders' Equity 767 730 446 497 791 952 1,140 1,361 1,619
53
54
Weighted Average Basic Shares Outstanding54.5 55.0 54.6 47.2
55
56
57
Statement of Cash Flows2019A2020A2021A2022A2023E2024E2025E2026E2027E
58
Cash Flow from Operating Activities
59
Net Income 18 (61) 252 194 226 269 319 379 449
60
Depreciation 28 31 31 34 49 59 72 88 106
61
Amortization 0 0 0 0 0 0 0 0 0
62
Other operating cash flow (includes change in working capital) 10 125 33 (90) 48 58 71 86 105
63
Cash from Operating 57 95 315 138 323 386 462 552 660
64
65
Cash Flow from Investing Activities
66
Capital expenditures (CAPEX)(31)(12)(22)(24)(79)(96)(116)(141)(172)
67
Other investing cash flow(4)(2)(1)(0)(2)(2)(2)(3)(3)
68
Cash from Investing(35)(14)(23)(24)(80)(98)(119)(144)(175)
69
70
Cash Flow from Financing Activities
71
Net debt issued (repaid)(32) 3 (161)(1) 0 176 212 257 312
72
Net equity issued (repurchased) 2 2 (109)(90)(53)(64)(78)(95)(115)
73
Dividends 0 0 (8)(15)(17)(21)(25)(29)(35)
74
Other financing cash flow(0)(1)(26)(0)(7)(8)(10)(12)(15)
75
Cash from Financing(31) 3 (304)(106)(77) 83 100 121 147
76
77
Other changes in cashNA(0)(0)(0) 22 (312)(378)(458)(555)
78
79
Net increase (decrease) in cashNA 84 (12) 8 188 59 65 71 77
80
Opening cash balanceNA 41 125 113 121 309 368 433 504
81
Closing cash balance 41 125 113 121 309 368 433 504 580
82
83
84
85
Supporting Work-Income Statement2019A2020A2021A2022A2023E2024E2025E2026E2027E
86
87
Revenue growth rate10.03%99.99%-18.42%30.54%30.54%30.54%30.54%30.54%
88
Forecast revenue864 1128 1472 1922 2509 3275
89
90
Revenue growth rate10.03%99.99%-18.42%
91
Weights40.00%40.00%20.00%
92
Wt*growth4.01%40.00%-3.68%
93
Forecast revenue growth40.33%40.33%40.33%40.33%40.33%
94
Forecast revenue 864 1,213 1,702 2,388 3,351 4,702
95
96
Revenue 481 530 1,059 864
97
CAGR21.54%
98
Forecast revenue growth21.54%21.54%21.54%21.54%21.54%
99
Forecast revenue 864 1,050 1,276 1,551 1,885 2,292
100