Posted on 11/16/2020 8:16:00 AM PST by rktman
Vista Outdoors, the parent company of ammunition brands Federal, CCI, Blazer, and Speer (among others), announced during an earnings call last week a yearlong backlog of ammunition orders worth $1 billion.
“We currently have over a year’s worth of orders for ammunition in excess of $1 billion,” CEO Chis Metz said during the Nov. 5 call, calling the backlog “unprecedented.”
“With demand far outstripping supply and inventory levels in the channel at all-time lows, we see strong demand continuing, and this metric informs our viewpoint of what a recovery or normalization could look like,” he continued.
He added that he was providing the additional context “to convey an underlying strength and strong foundational element to our business.”
All ammunition manufacturers are feeling the squeeze of a massive spike in demand driven by the COVID-19 pandemic, social unrest, and the presidential election.
Arizona-based Ammo Incorporated reported in October that the relatively small company is facing an $80 million backlog despite operating 24 hours a day, 7 days a week.
Company CEO Fred Wagenhals named COVID, the election, and unrest as the drivers of the spike in demand in an interview with AZFamily.com.
(Excerpt) Read more at gunsamerica.com ...
Heck, even reloading equipment is on backlog.
Recently sold by a reliable friend to unknowns from a place farther west. Iffy at best. So, I may be the western front, YIKES!
There are a lot of deep state actors who will gladly follow unconstitutional laws and edicts.
ALWAYS strip the bodies of arms and ammo. Just sayin’.....
For 5.56 that is cheap these days. Online will cost you $0.92/round or more.
High velocity air rifle. I have a Ruger .22 air rifle that shoots 14 gr pellets at 1200 fps.
High velocity air rifle. I have a Ruger .22 air rifle that shoots 14 gr pellets at 1200 fps.
Nice, I have a Beeman, I believe .177
So, the other operations are not going to take up any of that slack?
That is not how large companies work.
If it made financial sense, don’t you think ONE of them would be doing that? One or two run by financial idiots would not surprise me. But all of them?
They haven’t been. Again A DECADE.
Of course here’s the punchline. The reason the aren’t increasing capacity is THEY DON’T WANT TO. Shortages mean price increases. When you can sell the same thing for 4 times as much as it used to there’s just not much incentive to increase production. Then these stories come out periodically and ratchet up the prices some more.
Eventually though somebody is going to see the window of opportunity. They’re gonna crank production, sell at half the price as everybody else, which will still be twice as much as ammo used to be worth, and crush everybody.
WOW! Just confirmed! Get it while it lasts!!!
Whether.
Sheesh.
5.56m.
Yeah I was just used to the 30 cent a round days.....of course that’s been awhile
[[[Heck, even reloading equipment is on backlog.]]]
Yep, and you can’t do anything with it without components.
I believe a majority of ammo is sold online. It never hits the store shelves.
And the shortages are endless.
Companies are also having trouble obtaining raw materials like brass, copper, lead etc. for a host of reasons.
The shortage of primers for handloaders is basically being caused by companies putting them in loaded ammo instead.
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