The shooting industry’s most consistent performer, Sturm, Ruger & Co., saw a slight downturn in sales for 2010, but earnings per share were up, according to its annual report.

Listed on the New York Stock Exchange as RGR, the New Hampshire-based company reported net sales of $255.2 million and earnings of $1.48 per share, compared with sales of $271.0 million and earnings of $1.44 per share in 2009.

For the fourth quarter of 2010, net sales were $64.1 million and earnings were 30 cents per share which is virtually identical to the corresponding period in 2009 when net sales were $63.9 million and earnings were 31 cents per share.

Ruger also announced that its Board of Directors declared a dividend of 5 cents per share for the fourth quarter, for shareholders of record as of March 11, 2011, payable on March 25, 2011.

Chief Executive Officer Michael O. Fifer made the following comments related to the company's results:

• In 2010, Ruger launched several new products including the SR9c compact pistol, the LCR-357 revolver and the SR40 striker-fired pistol. New product introductions remain a strong driver of demand and represented $62.3 million or 24.8 percent of sales in 2010.

• The estimated sell-through of the company's products from distributors to retailers in 2010 increased 2 percent from 2009. During this period, National Instant Criminal Background Check System (NICS) background checks (as adjusted by the National Shooting Sports Foundation) decreased 1 percent.

• Cash generated from operations during 2010 was $32.5 million. As of December 31, 2010, Ruger’s cash and equivalents and short-term investments totaled $57.6 million. Ruger has no debt.

• In 2010, capital expenditures totaled $19.4 million, much of it related to tooling and equipment for new products. Ruger expects to invest approximately $15 million for capital expenditures during 2011.

• As of December 31, 2010, stockholders' equity was $114.5 million, which equates to a book value of $6.08 per share, of which $3.06 per share was cash and equivalents and short-term investments. In 2010, Ruger returned $12.0 million to our shareholders through the following:

1. Paying $6.3 million of dividends, and
2. Repurchasing 412,000 shares of our common stock in the open market at an average price of $13.83 per share, for a total of $5.7 million.

• In January 2011, Ruger repurchased an additional 133,400 shares of our common stock in the open market at an average price of $14.98 per share.