Vista Outdoor Reports FY16 Fourth Quarter and Full-Year Operating Results

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Clearfield, Utah, May 12, 2016 — Vista Outdoor Inc. (NYSE: VSTO) today reported operating results for the fourth quarter and full Fiscal Year 2016 (FY16), both of which ended on March 31, 2016.

"The company delivered strong results for the full year, supported by a fourth-quarter surge in demand for our Shooting Sports products," said Vista Outdoor Chairman and CEO Mark DeYoung. "Sales for the full year increased 9 percent year over year, including acquisitions, and gross profit increased 17 percent from the prior-year period. We recorded year-over-year organic growth in Outdoor Products and Shooting Sports. Our financial results for our first full fiscal year represent our ongoing commitment to develop new and innovative products, to deliver organic and acquisition-related growth, and to continuously improve operational efficiencies."

For the fourth quarter ended March 31, 2016:
• Sales were $612 million, up 26 percent from the prior-year quarter and up 15 percent organically.
• Gross profit was $164 million, up 33 percent from the prior-year quarter and up 15 percent organically.
• Operating expenses were $96 million. Adjusted operating expenses were $93 million, compared to $72 million in the prior-year quarter.
• Fully diluted earnings per share (EPS) was $0.61. Adjusted EPS was $0.63, up 34 percent from the prior-year quarter.
• The company repurchased approximately 572,000 shares in the quarter for $26.8 million.

For the fiscal year ended March 31, 2016:
• Sales were $2.27 billion, up 9 percent from the prior year and up 3 percent organically.
• Gross profit was $619 million, up 17 percent from the prior year and up 8 percent organically.
• Operating expenses were $357 million. Adjusted operating expenses were $343 million, compared to $267 million in the prior year.
• EPS was $2.35. Adjusted EPS was $2.50, up 6 percent from the prior-year period.
• Free cash flow was $163 million, compared to $160 million in the prior-year period.
• The company repurchased approximately 3.2 million shares in the fiscal year for $142 million. Since March 31, 2016, Vista Outdoor repurchased approximately 200,000 additional shares for $10 million.

"As we've previously discussed, each year our capital expenditures include funding to improve output through the elimination of bottlenecks and driving efficiencies, and we will continue those efforts," said DeYoung. "Looking ahead, we see continued growth in the ammunition market at rates higher than can be met with throughput enhancement alone. To better position Vista Outdoor to meet this growing demand for the long-term, we will commence a three-year ammunition capacity expansion project in FY17, with the additional capacity starting to become available in FY18.

"The company will also make significant investments in research and development to foster new product development in both of our segments. Our strategic vision is to meet market demand and provide our consumers with innovative, state-of-the-art products that deliver success in any outdoor adventure.

"Our acquisition pipeline remains robust, and we are committed to delivering long-term shareholder value. On April 1, Vista Outdoor completed the acquisition of the Action Sports division of BRG Sports, Inc., including leading brands Bell and Giro, complementing and enhancing our market offerings in cycling, snow sports and powersports. The integration of CamelBak is on track and our integration of Action Sports is underway. We have completed approximately 80 percent of our share repurchase program since its inception, and in FY17, we expect to continue to opportunistically repurchase additional shares in anticipation of completing the authorized program."

Please see the tables in the downloadable press release for a reconciliation of non-GAAP adjusted operating profit, tax rate, free cash flow and fully diluted earnings per share to the comparable GAAP measures.

For the complete corporate full-year operating results news release, please download .doc or .pdf documents links on the top of this page.

About Vista Outdoor Inc.
Vista Outdoor is a leading global designer, manufacturer and marketer of consumer products in the growing outdoor sports and recreation markets. The company operates in two segments, Shooting Sports and Outdoor Products, and has a portfolio of well-recognized brands that provides consumers with a wide range of performance-driven, high-quality and innovative products for individual outdoor recreational pursuits. Vista Outdoor products are sold at leading retailers and distributors across North America and worldwide. Vista Outdoor is headquartered in Utah and has manufacturing operations and facilities in 13 U.S. States, Canada, Mexico and Puerto Rico along with international customer service, sales and sourcing operations in Asia, Australia, Canada, Europe and New Zealand. For news and information visit www.vistaoutdoor.com or follow us on Twitter @VistaOutdoorInc and Facebook at www.facebook.com/vistaoutdoor.


Forward-Looking Statements
Certain statements in this press release and other oral and written statements made by Vista Outdoor from time to time are forward-looking statements, including those that discuss, among other things: Vista Outdoor’s plans, objectives, expectations, intentions, strategies, goals, outlook or other non-historical matters; projections with respect to future revenues, income, earnings per share or other financial measures for Vista Outdoor; and the assumptions that underlie these matters. The words ‘believe’, ‘expect’, ‘anticipate’, ‘intend’, ‘aim’, ‘should’ and similar expressions are intended to identify such forward-looking statements. To the extent that any such information is forward-looking, it is intended to fit within the safe harbor for forward-looking information provided by the Private Securities Litigation Reform Act of 1995. Numerous risks, uncertainties and other factors could cause Vista Outdoor’s actual results to differ materially from expectations described in such forward-looking statements, including the following: general economic and business conditions in the U.S. and Vista Outdoor’s other markets, including conditions affecting employment levels, consumer confidence and spending; Vista Outdoor’s ability to attract and retain key personnel and maintain and grow its relationships with customers, suppliers and other business partners, including Vista Outdoor’s ability to obtain acceptable third party licenses; Vista Outdoor’s ability to adapt its products to changes in technology, the marketplace and customer preferences; Vista Outdoor’s ability to maintain and enhance brand recognition and reputation; reductions, unexpected changes in or our inability to accurately forecast demand for ammunition, firearms or accessories or other outdoor sports and recreation products; risks associated with Vista Outdoor’s sales to significant retail customers, including unexpected cancellations, delays and other changes to purchase orders; supplier capacity constraints, production disruptions or quality or price issues affecting Vista Outdoor’s operating costs; Vista Outdoor’s competitive environment; risks associated with compliance and diversification into international and commercial markets; the supply, availability and costs of raw materials and components; increases in commodity, energy and production costs; changes in laws, rules and regulations relating to Vista Outdoor’s business, such as federal and state firearms and ammunition regulations; Vista Outdoor’s ability to execute its long-term growth strategy, including our ability to complete and realize expected benefits from acquisitions and integrate acquired businesses; Vista Outdoor’s ability to take advantage of growth opportunities in international and commercial markets; foreign currency exchange rates and fluctuations in those rates; the outcome of contingencies, including with respect to litigation and other proceedings relating to intellectual property, product liability, warranty liability, personal injury and environmental remediation; risks associated with cybersecurity and other industrial and physical security threats; capital market volatility and the availability of financing; changes to accounting standards or policies; and changes in tax rules or pronouncements. Vista Outdoor undertakes no obligation to update any forward-looking statements. For further information on factors that could impact Vista Outdoor, and statements contained herein, please refer to Vista Outdoor’s filings with the Securities and Exchange Commission.

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Vista Outdoor Reports FY16 Fourth Quarter and Full-Year Operating Results