EBITDA Guidance Below ConsensusManagement is guiding 4Q EBITDA to be significantly under Street expectations, indicating weaker-than-typical seasonality.
Inventory Reduction ImpactReduced commercial production in Winchester contributes to a $40M inventory reduction headwind.
Winchester PerformanceWinchester saw a new multi-year low EBITDA of $27mm, missing Street/our $35mm/$36mm, driven by continued pressures on commercial ammunition sales/pricing, higher propellant/metals cost, and general destocking.