SWAGW · Stran & Company, Inc.

Stran & Company reported a strong first quarter for 2026, with revenue increasing 8.9% year-over-year to $31.2 million, driven by 11.9% growth in the core Stran segment to $23.4 million, while the SLS segment (former Gander Group) held flat at $7.8 million. Gross profit rose 13.7% to $9.6 million, outpacing revenue growth, as gross margin expanded 130 basis points to 30.9%. The SLS segment saw a dramatic margin improvement of nearly 700 basis points to 28.7%, attributed to a more favorable customer mix and disciplined cost management. Operating expenses remained flat at $9.0 million, declining as a percentage of sales to 28.8% from 31.4%. This operating leverage drove net income of $0.7 million, compared to a net loss of $0.4 million in the prior year, and EBITDA of $1.0 million versus a loss of $0.2 million. Management highlighted a three-year contract extension with a premier nonprofit running organization, a new multimillion-dollar agreement with a leading gaming company, and the addition of two Global 100 law firms as evidence of deepening client relationships. The company ended the quarter with $12.8 million in cash, cash equivalents, and investments, and no debt. CEO Andy Shape expressed confidence that 2026 will be a year of sustained, profitable growth, citing the operating leverage demonstrated in Q1 and the expectation that a growing revenue base will be absorbed within the fixed cost structure.