Indebted, Taurus focuses on the outside to try to grow

The last Black Friday, the Taurus Guns organized a war operation in your branch in the United States. Set up a special stock and put one of his most successful releases of last year, the 9 mm handgun Hammer, on sale. The Americans had just bought on the site and receive, in most cases, the gun in the House the next day. Result: 25% increase in sales over the previous year. Much more than a commercial move, the initiative is a sample of what the company, which holds the monopoly of the sector in the Country, intends to do to circumvent your your heavy debt and financial crisis: strengthening the presence in the international market. For more than a relaxation of gun ownership walk in the opposite direction to the Statute of disarmament, it is hard to imagine in Brazil the same freedom seen in USA. This is one of the reasons why the Taurus is seen as a "national" company. "Brazil is a small market and an armaments industry not only in the country makes it possible", says the ceo of Taurus Guns, Salesio Nuhs. "We need to figure out a globalised Taurus." With 84% of the brazilian production exported, the company is not drawing any plan to take advantage of a possible growth of sales in the country, especially in the interior, where experts believe there is pent-up demand. The strategic movement in the opposite direction: diversify the international presence and rely less of the United States, where the company is changing your Florida factory, opened in late 1980, for Georgia. In partnership with the local government, is investing $ $42 million in the drive, which will increase your capacity in the country in 50%. "The US matter $ $1 billion in arms a year," says Nuhs, completing the Taurus is the fourth best-selling brand in the country. Bag the company became a phenomenon in the stock market since last year, when the company's shares soared as the electoral scenario was setting. With the speech in favor of easing of the arms of the then candidate Jair Bolsonaro, the role of the company left R $1.20, in August, reaching the maximum of R $11.27, on the eve of the presidential election. After many swings, accumulated high 90% this year until day 15 (quoted at R $7.70), when the President announced decree facilitating Bolsonaro gun ownership. The announcement, however, did the action down 20% on the same day, on the basis of a mixture of unmet expectations, with realization of speculative gains and a swing that does not hold the company in the long term, according to analysts. But the company's own drivers, gathered in Tauruspar holdings, helped pull down the quote. At the time, sold 1.2 million of shares on the stock exchange "for obtaining financial resources," according to statement sent to market. By the closing value of the shares, would have pocketed R $7,770,000. Yet on Tuesday, Glauco Legat, Chief Analyst of Necton Investments, said, that the company's financial conditions, the stocks drop could be even higher. Fact that materialize on Wednesday, 16, when the paper closed with another indentation of 25.57 percent, at R $5.08. Flimsy numbers With a debt of 6.5 times the generation of cash and negative net worth (that is, it is not able to finish your debts even if you sold all of its assets), the financial state is considered critical. "The company delivered in 2013 the same billing today and, despite the cash generation have had a one-off improvement in recent quarters, it is insufficient in relation to the size of your debt," says Legat. Second, the Taurus Nuhs is consolidating the results of a restructuring led by Galeazzi & members, who have improved production processes, financial and commercial. And, he says, the oscillation of the roles is part of the natural movements of the market. Acquired by Brazilian cartridge Company (CBC), in 2015, the Taurus was a monopolist in serious financial crisis and of image. After the purchase, was initiated a restructuring, the company closed two of the three factories, concentrating production in São Leopoldo (RS) and implemented a manufacturing system focused on waste reduction. In addition, cut administrative costs and remodeled commercial Department. The company put up for sale assets – as a ground in Porto Alegre and your helmet production – by which you expect to get R $150 million. And believes that it will reduce debt by half this year. For Felipe Tadewald, variable income expert financial analysis House Suno Research, however, business numbers are overrated. Today, the company manufactures 4000 guns a day, working with production capacity practically full.