Arizona Ammunition Maker Facing $80-Million In Back Orders

According to Bearing Arms

Scottsdale-based ammunition company Ammo Incorporated is facing an $80.1 million order backlog amid record demand for ammunition.

“We’re working right now seven days a week, 24 hours a day in all the manufacturing plants,” said CEO Fred Wagenhals.

Ouch. The good news, if there is any to be found here, is that ammunition companies like Ammo Incorporated are now investing millions of dollars in infrastructure upgrades to increase their output. If manufacturers felt like this was only a short-term run on ammunition, they might keep their cash in reserve rather than spending it on new equipment, but at least for Ammo Inc, that’s not the case.

“We just bought 2.8 million dollars worth of machinery and equipment last week to increase our production and increase our volume,” Wagenhals said.

According to the National Shooting Sports Foundation, the year has already seen a boom in gun purchases, up 95% in the first half of 2020 compared to the same time period of 2019.

“The start was the pandemic that was going on. But there was always that fear of the election. Of who’s going to be elected of the next President of the United States,” Wagenhals said. “But thirdly, I think the unrest in this country right now. And as you’ve seen in a lot of cities, the looting and the burning, and I think people are just scared.”

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