from $1.07 million to $2.87 million for the fiscal year ending October 31, 1994.

The company also reported earnings per share of 26 cents compared to 10 cents per share for fiscal 1993, according to a release yesterday from the company.

Fourth quarter earnings, increased 40 percent from $581,000 to $813,000.

Challenger, incorporated in Bermuda in 1980, is an investment holding company which maintains corporate headquarters in Hamilton in Reid House while its principle operations are conducted through wholly-owned subsidiaries, Savage Arms Inc., which makes firearms for big game hunting and target shooting, and Passive Bullet Traps Inc.

CIL sales for the year rose from $18.77 million to $26.63 million, 41.9 percent, while for the fourth quarter sales figures were up 69 percent, from $5.35 million to $9.04 million.