Wed, Sep 4, 12:32 PM (132 days ago)
In the second quarter of fiscal year 2024, Sportsman’s Warehouse Holdings, Inc. reported a net sales decline of 6.7% year-over-year to $288.7 million, primarily driven by consumer inflation impacting discretionary spending. Same-store sales dropped by 9.8%, with notable decreases in departments such as Hunting and Shooting, Apparel, and Camping, though Fishing saw a 6.1% increase. Gross profit fell 10.7% to $90 million, leading to a gross margin decrease to 31.2%. Selling, general, and administrative expenses decreased by 7.8% to $94.3 million due to reduced payroll and operational efficiencies. The company reported a net loss of $5.9 million, compared to a loss of $3.3 million in the prior year, with adjusted EBITDA margin declining to 2.6%. Liquidity remains stable with cash of $2.6 million and $97.3 million available under credit facilities. The company aims to prioritize debt repayment due to no new store openings planned for fiscal 2024, responding to macroeconomic uncertainties and inflationary pressures. Overall, the results highlight challenges in the retail environment while indicating a strategic focus on cost management and debt reduction.