Business
Sportsman's Warehouse Holdings, Inc. Announces Fourth Quarter and Fiscal Year 2023 Financial Results
WEST JORDAN, Utah, April 03, 2024 (GLOBE NEWSWIRE) -- Sportsman's Warehouse Holdings, Inc. (“Sportsman's Warehouse” or the “Company”) (Nasdaq: SPWH) today
About this update from Sportsman's Warehouse Holdings, Inc.
[{"type":"text","content":"WEST JORDAN, Utah, April 03, 2024 (GLOBE NEWSWIRE) -- Sportsman's Warehouse Holdings, Inc. (“Sportsman's Warehouse” or the “Company”) (Nasdaq: SPWH) today announced financial results for the fourteen and fifty-three weeks ended February 3, 2024, which includes an extra week compared with the prior year period. “Despite lower than expected fourth quarter sales, we were successful in reducing our excess inventory and ended the fiscal year in a significantly healthier inventory position,” said Paul Stone, President and Chief Executive Officer of Sportsman’s Warehouse. “Our efforts to control costs and reduce excess inventory allowed us to generate free cash flow and exceed our internal debt reduction targets. These efforts, combined with more efficient inventory purchasing, will allow us to deliver the merchandise our customers need and expect for their outdoor adventures.” Mr. Stone continued, “Our initial efforts in 2024 have been focused on resetting the organization to provide our passionate customers a positive in-store experience. This fundamental strategy includes great merchandising, exceptional service, and investing in the necessary tools, people and processes to regain our edge as the local outdoor retailer of choice. Our team is energized around these key initiatives and the direction we are headed. We are confident that centering our efforts on providing our passionate customers with great gear and exceptional service in our stores is the foundation that will ultimately allow us to achieve our primary goal: returning the business to profitability and growth.” For the fourteen weeks ended February 3, 2024: Net sales were $370.4 million, a decrease of 2.3%, compared to $379.3 million in the fourth quarter of fiscal year 2022. The net sales decrease was primarily due to lower sales demand from consumer inflationary pressures and recession concerns, partially offset by the opening of 15 new stores over the last year and $15.4 million from the additional week of sales. Same store sales decreased 12.8% on a 13-week comparable basis, compared with the prior year fourth quarter.Gross profit was $99.4 million or 26.8% of net sales, compared to $122.8 million or 32.4% of net sales in the comparable prior year period. This decrease as a percentage of net sales can be attributed to lower overall product margins due to aggressive p...