Business
Sportsman’s Warehouse Holdings, Inc. Announces Second Quarter 2024 Financial Results
Provides update to its full year 2024 guidance WEST JORDAN, Utah, Sept. 03, 2024 (GLOBE NEWSWIRE) -- Sportsman's Warehouse Holdings, Inc. (“Sportsman's
About this update from Sportsman's Warehouse Holdings, Inc.
[{"type":"text","content":"Provides update to its full year 2024 guidance\nWEST JORDAN, Utah, Sept. 03, 2024 (GLOBE NEWSWIRE) -- Sportsman's Warehouse Holdings, Inc. (“Sportsman's Warehouse” or the “Company”) (Nasdaq: SPWH) today announced financial results for the thirteen weeks ended August 3, 2024. “We continued to make substantial progress on our initiatives to reset the business and improve our overall operations; however, we were disappointed that sales and margins came in below our expectations,” said Paul Stone, Chief Executive Officer and President. “While we were more aggressive with our promotional activities during the quarter, our core customer remains firmly under pressure due to the difficult macroenvironment and pullback in discretionary spending. We will continue to carefully manage the business and find ways to take non-customer facing costs out of the business. Although the current conditions are challenging, we are not slowing our progress to transform our business and get back our edge as the leading outdoor specialty retailer. We still have a lot of work ahead of us, but we remain confident that our strategic initiatives have us on the right path to turnaround this business.” For the thirteen weeks ended August 3, 2024: Net sales were $288.7 million, compared to $309.5 million in the second quarter of fiscal year 2023, a decrease of 6.7%. This net sales decrease was primarily due to lower demand across most product categories and a decline in store traffic resulting from the continued impact of consumer inflationary pressures on discretionary spending, partially offset by increased same store sales growth in our fishing department and the opening of six new stores since July 29, 2023. Same store sales decreased 9.8% during the second quarter of fiscal year 2024, compared to the second quarter of fiscal year 2023, primarily as a result of the same factors noted above that impacted net sales. Gross profit was $90.0 million, or 31.2% of net sales, compared to $100.8 million, or 32.6% of net sales, in the corresponding period of fiscal year 2023. This decrease as a percentage of net sales was primarily driven by increased costs associated with shrink, and from seasonal markdowns within our camping and apparel departments in an effort to end the season with clean inventory.Selling, general, and administrative (SG&A) expenses were $94.3 mi...