Core Insights - Sportsman's Warehouse Holdings, Inc. has promoted Susan Sanderson to Chief Marketing Officer, a move aimed at strengthening the company's leadership in marketing, which is crucial for both immediate and long-term growth plans [1][2] Group 1: Leadership and Strategy - Susan Sanderson joined Sportsman's Warehouse in July 2024 as Senior Vice President of Marketing, E-commerce, and Loyalty, bringing over two decades of experience in omni-channel retail and business turnarounds [2] - The promotion of Sanderson is expected to enhance brand awareness and position Sportsman's Warehouse for growth, as she has already demonstrated a transformation-focused mindset that has positively impacted the business [2][3] Group 2: Growth and Customer Engagement - Sanderson emphasized the importance of sharpening the brand, strengthening customer connections, and driving growth across all channels as part of her focus as Chief Marketing Officer [3] - The company aims to build a competitive advantage by listening to customers and turning insights into actionable strategies, positioning itself as a trusted destination for hunting and fishing gear [3] Group 3: Company Overview - Sportsman's Warehouse is an outdoor specialty retailer catering to a wide range of customers, from seasoned veterans to first-time participants, providing exceptional gear and service to inspire outdoor experiences [4]

Store Operations and Expansion - Sportsman's Warehouse operates 146 stores across 32 states, with an average store size of approximately 37,000 gross square feet[45]. - The company plans to open one new store in fiscal year 2025, continuing its strategy of expanding its store base[43]. - The average net investment for a new store is approximately $2.9 million, with initial inventory costs averaging $1.8 million[35]. - The company maintains a disciplined approach to new store development, utilizing comprehensive market research and technology to select optimal locations[32]. - The company plans to open one new store in fiscal year 2025, with a net investment of approximately $2.9 million per store and initial inventory costs averaging $1.8 million[56]. - The company utilizes a rigorous site selection process based on local demographics, traffic patterns, and hunting and fishing license density[52]. - The company faces risks in expanding into new markets, with some new stores not generating historically expected Adjusted EBITDA margins[194]. - Delays in opening new stores due to various factors could adversely affect financial results and profitability[195]. Financial Performance and Sales - In fiscal year 2024, approximately 46% of unit sales and 20% of dollar sales were consumables, driving repeat traffic and increasing average ticket value[33]. - Sportsman's Warehouse aims to achieve four-wall Adjusted EBITDA margins of 10% or more for most new stores after 24 months of operation[35]. - The average four-wall Adjusted EBITDA margin target after 24 months of a new store opening is over 10%[56]. - The company experienced decreased revenue and operated at a net loss during fiscal years 2024 and 2023 due to elevated inflationary pressures and higher interest rates[164]. - The company incurs additional expenses in the third and fourth fiscal quarters due to higher sales volume and increased staffing, impacting overall profitability[117]. - Approximately 26.4% and 28.0% of net sales were generated in the third and fourth fiscal quarters, respectively, due to seasonal factors such as hunting seasons and holiday buying patterns[117]. - The company generated 26.4% and 28% of its annual net sales in the third and fourth fiscal quarters, respectively, indicating significant seasonal fluctuations in sales[170]. Product Offerings and Sales Composition - The Hunting and Shooting department contributed 57.4% of total sales in fiscal year 2024, maintaining its position as the largest sales contributor[70]. - Private label offerings accounted for approximately 4.4% of total sales, while special make-up offerings contributed an additional 2.5%[65]. - The company employs a "good, better, best" merchandise strategy, focusing on "better" products to meet diverse customer needs[64]. - The camping department represented approximately 11.7% of net sales in fiscal year 2024, catering to both casual and heavy-use campers[71]. - Fishing represented approximately 10.3% of net sales during fiscal year 2024[73]. - Footwear accounted for approximately 6.3% of net sales during fiscal year 2024[74]. - Hunting and shooting is the largest merchandise department, representing approximately 57.4% of net sales during fiscal year 2024[75]. - Optics, electronics, accessories, and other products represented approximately 6.8% of net sales during fiscal year 2024[76]. E-commerce and Omni-channel Strategy - In fiscal year 2024, e-commerce sales accounted for over 20% of total sales, with the website receiving more than 112 million visits[61]. - Sportsman's Warehouse is focused on leveraging its omni-channel presence to increase same-store sales through various customer experience initiatives[39]. - The retail stores feature kiosks for online orders, enhancing the omni-channel shopping experience[59]. Customer Engagement and Loyalty - As of February 1, 2025, there were more than 4.9 million participants in the loyalty program, generating approximately 53% of revenue from loyalty customers[79]. Vendor Relationships and Supply Chain - The company has established strong vendor relationships, allowing for favorable terms and competitive pricing for customers[33]. - The company purchased merchandise from approximately 1,100 vendors during fiscal year 2024, with no vendor accounting for more than 10% of total purchases[83]. - The company relies on a single distribution center in Salt Lake City, Utah, which poses risks related to natural disasters or disruptions that could impair merchandise delivery[172]. - Supply chain disruptions and vendor relationships are crucial, as losing key vendors could adversely impact product availability and profitability[175]. Labor and Training - The company employs approximately 5,100 outfitters, including 2,050 full-time and 3,050 part-time outfitters, with no labor union representation[142]. - The company emphasizes extensive training for outfitters, with approximately 20 hours of initial training and 16 hours of ongoing training annually for sales associates[144]. - Labor costs and the ability to attract and retain qualified personnel are critical to the company's success, with competition for skilled labor increasing[191]. Regulatory and Compliance Issues - The company is subject to various federal, state, and local laws regarding firearm sales, including the National Firearms Act and the Gun Control Act, which require compliance with strict regulations[121]. - The company has implemented company-wide standard operating procedures to ensure compliance with applicable laws and regulations related to the sale of firearms and ammunition[132]. - The company has never had an FFL revoked since its operations began in 1986, demonstrating strong compliance with federal regulations[133]. Market Conditions and Risks - U.S. outdoor activities and sporting goods retail sales total over $170 billion annually[101]. - Anglers and hunters spent more than $60 billion on equipment in 2022, approximately 40% higher than in 2016[103]. - The company’s retail operations are concentrated in the Western United States, making it susceptible to regional economic downturns and adverse weather conditions[165]. - The company’s sales of firearms represent a significant percentage of net sales, and new regulations could materially adversely impact profitability[159]. - The company is exposed to litigation risks related to the products it sells, particularly firearms and ammunition, which could adversely affect profitability[160]. - Changes in consumer preferences and macroeconomic factors could lead to fluctuations in same-store sales, affecting stock price volatility[169]. - The company is vulnerable to cybersecurity risks, including potential data breaches and system disruptions, which could negatively impact operations and reputation[201]. Marketing and Advertising - The total marketing expense for fiscal year 2024 was approximately $17.4 million[90]. - The company faces competition in the outdoor activities and sporting goods market, which may require increased spending on advertising and promotion[167]. Challenges and Future Outlook - The company has experienced elevated levels of inventory shrink, which has adversely affected its financial condition and operational results[171]. - The company may face increased expenses and delays due to new tariffs and trade restrictions imposed by the U.S. government on imports from certain countries[178]. - In fiscal year 2023, 90 stores were impacted by minimum wage increases, leading to increased selling, general, and administrative expenses[192]. - In fiscal year 2024, 55 stores are expected to be affected by minimum wage increases, potentially increasing labor costs and impacting financial results[192]. - The company anticipates that hiring additional personnel and system enhancements will require capital expenditures, impacting operating results[214]. - The company may encounter challenges in integrating acquired operations, affecting overall business performance[220].

Sportsman's Warehouse (SPWH) Q4 2025 Earnings Call April 02, 2025 01:57 AM ET Company Participants Riley Timmer - Vice President of Investor Relations & Corporate DevelopmentPaul Stone - President & CEOJeff White - CFO Conference Call Participants Matthew Koranda - MD & Senior Research AnalystAnna Glaessgen - Senior Analyst, ConsumerMark Smith - Senior Research AnalystRyan Sigdahl - Partner & Senior Research AnalystJustin Kleber - Senior Research Analyst Operator Hello, everyone, and welcome to Sportsman's ...

Financial Data and Key Metrics Changes - Q4 net sales were $340.4 million, down from $370.4 million in the prior year, reflecting a 0.9% decline when adjusted for the extra week in 2023 [34][35] - Q4 adjusted EBITDA increased to $14.6 million from $5.3 million in the previous year, marking a nearly 300% increase in profitability [42] - Gross margin improved to 30.4% from 26.8% year-over-year, a 360-basis point increase [39] - Net loss for Q4 was $8.7 million, unchanged from the prior year, but adjusted net income was $1.6 million compared to an adjusted net loss of $7.5 million in the previous year [41][42] - Inventory decreased by $12.7 million year-over-year, ending at $342 million [44] Business Line Data and Key Metrics Changes - Fishing department sales increased by 10.3% in Q4, while camping sales rose by 5.2% [36] - Firearms unit sales increased in mid-single digits, despite a 1.7% decline in the hunting and shooting sports department [38] - E-commerce sales comped positively, up double digits in Q4, contributing to over 17% of total business [16][95] Market Data and Key Metrics Changes - Adjusted NICS data was down 4.5%, but the company outperformed this metric, suggesting market share gains in firearms [12][13] - The company noted a stable demand for hunting and shooting, with fishing showing a 10-year CAGR of about 5% [18] Company Strategy and Development Direction - The company is focused on a transformation strategy aimed at returning to same-store sales growth in 2025, improving gross margins, and paying down debt [17][51] - Four strategic initiatives for 2025 include focusing on core hunting and fishing products, leveraging local connections, becoming an authority in personal protection, and strengthening brand awareness [19][25][29][30] - The company aims to improve inventory efficiency by narrowing product assortments to key items that drive the majority of sales [20][21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the turnaround strategy, noting improved sales trends and inventory management [12][33] - The company anticipates challenges in Q1 due to calendar shifts but expects stronger performance in Q2 and Q3 [60][61] - Management highlighted that consumer behavior has not significantly changed due to tariffs, and they are proactively managing inventory to mitigate potential impacts [78][100] Other Important Information - The company ended the year with total liquidity of $131.1 million and net debt of $98.7 million [48] - Capital expenditures for 2024 were approximately $14.6 million, primarily for store maintenance and technology improvements [48] Q&A Session Summary Question: Trends in sales for firearms and ammunition - Management noted positive trends in February and March, with a shift in holiday timing affecting sales [55][60] Question: Consumer behavior and trade-down effects - Management confirmed that while average unit prices in firearms are down, they are successfully maintaining average order values through add-on sales [72] Question: Impact of tariffs on guidance - Management indicated that tariffs have a minimal impact on overall costs, with proactive measures taken to mitigate potential increases [99][100] Question: Store openings and portfolio optimization - Management confirmed plans for one new store opening by the end of Q3 and discussed ongoing evaluations of store profitability [61][102] Question: Free cash flow conversion from EBITDA - Management expressed confidence in generating positive free cash flow through improved inventory management and operational efficiency [108] Question: E-commerce fulfillment and profitability - Over 75% of e-commerce demand is fulfilled at store locations, highlighting the effectiveness of the omnichannel strategy [116]

Sportsman's Warehouse (SPWH) came out with quarterly earnings of $0.04 per share, beating the Zacks Consensus Estimate of a loss of $0.08 per share. This compares to loss of $0.20 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 150%. A quarter ago, it was expected that this outdoor sporting goods specialty retailer would post a loss of $0.05 per share when it actually produced earnings of $0.04, delivering a surprise of 180%. ...

Financial Performance - Q4 same store sales decreased by 0.5% on a comparable 13-week basis, an improvement from a decline of 12.8% in Q4 last year [2] - Q4 adjusted EBITDA was $14.6 million, significantly up from $5.3 million in Q4 last year [4] - Net sales for Q4 were $340.4 million, down 8.1% compared to $370.4 million in Q4 FY2023, primarily due to one less week of operations [4] - Gross profit for Q4 was $103.6 million, representing 30.4% of net sales, an increase from 26.8% in Q4 FY2023 [6] - For FY2024, net sales were $1,197.6 million, a decrease of 7.0% compared to $1,288.0 million in FY2023 [6] - Net sales for the fiscal year ended February 1, 2025, were $1,197,633, a decrease of $90,354 compared to $1,287,987 for the fiscal year ended February 3, 2024 [24] - Adjusted EBITDA for the fiscal year ended February 1, 2025, increased to $29.618 million, up from $24.575 million in the prior year, reflecting a year-over-year growth of approximately 20.8% [34] Expenses and Profitability - SG&A expenses decreased to $100.0 million, or 29.4% of net sales, down from $107.3 million or 29.0% of net sales in Q4 FY2023 [6] - Operating expenses decreased to $388,705, representing 32.5% of net sales, down from $408,750 or 31.7% of net sales in the prior year [24] - The company reported a net loss of $33,059 for the fiscal year ended February 1, 2025, compared to a net loss of $28,997 for the previous year [24] - For the fiscal quarter ended February 1, 2025, the net loss was $8.723 million, compared to a net loss of $8.739 million for the same quarter in 2024 [31] - Adjusted net loss income for the fiscal year ended February 1, 2025, was $20.208 million, an improvement from a loss of $24.064 million in the previous fiscal year [31] Cash and Liquidity - As of February 1, 2025, the company ended the year with net debt of $95.9 million and total liquidity of $131.1 million [14] - Cash and cash equivalents at the end of the period were $2,832, a decrease from $3,141 at the end of the previous fiscal year [26] - Total assets decreased to $852,102 as of February 1, 2025, down from $886,205 as of February 3, 2024 [26] Inventory and Payables - The company reported a decrease in merchandise inventories to $341,958 from $354,710 [26] - The company experienced a year-over-year increase in accounts payable, rising to $64,041 from $56,122 [26] Future Outlook - The company expects FY2025 net sales to range from a decrease of 1.0% to an increase of 3.5% [9] - Adjusted EBITDA for FY2025 is projected to be between $33 million and $45 million [9] - The company plans to open one new store in Surprise, Arizona during FY2025 [9] Interest and Legal Expenses - Interest expense for the fiscal year was $12,278, consistent with the previous year's expense of $12,869 [24] - Legal expenses for the fiscal year ended February 1, 2025, were $1.750 million, compared to $687 thousand in the previous year [34] Shareholder Information - The diluted weighted average shares outstanding increased to 38,045 thousand for the fiscal quarter ended February 1, 2025, compared to 37,457 thousand in the same quarter of 2024 [31] - The impact of adjustments to the numerator and denominator resulted in an adjusted diluted loss earnings per share of $0.04 for the fiscal quarter ended February 1, 2025, compared to a loss of $0.20 in the prior year [31] Executive Transition Costs - Executive transition costs amounted to $1.081 million for the fiscal year ended February 1, 2025, down from $4.763 million in the previous year [31] - The company did not incur any new store pre-opening expenses for the fiscal year ended February 1, 2025, while it incurred $5.8 million in the previous fiscal year [34] Non-Cash Adjustments - A non-cash valuation allowance of $10.1 million was created during fiscal year 2024 related to Deferred Tax Assets [35]

WEST JORDAN, Utah, April 01, 2025 (GLOBE NEWSWIRE) -- Sportsman's Warehouse Holdings, Inc. ("Sportsman's Warehouse" or the "Company") (Nasdaq: SPWH) today announced financial results for the thirteen and fifty-two weeks ended February 1, 2025. Balance sheet and capital allocation highlights as of February 1, 2025: 2025 Outlook: For fiscal year 2025, the Company expects net sales to be in the range of down 1.0% to positive 3.5% and adjusted EBITDA to be in the range of $33 million to $45 million. The Company ...

Sportsman's Warehouse Holdings, Inc. SPWH will release its fourth-quarter financial results after the closing bell on Tuesday, April 1. Considering buying SPWH stock? Here's what analysts think: Read This Next: Craig-Hallum analyst Ryan Sigdahl maintained a Hold rating and cut the price target from $4 to $3 on Sept. 4, 2024. This analyst has an accuracy rate of 60%. Baird analyst Peter Benedict maintained a Neutral rating and slashed the price target from $4 to $2.5 on Sept. 4, 2024. This analyst has an acc ...

Core Viewpoint - Sportsman's Warehouse Holdings, Inc. will hold a quarterly conference call to discuss its fourth quarter and full-year 2024 financial results on April 1, 2025, at 5:00 p.m. Eastern Time [1]. Group 1 - A live audio webcast of the conference call will be available on the Company's investor relations website, with a replay accessible within two hours of the call's conclusion until April 8, 2025 [2]. - Sportsman's Warehouse is an outdoor specialty retailer catering to a diverse range of customers, from seasoned outdoor veterans to first-time participants, providing quality gear and exceptional service [3]. - For additional information and press releases, interested parties can visit the Investor Relations section of the Company's website [3]. Group 2 - Investor contact information is provided for inquiries, including the VP of Investor Relations, Riley Timmer, along with a contact number and email address [4].

Core Viewpoint - Sportsman's Warehouse Holdings, Inc. will hold a quarterly conference call to discuss its fourth quarter and full-year 2024 financial results on April 1, 2025, at 5:00 p.m. Eastern Time [1]. Group 1: Conference Call Details - The conference call will be accessible via a live audio webcast on the Company's investor relations website [2]. - A replay of the webcast will be available within two hours after the call and can be accessed until April 8, 2025 [2]. Group 2: Company Overview - Sportsman's Warehouse is an outdoor specialty retailer catering to a diverse range of customers, from seasoned outdoor veterans to first-time participants [3]. - The Company aims to provide outstanding gear and exceptional service to inspire outdoor memories [3]. Group 3: Investor Relations Contact - The investor relations contact for Sportsman's Warehouse is Riley Timmer, VP of Investor Relations, who can be reached at (801) 304-2816 or via email at investors@sportsmans.com [4].