Workflow
Sportsman’s Warehouse(SPWH) - 2025 Q3 - Quarterly Results
SPWHSportsman’s Warehouse(SPWH)2024-12-10 21:10

Financial Performance - Net sales for Q3 2024 were 324.3million,adecreaseof4.8324.3 million, a decrease of 4.8% from 340.6 million in Q3 2023, primarily due to consumer inflationary pressures affecting discretionary spending [4]. - Same store sales decreased by 5.7% in Q3 2024 compared to Q3 2023, driven by inflation and recessionary concerns [4]. - Gross profit was 103.1million,representing31.8103.1 million, representing 31.8% of net sales, an increase from 30.3% in Q3 2023, attributed to improved product margins in apparel and footwear [4]. - For the first nine months of fiscal year 2024, net sales were 857.2 million, down 6.6% from 917.6millioninthesameperiodof2023[6].−NetsalesforthethirteenweeksendedNovember2,2024,were917.6 million in the same period of 2023 [6]. - Net sales for the thirteen weeks ended November 2, 2024, were 324,261, a decrease of 4.8% from 340,569forthesameperiodlastyear[23].−Forthethirty−nineweeksendedNovember2,2024,netsaleswere340,569 for the same period last year [23]. - For the thirty-nine weeks ended November 2, 2024, net sales were 857,235, down 6.6% from 917,593 in the prior year [25]. Expenses and Losses - SG&A expenses were 100.0 million, or 30.8% of net sales, slightly up from 29.4% in Q3 2023 [5]. - The net loss for Q3 2024 was (0.4)million,animprovementfromanetlossof(0.4) million, an improvement from a net loss of (1.3) million in Q3 2023 [5]. - Operating expenses decreased slightly to 99,973,representing30.899,973, representing 30.8% of net sales, compared to 29.4% last year [23]. - Net loss for the thirteen weeks ended November 2, 2024, was (364), an improvement from a net loss of (1,331)inthesameperiodlastyear[23].−Lossfromoperationsforthethirty−nineweeksendedNovember2,2024,was(1,331) in the same period last year [23]. - Loss from operations for the thirty-nine weeks ended November 2, 2024, was (21,835), compared to (17,404)inthesameperiodlastyear[25].−Thecompanyreportedanetlossof(17,404) in the same period last year [25]. - The company reported a net loss of 364,000 for the period ending November 2, 2024, compared to a net loss of 1,331,000fortheperiodendingOctober28,2023[32].−Thecompanyreportedanadjustednetlossof1,331,000 for the period ending October 28, 2023 [32]. - The company reported an adjusted net loss of 1,351,000 for the period ending November 2, 2024, compared to an adjusted net loss of (198,000)fortheperiodendingOctober28,2023[32].EBITDAandProfitability−AdjustedEBITDAforQ32024was(198,000) for the period ending October 28, 2023 [32]. EBITDA and Profitability - Adjusted EBITDA for Q3 2024 was 16.4 million, compared to 16.2millioninQ32023[5].−AdjustedEBITDAfortheperiodendingNovember2,2024,was16.2 million in Q3 2023 [5]. - Adjusted EBITDA for the period ending November 2, 2024, was 16,380,000, slightly up from 16,231,000fortheperiodendingOctober28,2023[36].DebtandLiquidity−AsofNovember2,2024,thecompanyhadnetdebtof16,231,000 for the period ending October 28, 2023 [36]. Debt and Liquidity - As of November 2, 2024, the company had net debt of 151.3 million and total liquidity of 150.8million[7][9].−Totalliabilitiesincreasedto150.8 million [7][9]. - Total liabilities increased to 724,115 as of November 2, 2024, from 621,649asofFebruary3,2024[26].−Cashandcashequivalentsdecreasedto621,649 as of February 3, 2024 [26]. - Cash and cash equivalents decreased to 2,666 as of November 2, 2024, from 3,141atthebeginningoftheperiod[29].−Thecompanyreportedanetcashusedinoperatingactivitiesof3,141 at the beginning of the period [29]. - The company reported a net cash used in operating activities of (18,671) for the thirty-nine weeks ended November 2, 2024, compared to (16,637)intheprioryear[29].FutureOutlook−Thecompanyexpectsfiscalyear2024netsalestobebetween(16,637) in the prior year [29]. Future Outlook - The company expects fiscal year 2024 net sales to be between 1.18 billion and 1.20billion,withadjustedEBITDAprojectedbetween1.20 billion, with adjusted EBITDA projected between 23 million and 29million[10].−Thecompanyplanstoopenonenewstoreinfiscalyear2025,withnonewstoreopeningsanticipatedfortheremainderoffiscalyear2024[10].OtherCostsandExpenses−Thecompanyincurred29 million [10]. - The company plans to open one new store in fiscal year 2025, with no new store openings anticipated for the remainder of fiscal year 2024 [10]. Other Costs and Expenses - The company incurred 1,750,000 in legal settlement costs during the period ending November 2, 2024 [36]. - Director and officer transition costs amounted to 279,000fortheperiodendingNovember2,2024,downfrom279,000 for the period ending November 2, 2024, down from 1,180,000 for the period ending October 28, 2023 [36]. - The company recognized 205,000inexpensesrelatedtoacancelledcontractfortheperiodendingNovember2,2024[36].−Thetotaldepreciationandamortizationexpensewas205,000 in expenses related to a cancelled contract for the period ending November 2, 2024 [36]. - The total depreciation and amortization expense was 9,984,000 for the period ending November 2, 2024, compared to 10,663,000fortheperiodendingOctober28,2023[36].−Interestexpensedecreasedto10,663,000 for the period ending October 28, 2023 [36]. - Interest expense decreased to 3,317,000 for the period ending November 2, 2024, from 3,944,000fortheperiodendingOctober28,2023[36].−Thecompanyimplementedacostreductionplanthatresultedin3,944,000 for the period ending October 28, 2023 [36]. - The company implemented a cost reduction plan that resulted in 351,000 in severance expenses during the 13 weeks ended July 29, 2023 [33].