Sportsman’s Warehouse Holdings, Inc. (NASDAQ: SPWH) Q1 2025 Earnings Call | 6/3/2025

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Earnings Calls

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Sportsman’s Warehouse Holdings, Inc. (NASDAQ: SPWH) reported Q1 2025 results on June 3, 2025, marking a significant turnaround with its first positive same-store sales comp in nearly four years. Net sales rose 2% year-over-year to $249.1 million, beating analyst expectations, while comparable store sales also increased 2%. E-commerce sales climbed 8%, and key categories such as fishing (up 11%), firearms (unit sales up nearly 7%), and ammunition (up 3%) all posted gains, reflecting the early success of the company’s transformation strategy and digital-first marketing initiatives. Gross margin improved to 30.4% from 30.2% a year ago, driven by improved inventory productivity and higher product margins, especially in the fishing category. However, the company posted a net loss of $21.3 million ($0.56 per share), wider than last year’s $18.1 million loss, mainly due to higher freight costs from strategic inventory purchases ahead of anticipated tariff hikes. Adjusted net loss improved to $15.6 million, or $0.41 per share, and adjusted EBITDA was negative $9 million. SG&A expenses were managed down to 38.2% of net sales from 38.6% last year, demonstrating effective cost control. Inventory increased to $412.3 million as the company pulled forward purchases to mitigate tariff impacts and ensure stock for peak seasons. Liquidity stood at $122.1 million, with net debt of $162.4 million. Management reaffirmed full-year 2025 guidance, projecting net sales to range from down 1% to up 3.5% and adjusted EBITDA between $33 million and $45 million, with capital expenditures focused on technology and store productivity. CEO Paul Stone emphasized the company’s renewed focus on inventory precision, local relevance, and omnichannel engagement, positioning Sportsman’s Warehouse for continued growth and financial improvement despite ongoing macroeconomic headwinds and tariff pressures. #SportsmansWarehouse #SPWH #EarningsCall #Q12025 #RetailStocks #OutdoorRetail #StockMarket #Investing #InsideTicker

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