Sportsman’s Warehouse Holdings, Inc. (“Sportsman’s Warehouse” or the “Company”) (Nasdaq: SPWH) announced financial results for the thirteen weeks ended May 2, 2026.
“I’m pleased with our first quarter performance, as same store sales increased 2.1% compared to last year, despite continued consumer economic pressure and higher fuel prices,” said Paul Stone, President and Chief Executive Officer of Sportsman’s Warehouse. “During the first quarter, we successfully executed our spring Range Days event, highlighting key products and leading brands across our personal protection and shooting sports categories. Combined with external event-driven demand, these efforts contributed to strong growth in hunting and shooting sports. Our e-commerce business also delivered strong results this quarter, with sales increasing by over 6% compared to last year. As part of our 2026 strategy, we continue to enhance the online shopping and website experience, and we are encouraged by the early results. Looking ahead, we remain focused on driving profitable growth, maintaining disciplined inventory management, and generating positive free cash flow to further strengthen our balance sheet through debt reduction.”
For the thirteen weeks ended May 2, 2026:
- Net sales increased 2.8% to $256.1 million, compared to $249.1 million in the first quarter of fiscal year 2025. Performance was driven primarily by a 7.4% gain in Hunting and Shooting Sports, led by firearms, ammunition, and less-lethal personal protection, with some additional event-driven demand. Fishing rose 6.0%, driven by seasonal demands as customers prepared for the spring fishing season. Our other categories declined, reflecting continued pressure on the U.S. consumer.
- Gross profit was $75.8 million, or 29.6% of net sales, compared to $75.6 million, or 30.4% of net sales, in the first quarter of fiscal year 2025. The decrease, as a percentage of sales, was primarily driven by category mix.
- Selling, general, and administrative (“SG&A”) expenses were $93.9 million, or 36.7% of net sales, compared to $95.3 million, or 38.2% of net sales, in the first quarter of fiscal year 2025. The decrease in SG&A was primarily driven by decreased payroll expense as we emphasize disciplined cost control and lower depreciation expense.
- Net loss was $(21.8) million, compared to a net loss of $(21.3) million in the first quarter of fiscal year 2025. Adjusted net loss was $(15.1) million compared to an adjusted net loss of $(15.6) million in the first quarter of fiscal year 2025 (see “Non-GAAP and Other Financial Measures”).
- Adjusted EBITDA was $(8.1) million, compared to $(9.0) million in the first quarter of fiscal year 2025 (see “Non-GAAP and Other Financial Measures”).
- Diluted loss per share was $(0.56) compared to a diluted loss per share of $(0.56) in the corresponding prior-year period. Adjusted diluted loss per share was $(0.39) compared to adjusted diluted loss per share of $(0.41) in the first quarter of fiscal year 2025 (see “GAAP and Non-GAAP Financial Measures”).
Balance sheet and capital allocation highlights as of May 2, 2026:
- The Company ended the first quarter with net debt of $148.4 million, comprised of $2.1 million of cash on hand, $44.3 million of net borrowings outstanding under the Company’s term loan facility and $106.2 million of net borrowings outstanding under the Company’s revolving credit facility. Total inventory at the end of the first quarter was $387.1 million, a decrease of $25.1 million compared to last year, reflecting our strategy to improve seasonally timed inventory and gain additional efficiency in our operating model.
- Total liquidity was $116.7 million as of the end of the first quarter of fiscal year 2026, comprised of $114.6 million of availability on the term loan and revolving credit facilities and $2.1 million of cash and cash equivalents.
Fiscal Year 2026 Outlook:
For fiscal year 2026, the Company is reiterating its guidance and estimates same store sales to be in the range of down 1.0% to up 2.0% and adjusted EBITDA to be in the range of $30 million to $36 million. The Company also expects capital expenditures for 2026 to be in the range of $20 million to $25 million, primarily consisting of technology investments and general store maintenance. There are no new store openings planned for 2026.
“We delivered a solid start to the year, with first quarter net sales increasing 2.8% and same store sales growing 2.1% compared to last year,” said Jennifer Fall Jung, Chief Financial Officer of Sportsman’s Warehouse. “While category mix pressured gross margin, we continued to execute with discipline across the business, delivering SG&A leverage and improved adjusted EBITDA compared to last year. We also made continued progress on our inventory efficiency initiatives, reducing inventory levels by more than 6% year-over-year, while improving the alignment of receipts with seasonal demand. Our focus remains on driving profitable sales growth, tightly managing expenses and inventory, and generating positive free cash flow to reduce debt and strengthen the balance sheet. Despite continued pressure on the US consumer and higher fuel prices, we remain confident in our strategy for 2026.”
The Company has not reconciled expected adjusted EBITDA for fiscal year 2026 to GAAP net income because the Company does not provide guidance for net (loss) income and is not able to provide a reconciliation to net (loss) income without unreasonable effort. The Company is not able to estimate net (loss) income on a forward-looking basis without unreasonable efforts due to the variability and complexity with respect to the charges excluded from adjusted EBITDA.
Conference Call Information:
A conference call to discuss first quarter 2026 financial results is scheduled for June 2, 2026, at 5:00 PM Eastern Time. The conference call will be held via webcast and may be accessed via the Investor Relations section of the Company’s website at www.sportsmans.com.
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