Sportsman's Warehouse has reported net sales of $532.97m in the first half (H1) of fiscal 2024 (FY24), down by 7.6%, compared to $577.02m in H1 FY23.
The decline was primarily driven by lower demand across most product categories and a decline in store traffic, offset by the opening of six new stores.
During the period, same-store sales decreased 11.5% compared to the same period of the last fiscal year.
Sportsman's Warehouse recorded a gross profit of $163.8m in H1 FY24, down from $180.9m in H1 FY23.
Net loss for the period ending 3 August 2024 was $23.97m against $18.92m in H1 FY24.
Its diluted loss per share was $0.64 in H1 FY24 compared to a diluted loss per share of $0.50 in the same period of FY23..
In the second quarter (Q2) of FY24, Sportsman's Warehouse registered net sales of $288.73m, down by 6.7% from $309.49m in the same quarter of the previous year.
The company’s gross profit was $90.01m, accounting for 31.2% of net sales in Q2 FY24, compared to $100.81m or 32.6% of net sales in the corresponding period of FY23.
It registered a net loss of $5.90m during the quarter, increasing from the net loss of $3.28 recorded in Q2 FY23.
Sportsman's Warehouse’s diluted loss per share was $0.16 in Q2 FY24 against a diluted loss per share of $0.09 in the same period in fiscal 2024.
Sportsman's Warehouse chief executive officer and president Paul Stone said: “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.
“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.”
For the full year 2024, the company expects net sales in the range of $1.13bn to $1.17bn and adjusted earnings before interest, taxes, depreciation, and amortisation (EBITDA) in the range of $20m to $35m.
