Sportsman's Warehouse Cuts FY25 EBITDA Guidance to $22M-$26M
Previous view was flat to up 3.5%. Cuts FY25 adjusted EBITDA view to $22M-$26M from $33M-$45M. The company said the EBITDA guidance reflects a tough fourth quarter environment due to a challenged U.S. consumer. The company expects capital expenditures for 2025 to be less than $25M, primarily related to strategic technological investments, such as planogramming, merchandising and replenishment and store scheduling tools, and general store fleet maintenance. Additionally, the company anticipates to end the year with less than $330M in inventory and lower debt, reflecting working capital efficiency. "During the third quarter, we remained focused on strengthening our balance sheet and improving working capital efficiency in a challenging operating environment," said Jennifer Fall Jung, CFO of Sportsman's Warehouse. "We reduced total inventory by $14.2 million year-over-year and by $19.5 million sequentially, while ensuring our stores were appropriately positioned for the fall hunting, fishing, and holiday selling seasons. Our inventory strategy continues to prioritize core, seasonally relevant, and higher-turning products, and we remain committed to reducing overall inventory levels as we drive improved efficiency in our operating model. We also remain focused on enhancing liquidity, paying down $13.2 million in debt during the quarter and generating positive momentum toward year-end free cash flow. Given ongoing macroeconomic pressures, external disruptions since mid-October weighing on sales, and a highly promotional retail environment, we are adjusting our full year guidance. While visibility remains limited, we believe our continued focus on inventory discipline, cost control, and positive free cash flow generation positions us to navigate near-term challenges while working toward more sustainable profitability over time."
Trade with 70% Backtested Accuracy
Analyst Views on SPWH
About SPWH
About the author
Analysts Downgrade Sportsman's Warehouse Forecasts Following Q3 Results
Earnings Report: Sportsman’s Warehouse Holdings Inc reported third-quarter earnings of 8 cents per share, meeting analyst expectations, while sales of $331.323 million exceeded estimates.
Future Outlook: The company anticipates flat to slightly increased net sales for FY25 and expects adjusted EBITDA between $22 million and $26 million.
Store Expansion: The CEO announced the opening of a new store in Surprise, Arizona, marking the company's first personal protection-focused concept, with no further openings planned until 2026.
Stock Performance: Following the earnings announcement, Sportsman’s Warehouse shares fell 34.7% to $1.60, prompting analysts to adjust their price targets downward.
Crude Oil Prices Rise; Domo Stock Takes a Dive
U.S. Stock Market Performance: U.S. stocks saw gains, with the Dow up 0.17%, Nasdaq rising 0.2%, and S&P 500 increasing by 0.15% on Friday. Communication services led the sectors with a 0.9% increase, while utilities fell by 0.6%.
Notable Stock Movements: Praxis Precision Medicines surged 31% after FDA alignment, DigitalBridge Group rose 32% amid acquisition talks, and Rubrik Inc gained 23% following strong financial results. Conversely, Parsons Corp dropped 25% after losing a bid, and Domo Inc fell 23% due to disappointing guidance.
Economic Indicators: The U.S. PCE price index rose 0.3% month-over-month in September, aligning with market expectations. Personal income and spending also increased by 0.4% and 0.3%, respectively.
Global Market Trends: European shares mostly declined, with the STOXX 600 down 0.01%, while Asian markets closed higher, led by gains in Hong Kong and China, despite Japan's Nikkei falling 1.05%.
Sportsman's Warehouse Projects Full-Year EBITDA Between $22M and $26M Due to Increased Promotions and Cautious Q4 Forecast
Management Insights: Sportsman's Warehouse reported a 2.2% increase in same-store sales for Q3 2025, driven by strong performance in hunting, shooting sports, and fishing, despite challenges from a prolonged government shutdown affecting consumer confidence.
Financial Performance: The company achieved net sales of $331.3 million and improved gross margin to 32.8%, but adjusted EBITDA guidance was lowered to $22-$26 million due to increased promotional pressure and lower-than-expected Q4 sales.
Strategic Focus: Management emphasized a conservative approach moving forward, prioritizing inventory discipline and cost control while continuing to focus on core categories and enhancing digital marketing efforts.
Risks and Concerns: Analysts expressed skepticism regarding sales sustainability and inventory risks, highlighting macroeconomic headwinds and the impact of promotional activities on margins as ongoing challenges for the company.
Dow Rises More Than 150 Points; Victoria's Secret Reports Positive Q3 Earnings
U.S. Stock Market Performance: U.S. stocks opened higher, with the Dow Jones gaining over 150 points, while the NASDAQ and S&P 500 also saw increases of 0.37% and 0.33%, respectively.
Victoria's Secret Financial Results: Victoria's Secret reported better-than-expected third-quarter results, with losses of 27 cents per share, surpassing analyst estimates, and raised its FY25 guidance.
Equities Trading Highlights: Notable stock movements included SMX shares surging 106%, while Ambitions Enterprise Management saw a 32% drop. Other significant gains were reported for Wheeler Real Estate and Treasure Global.
Global Market Overview: European shares were mostly higher, while Asian markets closed mixed. U.S. personal income rose by 0.4% in September, and the PCE price index increased by 0.3%, aligning with market expectations.
Transcript of Earnings for Sportsman's Warehouse (SPWH)
- Author's Perspective: The views and opinions presented are solely those of the author.
- No Official Endorsement: The content does not necessarily reflect the views of Nasdaq, Inc.
Broadcom Set to Surge Over 14%? Check Out 10 Leading Analyst Predictions for Friday
Analyst Rating Changes: Top Wall Street analysts have adjusted their price targets for several companies, with notable changes including Piper Sandler lowering ServiceTitan's target and Needham raising Cooper Companies' target.
Price Target Increases: Companies like Ciena Corp and Ulta Beauty Inc saw significant increases in their price targets, with Ciena's target rising from $130 to $240 and Ulta's from $606 to $647.
Price Target Decreases: Sportsman’s Warehouse Holdings experienced a downgrade, with Baird cutting its price target from $3.5 to $2 while maintaining a Neutral rating.
Current Stock Prices: The article provides the latest closing prices for various companies, highlighting the market performance of stocks like Broadcom, Edwards Lifesciences, and Dollar General.
Analysts Downgrade Sportsman's Warehouse Forecasts Following Q3 Results
Earnings Report: Sportsman’s Warehouse Holdings Inc reported third-quarter earnings of 8 cents per share, meeting analyst expectations, while sales of $331.323 million exceeded estimates.
Future Outlook: The company anticipates flat to slightly increased net sales for FY25 and expects adjusted EBITDA between $22 million and $26 million.
Store Expansion: The CEO announced the opening of a new store in Surprise, Arizona, marking the company's first personal protection-focused concept, with no further openings planned until 2026.
Stock Performance: Following the earnings announcement, Sportsman’s Warehouse shares fell 34.7% to $1.60, prompting analysts to adjust their price targets downward.
Crude Oil Prices Rise; Domo Stock Takes a Dive
U.S. Stock Market Performance: U.S. stocks saw gains, with the Dow up 0.17%, Nasdaq rising 0.2%, and S&P 500 increasing by 0.15% on Friday. Communication services led the sectors with a 0.9% increase, while utilities fell by 0.6%.
Notable Stock Movements: Praxis Precision Medicines surged 31% after FDA alignment, DigitalBridge Group rose 32% amid acquisition talks, and Rubrik Inc gained 23% following strong financial results. Conversely, Parsons Corp dropped 25% after losing a bid, and Domo Inc fell 23% due to disappointing guidance.
Economic Indicators: The U.S. PCE price index rose 0.3% month-over-month in September, aligning with market expectations. Personal income and spending also increased by 0.4% and 0.3%, respectively.
Global Market Trends: European shares mostly declined, with the STOXX 600 down 0.01%, while Asian markets closed higher, led by gains in Hong Kong and China, despite Japan's Nikkei falling 1.05%.
Sportsman's Warehouse Projects Full-Year EBITDA Between $22M and $26M Due to Increased Promotions and Cautious Q4 Forecast
Management Insights: Sportsman's Warehouse reported a 2.2% increase in same-store sales for Q3 2025, driven by strong performance in hunting, shooting sports, and fishing, despite challenges from a prolonged government shutdown affecting consumer confidence.
Financial Performance: The company achieved net sales of $331.3 million and improved gross margin to 32.8%, but adjusted EBITDA guidance was lowered to $22-$26 million due to increased promotional pressure and lower-than-expected Q4 sales.
Strategic Focus: Management emphasized a conservative approach moving forward, prioritizing inventory discipline and cost control while continuing to focus on core categories and enhancing digital marketing efforts.
Risks and Concerns: Analysts expressed skepticism regarding sales sustainability and inventory risks, highlighting macroeconomic headwinds and the impact of promotional activities on margins as ongoing challenges for the company.
Dow Rises More Than 150 Points; Victoria's Secret Reports Positive Q3 Earnings
U.S. Stock Market Performance: U.S. stocks opened higher, with the Dow Jones gaining over 150 points, while the NASDAQ and S&P 500 also saw increases of 0.37% and 0.33%, respectively.
Victoria's Secret Financial Results: Victoria's Secret reported better-than-expected third-quarter results, with losses of 27 cents per share, surpassing analyst estimates, and raised its FY25 guidance.
Equities Trading Highlights: Notable stock movements included SMX shares surging 106%, while Ambitions Enterprise Management saw a 32% drop. Other significant gains were reported for Wheeler Real Estate and Treasure Global.
Global Market Overview: European shares were mostly higher, while Asian markets closed mixed. U.S. personal income rose by 0.4% in September, and the PCE price index increased by 0.3%, aligning with market expectations.
Transcript of Earnings for Sportsman's Warehouse (SPWH)
- Author's Perspective: The views and opinions presented are solely those of the author.
- No Official Endorsement: The content does not necessarily reflect the views of Nasdaq, Inc.
Broadcom Set to Surge Over 14%? Check Out 10 Leading Analyst Predictions for Friday
Analyst Rating Changes: Top Wall Street analysts have adjusted their price targets for several companies, with notable changes including Piper Sandler lowering ServiceTitan's target and Needham raising Cooper Companies' target.
Price Target Increases: Companies like Ciena Corp and Ulta Beauty Inc saw significant increases in their price targets, with Ciena's target rising from $130 to $240 and Ulta's from $606 to $647.
Price Target Decreases: Sportsman’s Warehouse Holdings experienced a downgrade, with Baird cutting its price target from $3.5 to $2 while maintaining a Neutral rating.
Current Stock Prices: The article provides the latest closing prices for various companies, highlighting the market performance of stocks like Broadcom, Edwards Lifesciences, and Dollar General.
