Sportsman’s Warehouse Holdings Inc (NASDAQ:SPWH) Announces $156.9 Million Q1 Sales

Sportsman's Warehouse Holdings Inc (NASDAQ:SPWH)

Sportsman’s Warehouse Holdings Inc (NASDAQ:SPWH)

Sportsman’s Warehouse Holdings Inc (NASDAQ:SPWH) has announced its financial results for the first quarter ended April 29, 2017.

Sportsman’s Warehouse Holdings Inc (NASDAQ:SPWH) reported $156.9 million in net sales representing 3.5% increase from the $151.6 million that was reported in the same period the previous year. During the period, the company reported $3.8 million in income from operations up from the $2.4 million that was reported in the same period the previous financial year. The company reported $2 million in adjusted income from operations. The company’s adjusted income from operations from the first quarter of 2016 amounted to $2.5 million.

At the close of the quarter, the company operated a total of 76 stores spread over 22 states. This represents an increase of 10.7% in the company’s square footage compared to what the company had the previous year.

Sportsman’s Warehouse Holdings Inc (NASDAQ:SPWH) reported $3.2 million in interest expenses – a drop from the $3.6 million that was reported in the same period the previous financial year. Net income amounted to $4.5 million up from $0.3 million reported in the first quarter of 2016. During the quarter, the company reported $0.11 in earnings per share compared to $0.01 that was reported during the same period the previous financial year. Adjusted EBITDA amounted to $4.2 million down from $7.4 million reported in the first quarter of 2016.

In a statement, Sportsman’s Warehouse Holdings Inc (NASDAQ:SPWH)’s Chief Executive Officer, John Schaefer, said that promotional activities increased in the industry and the company followed suit by stepping up its own marketing campaigns. Schaefer claimed this resulted in increased sales and, accordingly, the company had to adjust it earnings performance for the quarter.

He added that Sportsman’s Warehouse Holdings Inc (NASDAQ:SPWH)’s loyalty program is making significant progress, leading to growth on the company’s e-commerce platform, and enhancing the company’s private label products. The company says it will maintain a conservative approach as it heads into the second quarter. According to Schaefer, they are optimistic that the company will register improvements towards the end of the year.

Sportsman’s Warehouse Holdings Inc (NASDAQ:SPWH) stock was down by 0.88 in Monday trading session consequently ending the day at $5.65 a share.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

About the author: Steve Clark is a 23-year Wall St professional with stints in M&A, risk management, and algorithm trading.

Author: Steve Clark

Steve Clark is a 23-year Wall St professional with stints in M&A, risk management, and algorithm trading. Steve keeps his head in the game by looking for, and writing about, small companies that often get overlooked by the big investment firms.

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