Sportsman's Warehouse Holdings, Inc. Announces Third Quarter 2025 Financial Results

Announces Opening of its Newest Store in Surprise, Arizona

Same store sales increased 2.2% over last year; outperforms the Q3 Adjusted NICS data
Gross margin up 100 basis points versus last year
Updates its full year 2025 Outlook

WEST JORDAN, Utah, Dec. 04, 2025 (GLOBE NEWSWIRE) Sportsman's Warehouse Holdings, Inc. (“Sportsman's Warehouse” or the “Company”) (Nasdaq: SPWH) today announced financial results for the thirteen weeks ended November 1, 2025.

“This quarter we delivered our third consecutive period of positive same-store sales growth, driven by strong performance in our hunting, fishing, firearms, and personal protection categories, while continuing to gain share in a highly promotional and challenging retail environment,” said Paul Stone, Chief Executive Officer of Sportsman’s Warehouse. “We were also pleased in early November to open our new Surprise, Arizona location — our 11th store in the state — which marks our first personal protection-focused concept in a market where we have a proven track record of strong performance. This strategically located store represents our only planned opening for both 2025 and 2026 and reflects our commitment to thoughtful capital management.”

“In mid-October we started to see a softening in consumer spending from external disruptions which is weighing on our early fourth quarter sales,” continued Mr. Stone. “While still early, we are carefully navigating these consumer headwinds, and remain focused on disciplined execution, prudent cost management, and improving inventory productivity.”

For the thirteen weeks ended November 1, 2025:

• Net sales were $331.3 million, an increase of 2.2%, compared to $324.3 million in the third quarter of fiscal year 2024. The increase in net sales was primarily due to increased sales in our Hunting and Shooting, Fishing and Apparel departments as we continue to emphasize inventory in-stocks, and our focused strategy to win the seasons in hunting and fishing to ensure we have the right inventory at the right location at the right time. In addition, the sales growth was driven by our strategic decision to lean into personal protection, including less-lethal alternatives.
• Same store sales increased 2.2% during the third quarter of fiscal year 2025, compared to the third quarter of fiscal year 2024, primarily as a result of the same factors noted above that drove net sales growth and new digital marketing efforts. 
• Gross profit was $108.7 million, or 32.8% of net sales, compared to $103.1 million or 31.8% of net sales in the third quarter of fiscal year 2024. This 100 basis-point improvement, was largely driven by stronger product margins from healthier inventory, improved shrink, and increased sales in the Fishing department, which has an overall higher margin profile.
• Selling, general, and administrative (SG&A) expenses increased to $104.5 million, or 31.5% of net sales, compared to $100.0 million, or 30.8% of net sales in the third quarter of fiscal year 2024, due to a reinvestment into customer facing and sales driving areas of the business including store and support area labor and digital marketing to drive sales and improve omni-channel traffic.
• Net income was $0.0 million, compared to a net loss of $(0.4) million in the third quarter of fiscal year 2024. Adjusted net income was $3.0 million, compared to adjusted net income of $1.4 million in the third quarter of fiscal year 2024 (see “GAAP and Non-GAAP Financial Measures”).
• Adjusted EBITDA was $18.6 million, compared to $16.4 million in the third quarter of fiscal year 2024 (see “GAAP and Non-GAAP Financial Measures”).
• Diluted earnings per share were $0.00, compared to diluted loss per share of $(0.01) in the third quarter of fiscal year 2024. Adjusted diluted earnings per share were $0.08, compared to adjusted diluted earnings per share of $0.04 for the third quarter of fiscal year 2024 (see “GAAP and Non-GAAP Financial Measures”).

For the thirty-nine weeks ended November 1, 2025:

• Net sales were $874.3 million, an increase of 2.0%, compared to $857.2 million in the first nine months of fiscal year 2024. The increase in net sales was primarily due to increased sales in our Hunting and Shooting, Fishing and Apparel departments as we continue to emphasize inventory in-stocks, and our focused strategy to win the seasons in hunting and fishing to ensure we have the right inventory at the right location at the right time. In addition, the sales growth was driven by our strategic decision to lean into personal protection, including less-lethal alternatives.
• Same store sales increased 2.1% compared to the first nine months of fiscal year 2024, primarily as a result of the same factors noted above that drove net sales growth and new digital marketing efforts.
• Gross profit was $278.3 million or 31.8% of net sales, compared to $266.9 million or 31.1% of net sales for the first nine months of fiscal year 2024. The margin improvement was primarily driven by stronger product margins from healthier inventory, improved shrink, and increased sales in the Fishing department, which has an overall higher margin profile. These gains were partially offset by a sales mix shift toward lower-margin firearms and ammunition, which have a lower gross margin, and lower Camping department sales, which has a higher gross margin, and increased freight expense tied to our strategic inventory pull-forward.
• SG&A expenses increased to $296.9 million or 34.0% of net sales, compared to $288.7 million or 33.7% of net sales for the first nine months of fiscal year 2024, due to a reinvestment into customer facing and sales driving areas of the business including store and support area labor to drive sales and improve omni-channel traffic.
• Net loss was $(28.3) million, compared to net loss of $(24.3) million in the first nine months of fiscal year 2024. Adjusted net loss was $(17.4) million, compared to adjusted net loss of $(21.8) million in the first nine months of fiscal year 2024 (see “GAAP and Non-GAAP Financial Measures”).
• Adjusted EBITDA was $17.9 million, compared to $15.1 million in the first nine months of fiscal year 2024 (see “GAAP and Non-GAAP Financial Measures”).
• Diluted loss per share was $(0.74), compared to diluted loss per share of $(0.65) in the first nine months of fiscal year 2024. Adjusted diluted loss per share was $(0.45), compared to adjusted diluted loss per share of $(0.58) in the first nine months of fiscal year 2024 (see “GAAP and Non-GAAP Financial Measures”).

Balance sheet and capital allocation highlights as of November 1, 2025:

• The Company ended the third quarter with net debt of $179.7 million, comprised of $137.9 million of borrowings outstanding under the Company’s revolving credit facility, $44.0 million of net borrowings outstanding under the Company’s term loan facility, and $2.2 million of cash and cash equivalents. Inventory at the end of the third quarter was $424.0 million.
• Total liquidity was $111.9 million as of the end of the third quarter of fiscal year 2025, comprised of $109.7 million of availability under the Company’s revolving credit facility and term loan facility and $2.2 million of cash and cash equivalents.

Fiscal Year 2025 Outlook:
“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, Chief Financial Officer 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.”

Fall Jung continued, “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.”

The Company is adjusting its sales guidance for fiscal year 2025 and now expects net sales to be flat to up slightly and anticipates adjusted EBITDA to be in the range of $22 million to $26 million, reflecting a tough fourth quarter environment due to a challenged US consumer. The Company expects capital expenditures for 2025 to be less than $25 million, 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 $330 million in inventory and lower debt, reflecting working capital efficiency.

The Company has not reconciled expected adjusted EBITDA for fiscal year 2025 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.

About Sportsman’s Warehouse Holdings, Inc.

Sportsman’s Warehouse Holdings, Inc. is an outdoor specialty retailer focused on meeting the needs of the seasoned outdoor veteran, the first-time participant, and everyone in between. We provide outstanding gear and exceptional service to inspire outdoor memories.