US-based outdoor retailer Sportsman’s Warehouse has reported a net loss of $15.6m in the first quarter (Q1) of fiscal year (FY) 2023, against a net income of $2.0m in the corresponding period of FY22.
In the quarter ending 29 April 2023, the retailer posted a diluted loss per share of $0.42 compared to diluted earnings per share of $0.05 in Q1 FY22.
Driven by lower sales demand from weather-related headwinds in the Western US, Sportsman’s Warehouse saw its net sales decline to $267.5m compared to $309.5m in the prior year’s quarter.
Its same-store sales for the quarter dropped 17.8% against Q1 FY22.
During the quarter, Sportsman’s Warehouse reported a gross profit of $80.0m against $99.1m in the same period a year ago, accounting for 29.9% of net sales in Q1 FY23.
Sportsman’s Warehouse interim CEO and Board chair Joseph Schneider said: “Our results for the first quarter were impacted by tough macroeconomic conditions, extreme snow levels and unusually wet weather in the Western United States.
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“Despite these challenges, the investments we made in our strategic initiatives, specifically e-commerce and customer engagement, have strengthened the business and we remain positive about our medium-to-long term outlook and our ability to capture additional share of the outdoor sporting goods market.”
The company had net debt of $147.3m and an inventory of $469.5m at the end of Q1.
In the Q2 of FY23, the retailer’s net sales are expected to be in the range of $310m to $340m while same-store sales are scheduled to drop to 9% from 17% in the same period last year.