Sportsman's Warehouse Holdings Inc (NASDAQ: SPWH) stepped back from initial gains Wednesday, after the company posted in-line Q3 earnings.
The company, based in Midvale, Utah, reported that net sales increased by 2.3% to $223.1 million from $218.1 million in the third quarter of fiscal year 2017. Same store sales decreased by 0.5% from the comparable prior year period.
The company opened one new store in the third quarter of fiscal 2018 and ended the quarter with 92 stores in 23 states, or square footage growth of 4.4% from the end of the third quarter of fiscal year 2017.
Net income was $12.4 million compared to net income of $9.8 million in the third quarter of fiscal year 2017. Adjusted net income, which excludes a non-recurring tax benefit, was $11.1 million compared to net income of $9.8 million for the third quarter of fiscal year 2017
SPWH also said total debt: $219.2 million consisting of $181.6 million outstanding under the Company’s revolving credit facility and $37.6 million outstanding under the term loan, net of unamortized debt issuance costs.
Total liquidity (cash plus $28.8 million of availability on revolving credit facility) proved to be $30.7 million
For the fourth quarter of fiscal year 2018, net sales are expected to be in the range of $238.0 million to $246.0 million based on a change in same store sales in the range of (1.0)% to 2.0% compared to the corresponding period of fiscal year 2017.
Adjusted net income is expected to be in the range of $10.0 million to $11.3 million with diluted earnings per share of $0.23 to $0.26 on a weighted average of approximately 43 million estimated common shares outstanding.
Shares lost nine cents, or 1.9%, to $4.63
