Sportsman’s Warehouse (NASDAQ:SPWH) has slashed its Q4 profit guidance, citing a number of headwinds in the tough quarter.
Shares are halted, with trading set to resume at 4:35 p.m. They fell 7.6% during the regular session.
The company now expects EPS of $0.17-$0.21 vs. a previous $0.29-$0.35 (and vs. consensus for $0.32).
It expects comparable sales fell 6-7% in the quarter, and that revenues will come in at $250M-$254M (light of consensus for $267.9M).
“Temporary” headwinds were “exacerbated by the shorter and more competitive holiday selling season,” says CEO Jon Barker. Those included key competitors discounting firearms/ammunition as they de-emphasize or exit the category, and tough sales comps due to legislative changes in Washington and California.
He did point to a bright spot in outsized online channel growth amid an ongoing consumer shift that “validates our omni-channel strategy and investments.”
Updated 4:37 p.m.: Shares have resumed trading, now down 20.6% after hours.
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