Sep 1, 2026 earnings call — Inventory cuts and hunting strength
Net sales were $295.6 million, a 0.6% increase from $293.9 million last year.
Revenue $0.3B (est $0.3B) · EPS $-0.08 (est $-0.12)
Key quotes
"This key metric on our core products has improved from about 50% 2 years ago to over 80% today."
"Firearms up 8% and ammo is up nearly 11% on the Q."
"We expect given that we-- we cannot predict fuel price but I do not see those letting up anytime soon."
Analyst Q&A 4
camping and apparel inventory levels
Q (Mark Smith · Lake Street): He asked how comfortable management is with inventory levels in camping and soft-line categories and what gives them confidence for the second half. He also asked about hunt & shoot performance, mix, and current trends into August.
A: Management said they feel very good about inventory levels after cleaning assortments and reducing SKUs, and that Q3 should show the assortment back in check. They see big improvement in camp apparel starting in August and September and are optimistic for the back half as newness flows through. For hunt & shoot, firearms and ammo were described as extremely strong and they prefer to evaluate trends on a 2-year stack.
"So we are feeling really good about our inventory levels." — Jennifer Fall Jung (CFO)
tariff refunds, consumer gas effects
Q (Matt Koranda · Roth Capital): He asked the size of the tariff refund benefit and where price investment showed up, and asked about consumer behavior with higher gas prices and demand trends into August. He also asked about confidence in reducing inventory and working capital benefits.
A: Management said the tariff refund was nominal for the company and they used some of the refunds to offer value, mainly in firearms and ammo, as a response to competitive discounts. They noted consumers kept buying consumables like lures and ammo, with some trade-down in rods and reels, and that AOV is up while AUR is flat. On inventory and working capital, they expressed high confidence they can get below last year's inventory levels by year-end and described strong discipline to reduce non-go-forward SKUs.
"It is nominal for us, but it did help offset some of that discount that we are allowed to give to keep the quarter moving when the consumer was really tight." — Jennifer Fall Jung (CFO)
promotions and camp/apparel recovery timing
Q (Anna Glaessgen · B. Riley): She asked whether the heavier promotional cadence will persist in the back half and if it is concentrated in any categories. She also asked whether camp and apparel will inflect to positive this fiscal year or if that is a 2027 story.
A: Management expects promotional pressure to continue because fuel prices pinch consumers and they do not see that easing soon. They said the pressure is not broad-based: firearms and ammo remain strong while shoes and some apparel see more pressure. They expect camp to recover first (Q3) and apparel to follow (Q4), with categories moving to flattish to positive versus recent levels.
"We expect given that we-- we cannot predict fuel price but I do not see those letting up anytime soon." — Jennifer Fall Jung (CFO)
store closures, margins, and in-store pickup
Q (Mark Smith · Lake Street): He asked if store-closure plans have changed since last quarter and wanted a tariff breakout of gross-margin expansion plus margin trends in hunting. He also asked how in-store pickup of online orders creates add-on sales and how the pickup process works.
A: Management said there is no major change to plans and confirmed 1 store close on January 31st, with another expected to close but possibly pushed into 2027 and a third less certain. They reiterated the tariff refund was not significant and highlighted opportunity to improve margins in firearms and ammo, noting ammo mix can add dollars even if rate pressure appears. On pickups, customers must pick up orders in-store at the back, and the company expects e-commerce and site-search improvements to lift attach rates while in-store racetracks provide chances for add-ons.
"We do have 1 store confirmed close on January 31st." — Jennifer Fall Jung (CFO)