Academy Sports & Outdoors (ASO) Q1 2027 earnings summary

Executive summary

• Q1 2026 net sales rose 6.7% year-over-year to $1.44 billion, with comparable sales up 2.9% and e-commerce sales up 17.4%, driven by growth across all divisions and new store openings.

• Diluted GAAP EPS increased 17.6% to $0.80; adjusted EPS up 22.4% to $0.93.

• Two new stores opened in Ohio and Oklahoma, bringing the total to 324 locations.

• Market share expanded across all businesses, supported by new store openings and productivity initiatives.

• Strategic focus areas include new store expansion, loyalty program relaunch, and omni-channel enhancements.

Financial highlights

• Gross margin was 33.2%, down from 34.0% year-over-year, impacted by tariffs but partially offset by lower freight and shrink.

• SG&A as a percentage of sales improved to 28.1% (down from 28.8%), reflecting investments in new stores and technology.

• Operating income was $74.7 million; net income for Q1 was $52.7 million, up 14.4% year-over-year.

• Adjusted EBIT for Q1 was $89.0 million, up from $79.6 million last year.

• Adjusted free cash flow for Q1 was $121.6 million, up 14.2% year-over-year.

Outlook and guidance

• Full-year net sales guidance raised to $6.23–$6.36 billion (+3% to +5%), with comp sales expected flat to +2%.

• Adjusted EPS guidance increased to $6.40–$6.80; GAAP EPS expected at $5.95–$6.35.

• Capital expenditures projected at $200–$240 million, with 60% allocated to new stores.

• Q1 expected to be the strongest quarter for comps; subsequent quarters to fall within the flat to +2% range.

• Guidance reflects caution regarding ongoing economic risks, including inflation and competitive pressures.