I would now like to hand the conference over to your speaker today, Riley Timmer. Thank you, operator. Participating on our Q2 2026 earnings call today is Paul Stone, our Chief Executive Officer, and Jennifer Fall Jung, our Chief Financial Officer. I will now take a moment and remind everyone of the company's safe harbor language. The statements we make today contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which include statements regarding expectations about our future results of operations, demand for our products, and growth of our industry. Actual results may differ materially from those suggested in such statements due to a number of risks and uncertainties, including those described in the company's most recent Form 10-K and the company's other filings made with the SEC. We will also disclose non-GAAP financial measures during today's call. Definitions of such non-GAAP measures, as well as reconciliations to the most directly comparable GAAP financial measures, are provided as supplemental financial information in our press release, included as Exhibit 99.1 to the Form 8-K we furnished to the SEC today, which is also available on the investor relations section of our website at sportsmans.com. I will now turn the call over to Paul. Thank you, Riley, and good afternoon, everyone. Before we begin, I want to recognize our dedicated outfitters across the country. Every day, they deliver on our promise of great gear and great service, strengthening our connection with customers and supporting the progress to transform Sportsman's Warehouse. We were pleased to report same-store sales in the second quarter were essentially flat compared to last year and in line with our expectations. In the quarter, we experienced headwinds as our core customer continues to be pressured by tough macroeconomic conditions, including fuel prices that remain persistently elevated. Despite these pressures, I'm proud of how the team responded with speed and quickly adjusted to meet the customer where they are. We moved with urgency to reinforce our value proposition, which included a more promotional cadence than originally planned to improve performance in our key pursuits. Our customers are passionate about the outdoors, and they trust Sportsman's Warehouse outfitters for local knowledge and the right advice, backed by a relevant assortment of the name brands they count on. They head out prepared for a successful day on the water or in the field. They are willing to spend on that passion, and we are further positioning ourselves to be the retailer of choice as they gear up for their fall pursuits. Our second quarter sales in our hunting and shooting sports department increased nearly 7% versus last year. This sales growth was led by firearms and ammunition, where demand remained strong, partially influenced by event-driven demand. Sales in our fishing department decreased about 2% in Q2, but are up nearly double digits on a two-year comp stack. Drought conditions negatively impacted our fishing sales in key Western states. To give you a regional perspective, our Western stores were down mid-single digits, while our Eastern stores were up mid-single digits in the quarter. This headwind pressured our Q2 results, but inventory levels are bought accordingly for the back half, and we continue to see a long-term growth opportunity in this category. Our camping and soft lines departments experienced declines in Q2. As we talked about last quarter, our inventory position in these categories is clean. Our fall assortment is better aligned with the products and brands that support our core pursuits of hunting, fishing, and shooting and personal protection. We are encouraged by the improved August trends in these two departments, and while they have not turned positive, we believe they are moving in the right direction. Close management of inventory remains a key priority, and total inventory is down over $44 million compared to last year. I am pleased with how the team is managing our flow of merchandise to ensure we are regionally and seasonally relevant and timed to meet the shopper demand. Our core in-stocks are significantly improved, and our category-level inventory is the healthiest it has been in many years. This will remain a focus as we expect to further improve turns and inventory efficiency in the balance of 2026. Our e-commerce business grew nearly 3% in the quarter, led by fishing up 10% and hunting up 6%, and growing faster than our total sales for the ninth consecutive quarter. As a true omni-channel retailer, we see customers shop us both in our stores and online. A better website experience drives traffic and sales into the store, not just online. Providing the customer with a tailored online assortment and a website that is easy to navigate and shop is an important part of the winning experience, and we continue to make meaningful improvements on both fronts. We are also upgrading our search and shop functionality, which will make it faster and easier for customers to find the right gear for their pursuit. By combining an improved e-commerce solution-based experience with in-store expertise, we believe we can expand gross margins in the hunting and shooting sports department while reinforcing our outdoor authority. We continue to advance the reinvention of our loyalty program, where we see meaningful headroom to grow both total membership and loyalty sales, with rollout on track for early 2027. We are restaging the value proposition itself, not just fine-tuning the program we have. It is important that we give our best customers a reason to consolidate more of their spend with us. More customers, worth more, retained longer is how we build a recurring higher margin sales base. Just as important, the program turns our shopper data into insight we can act on, putting it in the hands of our merchants and marketers to drive sharper decisions across the business. That work has already identified a repeatable trip driver in our core pursuits. We have built the business case and are executing against it in the back half. Given we are a seasonal business, Q3 and Q4 are the two largest and most important quarters for our business, with Q3 centered around hunting pursuit and Q4 focused on holiday. We believe we are well-positioned with curated assortments and improved seasonal merchandise to ensure localization across our fleet of 147 stores. We also believe we have built more value into our key holiday gift-giving items with compelling price points for a customer who is shopping carefully this year. Looking ahead, our customer remains under pressure, with elevated fuel costs further constraining their discretionary spending. We remain optimistic about our position in the market and believe we have a differentiated omni-channel model to drive stronger returns across the business. Finally, I want to reiterate my confidence in our back half plan. We do not control the macro. We do control our assortment, our in-stocks, and our channels. On every one of those, we are in a stronger position than we have been in years. Here is why I have that conviction and what the customer is already telling us. First, in-stocks. This key metric on our core products has improved from about 50% two years ago to over 80% today. The customer can now visit our website or walk into a store and find what they came for. Second, the healthiest inventory we have had in many years. We have spent the last couple years selling down inventory in camping, apparel, footwear, and even firearms, where we did not have the right assortment or were carrying aged merchandise that was tying up much-needed working capital dollars. That sell-down is now largely behind us, providing us the working capital needed to buy into both core products and new products in the categories I just mentioned. That product is now landing, and we believe a much-improved assortment is a back-half tailwind for the business. Third, new and more relevant merchandise. We have a strong assortment for both the hunting and holiday season, including unique gift-giving items. We have been capital constrained the last two years and now have these volumes in motion and ready for the relevant regions and seasons. Fourth, e-commerce. That business has grown faster than total company sales for nine consecutive quarters, with over 70% of online orders picked up in store. That digital growth converts directly into store traffic. In addition, we reduced debt by $26 million and took over $44 million of inventory out of the business year-over-year, strengthening our balance sheet. Two years of disciplined work by our team. Finally, where our work is furthest along, the customer is responding. Hunting and shooting sports grew nearly 7% in the quarter, and fishing is up nearly double digits on a two-year basis. We believe these actions strengthen our competitive position, allowing us to drive long-term profitable growth and generate free cash flow to further pay down debt. With that, I'll turn the call over to Jennifer. Thank you, Paul, and good afternoon, everyone. Net sales for the second quarter were $295.6 million, a 0.6% increase from $293.9 million in the same period last year. Same-store sales in Q2 were essentially flat versus last year. Our performance was driven by 6.7% same-store sales growth in our hunting and shooting sports department, led by increased sales in our firearms and ammunition categories, some additional event-driven demand, and an increase of 1% in our optics, electronics, accessories, and other departments. Our other categories declined in Q2, reflecting continued pressure on the U.S. consumer and drought conditions in the Western U.S., partially offsetting our overall sales growth. Within camping, clothing and footwear, and firearms categories, we strategically began reducing assortment and overall inventory levels over the last couple of years as we look to improve these categories' performance. With the cleanup of inventory now behind us and as we come into the fall season, a new, fresher assortment is landing, and we believe these categories are set up for success in the back half of the year. Gross margin for the quarter was 32.5%, a 50 basis points improvement compared to 32% in Q2 last year. Although we mixed higher in our hunting and shooting sports department in Q2, which carries a lower overall margin, and we were more aggressive with our promotional cadence to offer value to the customer, we were able to offset margins through more disciplined inventory management, reducing overall freight costs, and a one-time tariff benefit. We made a strategic decision to use the tariff refund to reinvest back into providing value to the consumer. SG&A expenses were $97.1 million, or 32.9% of net sales, versus $97.2 million, or 33.1%, in Q2 last year. The decrease in SG&A expense was primarily driven by a decrease in depreciation expense and continued cost management discipline. Net loss for the second quarter was $4.4 million, or - $0.11 per diluted share, compared with a net loss of $7.1 million, or - $0.18 per diluted share in the second quarter of the prior year. Adjusted net loss in the second quarter was $3.1 million, or - $0.08 per diluted share, compared with the adjusted net loss of $4.7 million, or - $0.12 per diluted share in the second quarter of last year. Adjusted EBITDA for the second quarter was $8.7 million, compared with adjusted EBITDA of $8.3 million in the second quarter of 2025. Turning now to the balance sheet. Total inventory at the end of Q2 was $399 million, down $44.5 million or 10% versus Q2 of last year, while still delivering a flat sales comp for the quarter. The decrease in year-over-year inventory is part of our ongoing inventory efficiency strategy and the refinement of receipt timing to match seasonal demand. We continue to expect average inventory to be lower throughout the year as we improve seasonal inventory timing and further eliminate slow-moving inventory, resulting in better overall churn. We continue to expect to end the year with less total inventory than 2025. We believe the SKU reduction initiative is now largely behind us, and we are confident we have the right go-forward assortment to grow the business. In regards to liquidity, we ended the second quarter with a net debt balance of $169 million, a decrease of $26 million compared to Q2 of last year, and total liquidity of $105 million. We believe that our liquidity position remains strong, and we continue to actively manage working capital to ensure flexibility as we navigate throughout the year in a tough consumer environment. We recently amended our $45 million ABL term loan and extended its maturity to June of 2031. We also amended our revolving credit facility, aligning the commitment to our operating needs of $315 million and extending its maturity to the same date, actions that provide a longer dated capital structure and continued financial flexibility. Tight management of our variable expenses and inventory efficiency remain a key focus. We remain committed to generating positive free cash flow and using excess cash to reduce debt and strengthen the balance sheet, with debt reduction as our top capital allocation priority. Finally, let me speak to our full year guidance. As we move into the back half of the year, we are optimistic about our plan and the strategic initiatives underway to support growth. While we expect consumer headwinds to continue to persist, including ongoing elevated fuel prices, we are reiterating our guidance for the full year. We continue to expect fiscal 2026 net sales to range between down 1% to up 2% compared to last year. Adjusted EBITDA to be between $30 million and $36 million, driven by better gross margin performance, continued expense management, and disciplined inventory management. Capital expenditures between $20 million and $25 million, primarily related to technology investments to improve store service and merchandising productivity, as well as general store maintenance. That concludes our prepared remarks today. I will now turn the call back over to the operator to facilitate questions. Thank you. As a reminder, to ask a question, please press star one one on your telephone and wait for your name to be announced. To withdraw your question, please press star one one again. One moment for questions. Thank you for joining the call today. Our first question comes from Mark Smith with Lake Street. You may proceed. Hi, guys. Wanted to ask a little bit about camping and soft line categories here. Overall inventories look really good, but I am curious how you feel and your comfort levels with inventories in those categories. Hey, Mark. This is Jen. We're feeling really good about our inventory levels. We spent the past year plus cleaning up the assortments, making sure that we weren't over assorted, putting bigger buys on our core categories. We feel really, Q2, the performance wasn't there, but we didn't expect it to be. Q3 is when we really feel the assortment will be back in check. We're feeling good at where we are. In terms of the inventory levels, they're very clean. We think the majority of our work around assortments and SKU reduction has kind of been done, and now it's just really optimizing on a seasonal basis. Okay. Within that, it sounds like you guys feel pretty good about kind of your outlook for some of these categories in the second half. Given still pressure on consumers, I'm curious maybe what gives you that confidence in second half? Yeah, Mark, I think where we were placed in camp last year with really the cleanup and the burn down on a lot of our not go forward merchandise that we had last year and with the buys this year and the timeliness of the buys, we've already started to see it in August and even as we start September. But huge improvement in camp apparel. This will be the first time where we've really put clearance in the best position the company's ever seen and really allow us to be able to have the newness to be able to flow through in those categories. I think the expectation and based on what we're seeing now, and I would just add, really first time ever, we've been able to be clean in season on these products and to be able to hit the NICS season with the curated product and assortment that we need to be able to drive the sales. But we feel very optimistic with the back half and to see improvements in our attached categories. Okay. Maybe one more for you. Just as we think about your performance in hunt shoot, obviously, it was positive, up about 7%. Curious how you feel about that category versus mix and versus industry trends. Then if you can give us any insight into what looks like NICS data up 2%+ here, adjusted NICS in August. Curious what kind of trends you are seeing today. Yeah, I think first, both firearms and ammo, extremely strong. Firearms up 8% and ammo is up nearly 11% on the Q. So we like where that is heading and what it looks like. We knew as we looked at NICS, we are looking at it more on two-year stack. Last year, we had one really launch personal protection and had some key supplier partnerships as we made those launches to really set up that program around personal protection. Two, we had heavy inventory, but we have really pushed. They were aged firearms, and we knew that we were getting some tailwind from that as we went through that cycle last year. So we had to level it out, look at it on a two-year basis. Where it looks on a two-year, we really like where it is at. You are always going to have micro events that are going to happen to pop up within a Q or outside of a Q, but the consistency of where we are on a two-year stack looks really good. Perfect. Thank you. Thank you. Our next question comes from Matt Koranda with Roth Capital. You may proceed. Hey, guys. Good afternoon. Could you dimension for us the size of the tariff refund benefit in the quarter? You said, I think you invested in price. Any particular categories, I guess, where that showed up most acutely? Yeah. If you look at the quarter as a whole, it is pretty evident. Fuel prices hit in May. That was probably our toughest month of the quarter, and then as it got progressively better as we went through. Firearms and ammo is where we heavily penetrated. As we just noted, camp and apparel were lagging behind bigger categories, and fish, just due to weather, did not perform as we would have expected. Given all the competition out there being very discounted and given that we know our consumer is stretched, we strategically decided to use some of those tariff refunds to kind of offset some more value that we could offer to our consumer, just in a very value-oriented environment. For us, we are 3% private goods, if you look at just kind of the non-firearm categories. It is not a big number for us. It was not impactful enough to make a statement on it last year when the tariffs were hitting. It is nominal for us, but it did help offset some of that discount that we were allowed to give to keep the quarter moving when the consumer was really tight. Thanks for the question, though. Yeah. No. Okay. I appreciate that, Jennifer. Thank you. You kind of maybe pre-addressed one of the questions I wanted to ask, but I guess maybe asking the demand cadence in a different way. What are you seeing from your consumer, in terms of behavioral changes in response to elevated gas prices? Any discernible changes that they've been making or that you can discern throughout the quarter and into August? Yeah. So it's a great question. What we're seeing, I mentioned the gas and that hit in May. That was, again, our toughest quarter, the month, and it got progressively better throughout the quarter. We are seeing high penetration in consumables, whether it be lures, whether it be ammo. So the consumer really continues to purchase the consumable aspect of our business. A little bit of trade down, and some of it might be simply because of the weather dichotomy between the West and the East, where fish performed very well in the East, not as well in the West, where we're strapped for water, and we had tough weather. But the rods and reels, a little bit of a trade down there to more of a basic model versus the higher-end ones. But those are kind of maybe the two most notable consumables and a little bit of trade down. Overall, our AOV is up. AUR is relatively flat, so we're still getting decent share of wallet for sure. Just nuances in terms of how they're choosing to spend their money. At the end of the day, one thing they're not giving up is their firearms and their ammo. They continue to spend their discretionary income there. Okay. All right. That makes sense. You mentioned some improved trend in August. I think that was in particular in apparel, but maybe just if you could just speak to the other categories and any demand trends you've seen in the August period. Yeah. The thing I would say, Matt, is we're encouraged with what we're seeing in both camp and apparel from where we've been. I think a couple of the things, a couple of the factors is we were hit with tariffs last year, and some delay of product that was coming in or some that was pushed completely out based on the uncertainty of the product and the cost of the product that we elected to pass on, that now we're getting those goods flowing and feel really good with what that looks like. It does align with the pursuits. This is exactly how we want it to line up, but we knew camp was going to be around the camp pursuits, whether it's the cots, the tents, the hunt tent itself. There's dehydrated food all performing extremely well. With apparel, we went through two years of really just trying to clean, get assortment right, and be able to hit the season. I think now with the newness that's landing and what the line reviews have resulted over the last year for the buy, the team's done a great job of being able to land product that aligns with the pursuits and puts us in a much better position. A couple nuances we have is you clearly have a Labor Day shift where we would've seen that in August. It bumps back into this week as we get to the run-up of Labor Day, and then you're going to have a nuance of a macro with the Charlie Kirk assassination that happened mid-September last year. So we have nuances that happened LY, but we built in a plan this year knowing that we were going to be up against it and feel really good with what the team's been able to stand up and to be able to deliver for the back half of the year. High optimism. Okay. That's great to hear. Thanks, Paul. Maybe if I could sneak one more in. Maybe just on the cash flow outlook and working capital discipline, it's really good to see the inventory coming down on a year-over-year basis in the second quarter. Maybe just speak to your level of confidence in sort of reducing inventory balance year-over-year by the end of fiscal year here, and how we should be thinking about the working capital benefits that come from that. Extreme high confidence. We review this very frequently with the teams. We know exactly where we're headed. We have our plans lined up. We have our inventory buys that match our promotional cadence. I would say we're in a much better position even than we were last year when we took a big chunk out. But we feel very confident we'll be able to get below last year's levels by the end of the year. Yeah. I'll just add, Matt, as you think about it, I've been in retail a lot of years, I've never seen really a team be able to stand up a 10% reduction year-over-year in inventory and be able to get to a position where you're up for a Q. As we look at it with confidence going into the back half of the year, this is really a story of being able to continue with the new goods, to be able to burn down any non-go-forward, and to be able to get the blend that we need to, and be able to meet the customer where they need. At the same time, being able to improve turns and reduce working capital. But it's not at the sake of We mentioned in the call that everything that we're taking out of the non-go-forward or SKU reductions, we've been able to put back into our core SKUs to be able to improve what that overall in-stock looks like to be able to drive the business forward. Excellent. I'll leave it there, guys. Thank you. Thanks, Matt. Thank you. Our next question comes from Anna Glaessgen with B. Riley Securities. You may proceed. Hi. Thanks for taking my questions. I would like to follow up on the questions around the promotional environment. You noted that the promotional cadence is heavier than expected in the second quarter. Based on what you are seeing from competitors, are you expecting that that persists through the back half? Thanks. Yeah. We expect, given that we cannot predict fuel prices, but I do not see those letting up anytime soon. Since that is what really pinches our consumer, we do have that expectation for the remainder of the year. Got it. Is that concentrated to any particular category in specific, or is it kind of broad-based? I will not say it is broad based because as we mentioned earlier, clearly our consumer is still purchasing firearms and ammo. Some of the less attached categories have seen a little bit more pressure. As shoes across the industry have been seeing a lot of pressure, but shoes and apparel seem to be the ones that the consumer might think twice about spending. When it comes to the pursuits, they are still very invested. Got it. Thanks. Turning to camp and apparel, it was nice that we have seen some improvement in August. I guess, are you expecting that those categories inflect to positive within this current fiscal year, or is that more of a 2027 story? I think expectation is that we see this. We are coming off of both those categories, inventory being down 11% and 14% as we ran through, and then finally being able to put ourselves in a position to buy towards, one, the holiday, and two, being able to hit newness during the seasonality and the pursuit that is needed, Anna. So I feel comfortable that our expectation is based on the run rate that we have been running, is that we are able to get that to where it is flattish to positive. I do not want to go out on a limb there, but I would say we are extremely confident compared to where we have been and where our expectations are on those categories. To be able to see margin improvements as we think about the mix the back half of the year as well. You will probably see a little bit more recovery in camp prior to apparel, just with some of the timing of some of the new. I think Q3 with camp is going to be fast and then Q4. Based on our position last year and where we were at from an inventory standpoint, clearance versus newness, I think that is a good call, Anna, for Q3 first for camp, and then Q4, we start to see apparel follow suit. Great. Thanks. Thank you. Our next question comes from Mark Herrmann with R5. You may proceed. Hey, guys. Thanks for the time. I just have a couple quick ones. Is there any change on how you're thinking about any store closure plans since last quarter? No, not necessarily. We do have one store confirmed to close on January 31st. We do have another store. It's in select. We have another store that we expect that we will have an agreement to close by the 31st, but it might push into 2027. A third, probably a little less certain, but definitely coming soon. Still making traction on negotiations with all the other ones as well. Okay, great. I am not sure if Matt asked this directly, but are you able to break out the tariff component of the gross margin expansion? Can you talk about gross margin trends just within the hunting category, going forward, just kind of in general in the hunting season, is there anything that could move the needle one way or the other besides just the ebb and flow of promos within firearms? Yeah. As I mentioned earlier, the tariff refund was not that significant for us. We only have 3% of our assortment on private label. We did not call it out or notice it as a headwind last year, so it is really not that large for us. As we think about gross margin going forward, we do see opportunity in the firearms and ammo categories. It is a little different in ammo because that is more of a mix shift, because as we do more bulk ammo, you will see a little bit more pressure on the rate, but more margin dollars, obviously. As we continue to work on our attachment categories and our bundling initiative, that will really help drive our overall category margin up. That is what we are focused on, since it is one of the largest pieces of our business, it is a big win to get that going. Yeah, Mark, we were happy with Q2. It was a creative force in Q2 from a mix standpoint and the volume that we have there, and encouraged with what we're going to be able to do in the back half of the year as well. We have what we believe is large opportunity to continue to be able to grow ammo with a greater margin than what we have with our firearms. We feel like there's room there and continued room to be able to grow and to take share. We'll continue to be able to, I think, implement things to help us drive that part of the business and feel good with what the margin mix looks like. Okay, great. Maybe just one more. As we think about the attachment of product to the e-com business when it's picked up in the store, is that something we should think about and how can that grow? Is it significant now? Do people physically have to go always to the back of the store to pick up their firearm if it's online, or do they pick it up in the front? How are you capturing, trying to get extra add-ons for those people? Yes, they absolutely have to go and pick up the store unless they pick it up at an FFL. But those that are coming to Sportsman's have to go to the back of the store. I think the biggest opportunity there is really our e-com improvement. We've been working on our search, we've been working on our site experience. That's where you're going to get the bump and the lift. As they come in, they will have their entire order ready to go. Or they might, to your point, they're going to the back of the store. They have the opportunity to now leverage our racetrack and see what other kind of offerings we have. Thank you. Thank you. I would now like to turn the call back over to Paul Stone for any closing remarks. Thank you for joining the call today, and thank you to all our passionate outfitters around the country for their commitment to Sportsman's Warehouse. Together, we look forward to providing our customers with great gear and exceptional service. Thank you. Thank you. This concludes the conference. Thank you for your participation. You may now disconnect.