Samuel Poser's questions to Boot Barn Holdings Inc (BOOT) leadership • Q2 2025
Question
In a follow-up, Sam Poser questioned why SG&A was deleveraging in Q3 on a strong comp forecast, contrary to the company's typical leverage model.
Answer
CFO Jim Watkins explained that the full-year leverage point was impacted by higher-than-planned incentive-based compensation due to sales accelerating faster than expected, as well as some unforeseen legal expenses in Q2. He noted that leverage points are best viewed on a full-year basis due to quarterly timing shifts.