My concern for drop outs with Sturmey Archer hubs is whether there is enough thread on the axle to widen the dropout very much. I have installed Sturmey Archer hubs in bikes with cast dropouts and found that there was not enough thread to get the axle sufficiently tight to keep the chain tension reliably. When I have dropouts I am worried about, I put anti-rotation washers on both sides and pull the wheel back to where the dropout is in better shape. Good luck.
-Will