Cabela's 1Q profit climbs 40 percent on merchandise sales

SIDNEY, Neb.—Cabela's Inc., an outdoor products retailer, said on Thursday its first-quarter profit climbed 40 percent as merchandise sales improved.

For the quarter ended March 29, Cabela's earned $10 million, or 15 cents per share, compared with $7.1 million, or 11 cents per share, in the same quarter last year.

Revenue grew 16 percent to $535.5 million from $462.1 million in the year-ago quarter, the company said.

Analysts polled by Thomson Financial expected earnings of 5 cents per share, on average, and revenue of $534.5 million.

The company said retail store revenue, which accounted for almost half of total revenue, grew 38 percent to $254.4 million. Same-store sales slipped by 8.4 percent.

Same-store sales, or sales at stores open at least a year, are an important metric in the retail sector because it measures performance at established, rather than newly opened, stores.

Shares of Cabela's added 54 cents, or 3.8 percent, at $14.74 in the aftermarket. They closed at $14.20 in the regular session.