Cabela’s Q4 total revenue up 5.5%

Sydney, Neb. Cabela's Thursday reported fourth-quarter net income of $52.4 million, compared with $52.7 million last year. Total revenue increased 5.5% to $917.6 million; retail store revenue increased 8.0% to $463.8 million; and direct revenue increased 1.3% to $406.0 million.

For the quarter, financial services revenue increased 18.6% to $45.2 million.

“Our fourth-quarter and full-year results exceeded our expectations and reflect the significant progress we have made related to our strategic initiatives," said Tommy Millner, Cabela's CEO. "As we discussed last quarter, our strategic initiatives are to improve retail profitability, increase returns on invested capital, improve inventory levels, and increase profitability at World's Foremost Bank while preserving the brand loyalty of our cardholders."

The company said it is final negotiations to open two new stores in the United States.

“Both of these stores are expected to open in 2011 and will be our smaller, more efficient, next generation store format,” Millner said. “We will announce more specific details when negotiations are complete."

Additionally, since its acquisition of S.I.R. Warehouse Sports Store in Canada in 2007, Cabela’s has been upgrading the infrastructure for its further expansion into Canada, Millner continued, and the chain expects to open two new stores in Canada in 2011. Both stores will be Cabela’s next generation store format.