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Cabela's announces opening date for Lexington store, reports disappointing third-quarter results

Cabela's, which stocks all things outdoor related, opened its Old Brownsboro Crossing store in Louisville in April 2013.
Cabela's, which stocks all things outdoor related, opened its Old Brownsboro Crossing store in Louisville in April 2013. Aaron Borton | Special to The Courier-Journal

Cabela's Inc., which previously announced plans to open a store in Lexington, on Thursday specified that it anticipates an opening date of spring 2016.

The store near Interstate 75 and Man o' War Boulevard will be 70,000 square feet, the company said in a news release. Cabela's expects to hire about 160 full- and part-time employees, the release said.

The Lexington store is being "designed to surround customers in an outdoorlike experience with a large mountain replica and museum-quality wildlife displays. In addition to thousands of quality outdoor products, the store will include an indoor archery range and archery tech room, Gun Library, Bargain Cave and fudge shop," the company said.

The Lexington Cabela's will be the third in Kentucky. An 88,000-square-foot location opened in Louisville in 2013, and a 42,000-square-foot store opened in Bowling Green on Sept. 25.

Cabela's, based in Sidney, Neb., now operates 64 stores in North America and plans to open 17 more during the next two years. The stores sell hunting, fishing and outdoor gear.

Also Thursday, the company reported disappointing third-quarter results and lowered its profit forecast.

Cabela's said profits totaled $53.8 million, or 75 cents a share. Earnings, adjusted for non-recurring costs, were 81 cents a share. That's up from the prior year but short of market forecasts.

Analysts surveyed by Zacks Investment Research were expecting earnings of 86 cents a share.

Cabela's revenue increased 4.1 percent, to $886 million, during the period, but analysts were expecting $926.5 million.

The company said revenue from its stores open at least a year decreased 11.2 percent. This is considered a key indicator of financial performance for retailers as it strips away the effects of recently opened or closed sites.

Cabela's said that in light of these sales trends, it was lowering its earnings forecast. The company now expects to earn $3.10 to $3.20 a share for the year, down from its earlier forecast of $3.32 a share.

Shares fell $8.63, about 15 percent, to $49.31 Thursday.

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