"There is a lot of business yet to be taken from the consumer," said Dennis Highby, the company's CEO. "I think the market is growing." He mentioned that Cabela's doesn't even have locations yet in California or the Pacific Northwest.
Within the last week officials announced a new store, a 165,000-sf unit in Washington County, WI, that they plan open about a year from now. This year the company has opened four units, most recently a 170,000-sf store in Lehi, UT, in August. Cabela's has 185,000-sf store under construction in Rogers, MN, and stores planned in East Rutherford, NJ; Gonzales, LA; Glendale, AZ; Hartford, CT; Reno, NV; and Wheat Ridge, CO.
When asked of the company would consider an acquisition for growth, specifically the purchase of their St. Paul, MN-based competitor Gander Mountain, Highby said that his team is more focused on new openings. "But we're always open to acquisitions if the right deal comes along," he said.
Executives also addressed the low same-store sales the company has recently generated. For its Q2, which July 2, they fell 6% year-on-year. Highby blames the poor performances on tough comparisons due to highly successful store openings the previous year. "We're going to do anything we can to increase our comparable-store sales," he said.
Sales per-sf at Cabela's stores average $400. Executives plan to grow the retail sales, which accounts for roughly one-third of the company's revenues, along with Internet, catalog and a credit card business, 15% annually.
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