SIDNEY, Nebraska — Cabela's Inc. shares sank Thursday after the outdoor sporting goods company reported disappointing third-quarter results and lowered its profit forecast.
The company, based in Sidney, Nebraska, reported a profit of $53.8 million, or 75 cents per share. Earnings, adjusted for non-recurring costs, were 81 cents per 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 per share.
Cabela's revenue increased 4.1 percent to $886 million in the period, but analysts were expecting $926.5 million.
The company said that 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 impact of recently opened or closed sites.
Cabela's said that in light of these sales trends, it is lowering its earnings forecast. The company now expects to earn $3.10 to $3.20 per share for the year, down from its earlier forecast of $3.32 per share.
Shares fell $6.92, or 12 percent, to $51.02 in midday trading Thursday.
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