Cabela’s announces three new stores, including its first in North Carolina
Sidney, Neb. — Cabela’s Inc. announced plans to enter three new markets – Nanaimo, British Columbia, Canada; Garner, N.C.; and Sun Prairie, Wis.
Construction on Cabela’s 100,000-sq. ft. Garner store – its first North Carolina location – is scheduled to begin next summer. The store is expected to open in spring of 2015.
The building’s exterior will reflect Cabela’s popular store model with log construction, stonework, wood siding and metal roofing. A large glass storefront will allow customers to view much of the store’s interior as they approach the building.
The inside will feature the company’s next-generation layout designed to surround customers in an outdoor experience, including museum-quality wildlife displays and a large mountain replica featuring a built-in aquarium.
In Sun Prairie, Wis., Cabela’s will open a 86,000-sq.ft. store in spring 2015. Construction is scheduled to begin next year. It will be Cabela’s fourth store in Wisconsin.
Cabela’s will open a 50,000-sq.-ft. store in Nanaimo, British Columbia, in fall 2014. It will be Cabela’s first location in British Columbia.
Tractor Supply produces impressive Q3; enters Wyoming
Brentwood, Tenn. – Tractor Supply Company reported that net income for the third quarter was $64.8 million, up almost 30% from net income of $50 million in the same quarter a year earlier. The company also announced the opening of its first store in Wyoming, as it continues to expand into the Western region of the country
Net sales increased 13.4% to $1.21 billion from $1.07 billion in the prior year’s third quarter. Same-store sales increased 7.5%. The increase in comparable store sales was broad-based and driven by strong results in key consumable, usable and edible (C.U.E.) products as well as seasonal merchandise.
Sales also benefited from an extended spring selling season that resulted from mild temperatures through much of the quarter. The company opened 23 new stores and closed one store in third quarter 2013.
Tractor Supply opened its first store in the state of Wyoming, in Rawlins, Wy, on Oct. 19. The retailer now operates more than 1,200 stores in 48 states.
Red Plum shines amid grim showing by Valassis
Free standing inserts remain a popular promotional vehicle, but weakness in other aspects of the Valassis business model have CEO Rob Mason vowing major changes after a third quarter sales decline.
Valassasis, best known by consumers for its Red Plum branded inserts in Sunday newspapers, said revenues for the quarter ended September 30, declined 6.6% to $524 million and earnings declined 24.5% to $27.7 million including $600,000 of restructuring costs. The company’s free-standing inserts, or FSI, business saw revenue increase 4.6% to $75.5 million due to growth in page volume.
The company said its overall weakness was attributed to a an anticipated decline in revenues in its Neighborhood Targeted segment resulting from the change in certain client contracts to a fee-based media placement model, as well as the discontinuance of the sampling and solo direct mail products. Without the effect of these changes, the company said its third quarter revenues would have increased 4.3%.
"Given our year-to-date results, I recognize a clear need for change. We are executing our plan to strategically refocus, restructure and right-size our company," said Rob Mason, Valassis president and CEO. "We project this plan will deliver approximately $28 million in annualized cost savings, putting our company in a better position to jumpstart and accelerate growth moving forward."
Until then, the company said it was lowering its profit forecast to a range of $2.74 and $2.84 a share from earlier guidance of between $3.05 and $3.20 a share.