On Nov. 2, Cabela's (NYSE:CAB) released third-quarter earnings for the period ended Sept. 30.

  • Total revenue increased 14.1% to a record $490.5 million. All segments (direct, retail, and financial services) showed good growth.

  • Net profit has decreased by 7.9% to $15 million, due to increased SG&A costs from IT projects.

  • CEO Dennis Highby pointed out that retail revenues grew by 26%. That's good news, since the retail segment is becoming an important part of the company's future growth.

(Figures in millions, except per-share data)

Income Statement Highlights

Q3 2006

Q3 2005

Change

Sales

$490.5

$429.8

14.1%

Net Profit

$15.0

$16.3

(7.9%)

EPS

$0.23

$0.25

(8%)

Diluted Shares

66

66

0.2%



Get back to basics with a look at the income statement.

Margin Checkup

Q3 2006

Q3 2005

Change*

Gross Margin

40.8%

40.7%

0.1

Operating Margin

5.5%

6.1%

(0.5)

Net Margin

3.1%

3.8%

(0.7)

*Expressed in percentage points.

Margins are the earnings engine. See how they work.

Balance Sheet Highlights

Assets

Q3 2006

Q3 2005

Change

Cash + ST Invest.

$73.3

$57.2

28.1%

Accounts Rec.

$31.3

$28.4

10.2%

Inventory

$504.4

$474.0

6.4%


Liabilities

Q3 2006

Q3 2005

Change

Accounts Payable

$226.0

$141.3

59.9%

Long-Term Debt

$298.4

$91.5

426.1%



Learn the ways of the balance sheet.

Cash Flow Highlights

YTD 2006

YTD 2005

Change

Cash From Ops.

($110.8)

($143.8)

N/A

Capital Expenditures*

($98.0)

($132.2)

N/A

Free Cash Flow

($208.8)

($276.0)

N/A

*Adjusted to account for the purchase and sale of economic development bonds.

Find out why Fools always follow the money.

Related Companies:

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  • Big 5 Sporting Goods (NASDAQ:BGFV)

Related Foolishness:

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