Cabela's Incorporated reported total revenue for the fourth fiscal quarter of 2005 increased 16.6% to $675.4 million compared to $579.1 million for the fourth fiscal quarter of 2004. Net income for the fourth fiscal quarter of 2005 increased 10.5% to $42.5 million, or 64 cents per diluted share, compared to $38.5 million, or 58 cents per diluted share, for the fourth fiscal quarter of 2004.

Cabela's had a very strong fourth fiscal quarter of 2005 within each of its business segments compared to the fourth fiscal quarter of 2004: direct revenue increased $26.9 million, or 7.1%, to $404.9 million; total retail revenue increased 40.3% to $240.9 million with a same store sales decrease of 4.7%, which was improved over prior 2005 quarters; and financial services revenue increased 23.9% to $30.2 million.

Total revenue for fiscal 2005 increased 15.7% to a company record of $1.80 billion compared to $1.56 billion in fiscal 2004. Net income for fiscal 2005 increased 11.7% to $72.6 million compared to $65.0 million for fiscal 2004. The company reported diluted earnings per share growth of 6.8% to $1.10 on 66.3 million weighted average diluted shares for fiscal 2005 compared to $1.03 on 63.3 million weighted average diluted shares for fiscal 2004.

Each of the company's three business segments grew in fiscal 2005 compared to fiscal 2004: direct revenue increased 6.9% to $1.0 billion; retail revenue increased 24.3% to $620.2 million with a same store sales decrease of 6.3%; and financial services revenue increased 48.6% to $116.1 million. In addition, land sales in the Company's other segment increased other revenue to $25.6 million in fiscal 2005 from $8.2 million in fiscal 2004.

“We are extremely pleased with our record fourth quarter results, which represent a strong finish to another solid year,” said Dennis Highby, Cabela's President and Chief Executive Officer. “The positive momentum we experienced during the holiday season gives us a heightened degree of confidence as we head into 2006.”

“Fiscal 2005 was an incredibly productive year for Cabela's, with the opening of large-format destination stores in Fort Worth, Texas; Buda, Texas; Lehi, Utah; and Rogers, Minn.,” Highby said. “These four new stores added more than 700,000 square-feet to our current operations, increasing our total number of destination retail stores to fourteen. In 2006, we are scheduled to open five more destination stores, bringing our world-famous retail experience to our great customers in even more locations. We also are extremely proud to have achieved $1 billion in sales in our direct business, which marks a major milestone for our company and is a testament to the ongoing strength of the Cabela's brand. ” Mr. Highby concluded, “Cabela's powerful multi-channel model continues to provide us with a competitive advantage, and we are committed to building on our leadership position in the marketplace.”

CABELA'S INCORPORATED AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME
(Dollar Amounts in Thousands Except Per Share and Share Amounts)
(Unaudited)
----------------------------------------------------------------------
                         Three months ended           Year ended
                     -------------------------------------------------
                     December 31,  January 1,  December 31, January 1,
                         2005        2005        2005          2005
REVENUE:                 ----        ----        ----          ---- 
  Merchandise sales  $ 645,788    $ 549,596    $1,657,974  $1,469,720
  Financial services
   revenue              30,234      24,395        116,100      78,104
  Other revenue           (575)      5,117         25,587       8,150
                     ----------- ----------    ------------ ----------
    Total revenue      675,447     579,108      1,799,661   1,555,974
                     ----------- ----------    ------------ ----------

COST OF REVENUE:
  Cost of merchandise
   sales               388,188      333,064     1,044,028     918,206
  Cost of other
   revenue                (933)       4,251        20,294       7,459
                     ----------- ----------    ------------ ----------
    Total cost of
      revenue 
     (exclusive of
     depreciation and
        amortization)  387,255      337,315     1,064,322     925,665
                     ----------- ----------    ------------ ----------
    Gross profit       288,192      241,793       735,339     630,309

SELLING, GENERAL AND
 ADMINISTRATIVE 
 EXPENSES              219,334      186,008       620,376     533,094
                     ----------- ----------   ------------- ----------

OPERATING INCOME        68,858       55,785       114,963      97,215
                     ----------- ----------   ------------- ----------

OTHER INCOME
 (EXPENSE):
  Interest income          128          332           672         601
  Interest expense      (2,991)      (2,078)      (10,928)     (8,178)
  Other income, net      2,701        5,216        10,663      10,443
                     ----------- ----------    ------------ ----------
                          (162)       3,470           407       2,866
                     ----------- ----------    ------------ ----------
INCOME BEFORE
PROVISION FOR INCOME
TAXES                   68,696       59,255       115,370     100,081
INCOME TAX EXPENSE      26,185       20,795        42,801      35,085
                     ----------- ----------    ----------- -----------
NET INCOME           $  42,511    $  38,460    $   72,56   $   64,996
                     =========== ==========    =========== ===========

EARNINGS PER SHARE:
  Basic              $    0.66    $    0.60    $    1.12   $     1.06
                     =========== ==========    =========== ===========
  Diluted            $    0.64    $    0.58    $    1.10   $     1.03
                     =========== ==========    =========== ===========

WEIGHTED AVERAGE
 SHARES
 OUTSTANDING:
  Basic             64,747,818   64,382,845   64,668,973   61,277,352
                    ============ ==========   ============ ===========
  Diluted           66,098,866   66,437,708   66,268,374   63,277,400
                    ============ ==========   ============ ===========