Build-A-Bear Workshop Reports Record Q1 2025 Results

Buildabear Workshop, Inc. ( (BBW) ) has released its Q1 earnings. Here is a breakdown of the information Buildabear Workshop, Inc. presented to its investors.

Build-A-Bear Workshop, Inc. is a global retailer specializing in customizable stuffed animals, known for its interactive store experiences and broad international presence. In its latest earnings report, Build-A-Bear announced record-breaking results for the first quarter of fiscal 2025, with total revenues reaching $128.4 million, marking an 11.9% increase. The company also reported a significant rise in pre-tax income and earnings per share, showcasing robust financial health.

Key financial highlights include a 30.6% increase in pre-tax income to $19.6 million and a 42.7% rise in diluted earnings per share to $1.17. The company also returned $7.1 million to shareholders through share repurchases and dividends. Build-A-Bear’s revenue growth was driven by a 10.9% increase in net retail sales and a notable 28.3% rise in commercial and international franchise revenues. The company’s strategic expansion continued with the addition of 15 new global experience locations.

Build-A-Bear’s balance sheet remains strong, with $44.3 million in cash and no borrowings under its credit facility. Inventory levels increased due to accelerated purchases, but the company is comfortable with its inventory composition. Capital expenditures for the quarter were $2.9 million, reflecting ongoing investments in growth.

Looking ahead, Build-A-Bear maintains its revenue guidance for 2025, expecting mid-single-digit growth and pre-tax income between $61 million and $67 million. The company plans to expand its global footprint with at least 50 new locations and continues to navigate challenges such as inflation and tariff rates while focusing on long-term strategic initiatives.