Build-A-Bear Workshop (BBW) stock moved higher Thursday after the experiential retailer beat Wall Street's expectations with record revenue and raised its full-year guidance.
In the second quarter, revenue grew 11.1% to a record $124.2 million, higher than the street's expected $116 million, per Bloomberg consensus data. It delivered adjusted earnings of $0.94, more than the forecasted $0.69.
“This unprecedented start to the year is largely a result of a long-term focus on monetizing Build-A-Bear's unique position in the marketplace, multi-generational appeal and exceptional brand recognition to scale the business with innovative initiatives across three strategic pillars,” CEO and President Sharon Price John told investors on its earnings call.
The company also raised its 2025 fiscal-year guidance.
“When considering these results were achieved in a wide variety of economic challenges and geopolitical shifts, they serve as a valuable source of confidence in our team, our brand, our plans and the company's future,” Price John told investors, “With that in mind, while we understand a meaningful portion of the year remains and acknowledge the potential for some economic uncertainty ahead, we also believe it is appropriate to increase our 2025 guidance at this juncture.”
It now expects revenue to grow on a mid-to-high single-digit basis, up from the previously expected mid-single-digit increase.
It also plans to open more locations, now in the range of at least 50 to 60.
