BUILD-A-BEAR WORKSHOP INC (BBW) Form 10-Q — Sep 10, 2026

$BBWForm 10-QFiled Sep 10, 2026, 4:24 PM ET0001437749-26-030081Original filing

Build-A-Bear Workshop's fiscal 2026 second-quarter revenue fell 7.2% year over year to $115.3 million, with diluted EPS declining to $0.70 from $0.94, as lower sales at existing stores and softer e-commerce demand outweighed contributions from new locations. First-half net income was essentially flat at $27.1 million, but that result leaned on a one-time $10.4 million cost-of-goods benefit from a $13.2 million IEEPA tariff refund; second-quarter retail gross margin fell 360 basis points to 54.0% on occupancy deleverage and heavier promotional activity.

Key figures

Eps: $0.70 diluted Q2 (vs $0.94 prior year); $2.16 diluted H1 (vs $2.11)
Revenue: $115.3 million (Q2 FY2026, 13 weeks ended Aug 1, 2026); $240.6 million (H1 FY2026)
Net Income: $8.8 million Q2 (vs $12.4 million); $27.1 million H1 (vs $27.7 million)
Total Debt: 0
Revenue Yoy: -7.2% Q2; -4.8% H1
Cash Position: $14.0 million (Aug 1, 2026), down from $26.8 million at fiscal year-end
Shares Outstanding: 12319335
H1 capex: $15.4 million; ~$25 million planned for fiscal 2026
Revolver: $40.0 million PNC facility; $39.5 million borrowing base available net of $0.5 million letter of credit; nothing drawn
H1 ebitda: $42.9 million, +2.5% YoY
Inventory: $81.1 million, -1% YoY
H1 buybacks: $17.0 million / 403,236 shares (Q2: $5.6 million / 155,118 shares)
H1 dividends: $5.8 million
Global locations: 674
Ieepa tariff refund: $13.2 million recoverable; $10.4 million COGS benefit (incl. ~$7.0 million prior-year costs); $2.8 million inventory reduction
Q2 net retail sales: $106.5 million (vs $114.6 million)
Digital sales impact: -$4.0 million H1
Purchase obligations: $126.8 million total; $28.4 million due within 12 months
Post quarter buybacks: $4.2 million / 129,194 shares (through Sep 8, 2026)
H1 operating cash flow: $26.1 million (vs $32.0 million prior year)
H1 retail gross margin: 59.4%, up 210 bps including 535 bps benefit from $7.0 million prior-year tariff refund
Q2 retail gross margin: 54.0%, down 360 bps YoY
Existing store sales impact: -$10.9 million Q2; -$18.5 million H1
Buyback authorization remaining: $40.5 million of $100 million September 2024 program
Effective tariff rate assumption: 12.5% for fiscal 2026 outlook

Price after filing

1 day: -2.1%7 days: -9.6%30 days: -9.4%

Close on the filing date to close N calendar days later (from $28.18). Historical, not a forecast.

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