Build-A-Bear Workshop Achieves Record Q2 and H1 2025 Results, Raises Annual Outlook

Build-A-Bear Workshop has reported record-breaking results for the second quarter and first half of fiscal 2025, driven by double-digit growth in revenue and profit. For Q2, total revenues rose 11.1% year-over-year to $124.2 million, with net retail sales up 10.8% and commercial/franchise revenues up 15.2%. Pre-tax income surged 32.7% to $15.3 million, while diluted EPS jumped 46.9% to $0.94. The company’s gross margin improved to 57.6%, reflecting reduced promotions and selective price increases.

For the first half, total revenues reached $252.6 million (+11.5%), with pre-tax income up 31.5% to $34.9 million and diluted EPS up 44.5% to $2.11. The company expanded its global footprint to 627 locations, accelerating growth through partner-operated and franchise models.

Management raised its full-year guidance, now expecting mid-to-high single-digit revenue growth, pre-tax income of $62–70 million, and at least 60 new experience locations in 2025. CEO Sharon Price John highlighted strong direct-to-consumer performance and robust commercial segment growth, while CFO Voin Todorovic emphasized the company’s solid balance sheet and cash flow.

Build-A-Bear’s omnichannel strategy, focus on experiential retail, and disciplined pricing continue to drive profitability, offering a scalable blueprint for the toy industry amid ongoing supply chain and inflationary pressures.

Source:Business Wire