Build-A-Bear Reports Record FY25 Results, Increases Dividend, Issues FY26 Guidance
Summary
Build-A-Bear Workshop reported record full-year 2025 revenues and EPS, increased its quarterly dividend by 4.5%, and provided fiscal 2026 guidance projecting continued revenue growth.
Key Events
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Record Fiscal Year 2025 Performance
The company achieved record total revenues of $529.8 million, pre-tax income of $67.2 million, and diluted EPS of $3.99 for the fiscal year ended January 31, 2026, marking its fifth consecutive year of record results.
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Quarterly Dividend Increased
The board approved a 4.5% increase in the quarterly dividend, raising it to $0.23 per share, reflecting confidence in future performance and commitment to shareholder returns.
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Fiscal Year 2026 Outlook Provided
Management projects mid-single-digit total revenue growth for fiscal 2026, with pre-tax income expected to range from a mid-single-digit decline to low-single-digit growth, factoring in approximately $16 million in tariffs and related costs.
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Continued Shareholder Returns
In fiscal 2025, the company returned $39.0 million to shareholders through share repurchases and dividends. An additional $6.7 million was used to repurchase 132,230 shares since the end of Q4, with $55.0 million remaining under the current repurchase program.
Analysis
Build-A-Bear Workshop has officially filed its full-year 2025 results, confirming record revenues, pre-tax income, and diluted earnings per share. This strong performance underscores the company's consistent growth trajectory, marking its fifth consecutive year of record results. The 4.5% increase in the quarterly dividend signals management's confidence and commitment to returning capital to shareholders. While fourth-quarter profitability was impacted by tariffs and increased costs, the company's fiscal 2026 guidance projects continued mid-single-digit revenue growth, albeit with a cautious outlook on pre-tax income due to anticipated tariff impacts and longer-range investments. Investors should monitor how the company manages these cost pressures while pursuing its expansion plans, including opening at least 50 new locations.
At the time of this filing, BBW was trading at $48.16 on NYSE in the Trade & Services sector, with a market capitalization of approximately $563M. The 52-week trading range was $32.55 to $75.85. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.