- Build-A-Bear Workshop Inc (NYSE:BBW) reported second-quarter FY22 sales growth of 6.3% year-on-year to $100.69 million, beating the consensus of $96.67 million.
- Net retail sales rose 5% Y/Y, and e-commerce demand declined 8.4%.
- Commercial and international franchise revenues grew 41.1% Y/Y.
- Gross profit decreased 1% Y/Y to $49.9 million. The gross margin of 49.6% contracted by 360 basis points Y/Y.
- The company held $14.4 million in cash and equivalents as of July 30, 2022.
- EPS of $0.38 missed the Street view of $0.45.
- BBW Board authorized a new share repurchase program of up to $50.0 million, valid through August 31, 2025.
- Outlook: Build-A-Bear reaffirmed its FY22 sales outlook of $440 million – $460 million versus the consensus of $454.50 million.
- The company continues to expect FY22 EBITDA of $65 million – $75 million.
- Price Action: BBW shares are trading lower by 2.74% at $14.90 on the last check Thursday.
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