Build-A-Bear Workshop, Inc. (NYSE: BBW), an interactive entertainment retailer, today reported results for the second quarter and twenty-six weeks ended June 29, 2013.
Second Quarter 2013 Highlights (13 weeks ended June 29, 2013):
- Consolidated net retail sales were $80.4 million while operating 31 fewer stores compared to $79.0 million in the fiscal 2012 second quarter, an increase of 2.2%, excluding the impact of foreign exchange;
- Consolidated comparable store sales increased 7.3% and included an 8.6% increase in North America and a 1.7% increase in Europe;
- Consolidated e-commerce sales rose 5.2%, excluding the impact of foreign exchange;
- Net loss was $6.2 million, or $0.38 per share, an improvement from a net loss of $7.6 million, or $0.46 per share in the fiscal 2012 second quarter; and
- Adjusted net loss was $5.4 million, or $0.33 per share, an improvement from an adjusted net loss of $7.5 million, or $0.46 per share, in the 2012 second quarter. (See Reconciliation of Net Loss to Adjusted Net Loss.)
Sharon Price John, Build-A-Bear Workshop’s Chief Executive Officer and Chief President Bear commented, “We continued to show progress in the second quarter with increased comparable store sales, growth in total sales on a lower store count and expansion in gross profit margin, as compared to last year. Our brand marketing, product and real estate initiatives led to our third consecutive quarter of positive comparable store sales in North America. This, along with a reduction in promotional activity, resulted in improved operating performance for the quarter and first half of the year.
“We are intently focused on executing our plans for the balance of this year,” stated Ms. John. “As we move forward and solidify our longer term strategies, we will leverage the strength of the Build-A-Bear Workshop brand to return to profitability and build a platform for sustainable growth. We believe we have opportunities to evolve our business model to increase the lifetime value of our guests and further improve our efficiencies.”