Build-A-Bear Workshop Q4 profit surges

St. Louis -- Build-A-Bear Workshop reported $11.8 million profit for the fourth quarter, more than double the $5.4 million profit it reported in the year ago period, amid continuing signs of a turnaround. The company’s performance driven by strong sales of licensed characters, including a line of “Frozen” stuffed animals.



Revenue totaled $131.5 million for the quarter, up from $108.1 million last year.



“The fourth quarter marked a strong finish to the year for Build-A-Bear Workshop,” said Sharon Price John, CEO, Build-A-Bear Workshop. During the year, we made steady progress toward our stated long term sales productivity and profitability goals with sales growth across geographies, increased sales per square foot and expanded four-wall contribution margin.”



Total revenue for fiscal 2014 was $392.4 million, up from $379.1 million in 2013. Net income for the year was $14.4 million, compared with a loss of $2.1 million in 2013.



During the year, the company closed 15 stores and opened 16 new locations to end the year with 324 company-owned stores.



Going forward, the retailer said it plans to open additional stores in high potential destinations such as tourist locations, outlet malls and shop-in-shops, which have proven more productive than traditional mall stores.



It also expects to expand its international presence by leveraging the improving strength in its company-owned stores, with plans to enter new markets with both a redesigned franchise model and organic corporate expansion.



The retailer is also targeting increased sales by growing sales to consumers over 12 years-old with a focus on the key categories of gift-giving, affinity and collectibles. The company said it intends to leverage its e-commerce business to efficiently target these consumers.



During the year, the retailer closed 15 stores and opened 16 locations to end the year with 324 corporate-owned stores including 265 in North America and 59 in Europe. The company’s international franchisees ended the year with 71 stores.