BUILD-A-BEAR WORKSHOP INC

Build-A-Bear Workshop, Inc.

Company profile

• Delaware corporation formed in 1997.
• Operates a global "retailtainment" brand that creates personalized stuffed animals through an interactive in-store experience, including stuffing, dressing, accessorizing, naming, and a Heart Ceremony.
• Brand platform: "The Stuff You Love."
• Also licenses and produces pre-stuffed plush, gifting, and licensed/collectible items, and develops original storytelling through Build-A-Bear Entertainment, LLC.

Business model

• Three reportable segments: Direct-to-Consumer (DTC), Commercial, and International Franchising.
• Omnichannel delivery through:
  • Corporately-managed stores (in-store experiences)
  • Partner-operated locations (wholesale model)
  • Franchise locations (international)

Store footprint and growth

• Total global locations (as of January 31, 2026): 662
  • 375 corporately-managed locations (333 in the U.S. and Canada; 42 in the U.K. and Republic of Ireland)
  • 178 partner-operated locations (wholesale model)
  • 109 international franchise locations
• Net new unit growth in fiscal 2025: 64 new experience locations (7 corporately-managed, 40 partner-operated, 17 international franchise)

Products and experiences

• Core offering: interactive “make your own” stuffed animals with stuffing, Heart Ceremony, and personalization.
• Additional offerings: pre-stuffed plush, clothing and accessories, sounds and scents, and other brand-appropriate toy items.
• Licensing and partnerships with major entertainment and cultural brands, including Sanrio, Disney, BBC, Pokémon, NBCUniversal, Warner Bros., Lucasfilm, ViacomCBS, Nintendo, and major sports leagues.
• Digital and onsite features such as Bear-Builder and an adult-focused Bear Cave microsite; e-commerce supports gifting, collectibles, and licensed products.
• Build-A-Bear Entertainment, LLC produces owned storytelling content and licensed character interpretations.

Brand and customer targeting

• Primary store audience: families with children.
• E-commerce audience: collectors and gift-givers, including tweens, teens, and adults.
• Brand and pop-culture alignment are used to expand appeal beyond the core child audience.

Sourcing and product safety

• Sourcing from multiple vendors, primarily in China and Vietnam; inventory purchases are largely denominated in U.S. dollars, while foreign subsidiaries transact in local currencies.
• Product safety and compliance programs target CPSIA, EN71, and other global standards; third-party toy safety testing and ICTI Ethical Toy Program certifications for supplier factories.
• Inventory balance as of January 31, 2026: $82.2 million (up $12.4 million versus February 1, 2025), driven by anticipated higher sales and tariff impacts.

Distribution and logistics

• North America: 350,000-square-foot distribution center in Groveport, Ohio (primary e-commerce fulfillment).
• West Coast: third-party warehouse in Southern California (one-year term, renewable).
• Europe: third-party distribution center in Selby, England (month-to-month following January 2026; terminable if performance criteria are not met).
• Asia: office space and third-party distribution center in Shanghai, China (office lease ending August 2026; distribution center lease ending April 2026).
• Transportation to stores managed by multiple third-party logistics providers.
• Store-level infrastructure also serves as distribution nodes to support omnichannel demand.

Global and currency considerations

• Merchandise sourcing concentrated in China and Vietnam with exposure to tariffs and foreign exchange.
• Inventory purchases are primarily in U.S. dollars; foreign subsidiaries transact in local currencies.
• International expansion through partner-operated and franchise models introduces regulatory, currency, and market variability risks.

People and culture

• Employees (as of January 31, 2026): approximately 1,200 full-time and 4,300 part-time across the U.S., Canada, China, the U.K., and Ireland.
• Labor developments: union organization efforts at a small number of corporately-managed U.S. stores; one location voted to unionize in December 2025.
• Focus on development, training, promotion-from-within, comprehensive benefits, and philanthropy via the Build-A-Bear Foundation.

Intellectual property

• Maintains key trademarks, copyrights, and patents with protection through 2032 and 2033 for certain patents.
• Ongoing licensing relationships and opportunities with major entertainment and cultural brands.

Financial highlights

• Inventory: $82.2 million (as of January 31, 2026), up $12.4 million from February 1, 2025.
• Inventory and store/fulfillment investments reflect continued omnichannel and international growth plans.

Geographic and segment context

• Segments: DTC (stores and company e-commerce), Commercial (wholesale/partner channels), and International Franchising (franchise locations outside the U.S. and Canada).
• Operations span the U.S., Canada, U.K., Ireland, and numerous international partners and franchise networks, with formats ranging from shop-in-shops to large tourist-destination locations.