Build-A-Bear Workshop Inc shares declined more than 3% Thursday despite topping expectations with its fiscal third-quarter results, thanks to a downward revision in guidance.
The plush toy retailer posted earnings of $0.53 per share, narrowly topping Street expectations of $0.51 per share. Revenue was $107.6 million, up from $104.5 million a year earlier.
“The first nine months of strong performance brings us one step closer to our third consecutive year of record results, even as we experienced some unexpected softness in the business that began the final two weeks of October,” CEO Sharon Price John said in a statement.
“As we look forward to the important holiday sales period, we believe our results are a reflection of the evolution of our business model and the broadening appeal of the Build-A-Bear brand,” she added.
Looking ahead, Build-A-Bear lowered its full-year guidance. The company now expects revenue to increase between 3% and 5%, down from its previous range of 5% to 7%.
Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com
Follow him on Twitter @andrew_kessel