Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Mar. 10, 2017 | Jul. 02, 2016 | |
Document Information [Line Items] | |||
Entity Registrant Name | BUILD A BEAR WORKSHOP INC | ||
Entity Central Index Key | 1,113,809 | ||
Trading Symbol | bbw | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Common Stock, Shares Outstanding (in shares) | 15,838,157 | ||
Entity Public Float | $ 180,451,241 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2016 | Jan. 02, 2016 |
ASSETS | ||
Cash and cash equivalents | $ 32,483,000 | $ 45,196,000 |
Inventories | 51,885,000 | 53,877,000 |
Receivables | 12,939,000 | 13,346,000 |
Prepaid expenses and other current assets | 12,737,000 | 16,312,000 |
Total current assets | 110,044,000 | 128,731,000 |
Property and equipment, net | 74,924,000 | 67,741,000 |
Deferred tax assets | 8,256,000 | 10,864,000 |
Other intangible assets, net | 1,721,000 | 1,738,000 |
Other assets, net | 4,650,000 | 4,260,000 |
Total Assets | 199,595,000 | 213,334,000 |
LIABILITIES AND STOCKHOLDERS' EQUITY | ||
Accounts payable | 27,861,000 | 42,551,000 |
Accrued expenses | 15,897,000 | 19,286,000 |
Gift cards and customer deposits | 37,070,000 | 35,391,000 |
Deferred revenue | 2,029,000 | 2,633,000 |
Total current liabilities | 82,857,000 | 99,861,000 |
Deferred rent | 15,438,000 | 12,156,000 |
Deferred franchise revenue | 565,000 | 728,000 |
Other liabilities | 1,623,000 | 1,175,000 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred stock, par value $0.01, Shares authorized: 15,000,000; No shares issued or outstanding at December 31, 2016 and January 2, 2016 | 0 | 0 |
Common stock, par value $0.01, Shares authorized: 50,000,000; Issued and outstanding: 15,856,927 and 15,795,891 shares, respectively | 159,000 | 158,000 |
Additional paid-in capital | 68,001,000 | 66,009,000 |
Accumulated other comprehensive loss | (12,727,000) | (9,971,000) |
Retained earnings | 43,679,000 | 43,218,000 |
Total stockholders' equity | 99,112,000 | 99,414,000 |
Total Liabilities and Stockholders' Equity | $ 199,595,000 | $ 213,334,000 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares | Dec. 31, 2016 | Jan. 02, 2016 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 15,000,000 | 15,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, shares issued (in shares) | 15,856,927 | 15,795,891 |
Common stock, shares outstanding (in shares) | 15,856,927 | 15,795,891 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Revenues: | |||
Net retail sales | $ 357,593 | $ 372,715 | $ 387,725 |
Commercial revenue | 4,312 | 2,783 | 2,098 |
Franchise fees | 2,299 | 2,196 | 2,531 |
Total revenues | 364,204 | 377,694 | 392,354 |
Costs and expenses: | |||
Selling, general and administrative | 157,174 | 159,612 | 163,262 |
Store preopening | 3,549 | 1,851 | 1,183 |
Interest expense (income), net | 5 | (143) | 53 |
Total costs and expenses | 358,895 | 359,796 | 376,330 |
Total income before income taxes | 5,309 | 17,898 | 16,024 |
Income tax (benefit) expense | 3,932 | (9,447) | 1,662 |
Net income | $ 1,377 | $ 27,345 | $ 14,362 |
Income per common share: | |||
Basic income per common share attributable to Build-A-Bear Workshop, Inc. stockholders (in dollars per share) | $ 0.09 | $ 1.61 | $ 0.82 |
Diluted income per common share attributable to Build-A-Bear Workshop, Inc. stockholders (in dollars per share) | $ 0.09 | $ 1.59 | $ 0.81 |
Shares used in computing common per share amounts: | |||
Basic (in shares) | 15,442,086 | 16,642,269 | 16,908,001 |
Diluted (in shares) | 15,622,273 | 16,867,356 | 17,133,811 |
Retail [Member] | |||
Costs and expenses: | |||
Cost of merchandise sold | $ 195,914 | $ 197,101 | $ 210,887 |
Commercial [Member] | |||
Costs and expenses: | |||
Cost of merchandise sold | $ 2,253 | $ 1,375 | $ 945 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Net income | $ 1,377 | $ 27,345 | $ 14,362 |
Foreign currency translation adjustment | (2,756) | (1,273) | (1,395) |
Comprehensive (loss) income | $ (1,379) | $ 26,072 | $ 12,967 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | AOCI Attributable to Parent [Member] | Retained Earnings [Member] | Total |
Balance at Dec. 28, 2013 | $ 174,000 | $ 69,094,000 | $ (7,303,000) | $ 22,425,000 | $ 84,390,000 |
Share repurchase and retirement | (3,000) | (3,361,000) | (3,364,000) | ||
Stock-based compensation | 2,051,000 | 2,051,000 | |||
Shares issued under employee stock plans | 3 | 1,578 | 1,581 | ||
Other comprehensive loss | (1,395,000) | (1,395,000) | |||
Net income | 14,362,000 | 14,362,000 | |||
Balance at Jan. 03, 2015 | 174,000 | 69,362,000 | (8,698,000) | 36,787,000 | 97,625,000 |
Share repurchase and retirement | (17,000) | (4,978,000) | (20,914,000) | (25,909,000) | |
Stock-based compensation | 2,111,000 | 2,111,000 | |||
Shares issued under employee stock plans | 1,000 | (486,000) | (485,000) | ||
Other comprehensive loss | (1,273,000) | (1,273,000) | |||
Net income | 27,345,000 | 27,345,000 | |||
Balance at Jan. 02, 2016 | 158,000 | 66,009,000 | (9,971,000) | 43,218,000 | 99,414,000 |
Share repurchase and retirement | (1,000) | (552,000) | (916,000) | (1,469,000) | |
Stock-based compensation | 3,025,000 | 3,025,000 | |||
Shares issued under employee stock plans | 2,000 | (481,000) | (479,000) | ||
Other comprehensive loss | (2,756,000) | (2,756,000) | |||
Net income | 1,377,000 | 1,377,000 | |||
Balance at Dec. 31, 2016 | $ 159,000 | $ 68,001,000 | $ (12,727,000) | $ 43,679,000 | $ 99,112,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Cash flows from operating activities: | |||
Net income before allocation of earnings to participating securities | $ 1,377 | $ 27,345 | $ 14,362 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 16,171 | 16,419 | 18,128 |
Stock-based compensation | 3,025 | 2,111 | 2,051 |
Asset impairment | 2,674 | 296 | 1,107 |
Deferred taxes | 2,263 | (8,123) | (2,043) |
Provision for doubtful accounts | 1,972 | 19 | 1,432 |
Loss on disposal of property and equipment | 403 | 282 | 120 |
Trade credit utilization | 185 | 548 | |
Change in assets and liabilities: | |||
Inventories | 643 | (2,466) | (2,323) |
Receivables | (2,207) | (2,118) | 1,411 |
Prepaid expenses and other assets | 1,184 | (2,998) | (3,745) |
Accounts payable and accrued expenses | (16,301) | 1,458 | 11,131 |
Lease related liabilities | 3,427 | (1,182) | (5,986) |
Gift cards and customer deposits | 2,091 | 1,037 | 645 |
Deferred revenue | (708) | (218) | (1,954) |
Net cash provided by operating activities | 16,014 | 32,047 | 34,884 |
Cash flows from investing activities: | |||
Purchases of property and equipment | (27,251) | (22,466) | (10,790) |
Purchases of other assets and other intangible assets | (867) | (1,922) | (100) |
Proceeds from sale or maturity of short term investments | 1,461 | 793 | |
Purchases of short term investments | (1,551) | (899) | |
Cash flow used in investing activities | (26,657) | (25,146) | (11,789) |
Cash flows from financing activities: | |||
Proceeds from the exercise of employee stock options, net of withholding tax payments | (479) | (481) | 1,581 |
Borrowings under line of credit | 5,400 | ||
Repayments under line of credit | (5,400) | ||
Purchases of Company's common stock | (1,469) | (25,909) | (3,364) |
Cash flow used in financing activities | (1,948) | (26,390) | (1,783) |
Effect of exchange rates on cash | (122) | (704) | (588) |
Net (decrease) increase in cash and cash equivalents | (12,713) | (20,193) | 20,724 |
Cash and cash equivalents, beginning of period | 45,196 | 65,389 | 44,665 |
Cash and cash equivalents, end of period | 32,483 | 45,196 | 65,389 |
Supplemental disclosure of cash flow information: | |||
Net cash paid during the period for income taxes | $ 1,002 | $ 2,175 | $ 1,024 |
Note 1 - Description of Busines
Note 1 - Description of Business and Basis of Preparation | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Business Description and Basis of Presentation [Text Block] | (1) Description of Business and Basis of Preparation Build-A-Bear Workshop, Inc. and Subsidiaries (collectively, the Company) is a specialty retailer of plush animals and related products. The Company began operations in October 1997. 346 |
Note 2 - Summary of Significant
Note 2 - Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | (2) Summary of Significant Accounting Policies A summary of the Company ’s significant accounting policies applied in the preparation of the accompanying consolidated financial statements follows: Principles of Consolidation The accompanying consolidated financial statements include the accounts of Build-A-Bear Workshop, Inc. an d its wholly-owned subsidiaries. All significant intercompany accounts are eliminated in consolidation. Fiscal Year The Company operates on a 52 53 December 31. 2016 (52 December 31, 2016), 2015 (52 January 2, 2016) 2014 (53 January 3, 2015). Cash and Cash Equivalents Cash and cash equivalents include cash and short-term highly liquid investments with an original maturity of three The majority of the Company ’s cash and cash equivalents exceed federal deposit insurance limits. The Company has not experienced any losses in such accounts and management believes that the Company is not exposed to any significant credit risk on cash and cash equivalents. Inventories Inventories are stated at the lower of cost or market, with cost determined on an average-cost basis. Inventory includes supplies of $3.1 $2.7 December 31, 2016 January 2, 2016, Receivables Receivables consist primarily of amounts due to the Company in relation to tenant wholesale and corporate product sales, franchisee royalties and product sales, certain amounts due from taxing authorities and licensing revenue. The Company assesses the collectability of all receivables on an ongoing basis by considering its historical credit loss experience, current economic conditions, and other relevant factors. Based on this analysis, the Company has established an allowance for doubtful accounts of $3.6 $3.0 December 31, 2016 January 2, 2016, Property and Equipment Property and equipment consist of leasehold improvements, furniture and fixtures, computer equipment and software, building and land and are stated at cost. Leasehold improvements are depreciated using the straight-line method over the shorter of the useful life of the assets or the life of the lease which is generally ten three seven is amortized using the straight-line method over a period of three five Other Intangible Assets Other intangible assets consist primarily of initial costs related to trademarks and other intellectual property. Trademarks and other intellectual property represent third one three Other Assets Other assets consist primarily of the non-current portion of prepaid income taxes, deferred leasing fees and deferred costs related to franchise agreements. The prepaid income taxes will amortize through income tax expense over the life of the related asset. Deferred leasing fees are initial, direct costs related to the Company’s operating leases and are amortized over the term of the related leases. Deferred franchise costs are initial costs related to the Company’s franchise agreements that are deferred and amortized over the life of the respective franchise agreement. Amortization expense related to other assets was $0.1 $0.1 $0.2 2016, 2015 2014 , respectively. Long-lived Assets Whenever facts and circumstances indicate that the carrying value of a long-lived asset may The Company performs an annual assessment of the store assets in the direct-to-consumer (DTC) segment, based on operating performance and forecasts of future performance. Total impairment charges were $2.7 $0.3 $1.1 2016, 2015 2014, See Note 4 The calculation of fair value requires multiple assumptions regarding our future operations to determine future cash flows, including but not limited to, sales volume, margin rates and discount rates. If different assumptions were used in the analysis, it is possible that the amount of the impairment charge may Deferred Rent Certain of the Company ’s operating leases contain predetermined fixed escalations of minimum rentals during the original lease terms. For these leases, the Company recognizes the related rental expense on a straight-line basis over the life of the lease and records the difference between the amounts charged to operations and amounts paid as deferred rent. The Company also receives certain lease incentives in conjunction with entering into operating leases. These lease incentives are recorded as deferred rent at the beginning of the lease term and recognized as a reduction of rent expense over the lease term. In addition, certain of the Company’s leases contain future contingent increases in rentals. Such increases in rental expense are recorded in the period that it is probable that store sales will meet or exceed the specified target that triggers contingent rental expense. Franchises The Company defers initial, one initial term of the respective franchise agreements, which extend for periods up to 25 Retail Revenue Recognition Net retail sales are net of discounts, exclude sales tax, and are recognized at the time of sale. Shipping and handling costs billed to customers are included in net retail sales. Revenues from the sale of gift cards are recognized at the time of redemption. Unredeemed gift cards are included in gift cards and customer deposits on the consolidated balance sheets. For gift cards issued prior to the establishment of Build-A-Bear Card Services LLC in December 2015, December 2015, $4.5 $0.5 2016 2015, The Company has a customer loyalty program, Build-A-Bear Rewards, whereby guests enroll in the program and receive points based on the value of the transaction and receive awards for various discounts on future purchases after achieving defined point thresholds. Historical patterns for points converting into awards and ultimate award redemption are applied to actual points and awards outstanding at the respective balance sheet date to calculate the liability and corresponding adjustment to net retail sales. In 2014, $0.5 $0.4 Management reviews these patterns and assesses the adequacy of the deferred revenue liability at the end of each fiscal quarter . Due to the estimates involved in these assessments, adjustments to the historical rates are generally made no more often than annually in order to allow time for more definite trends to emerge. Based on the assessment at the end of 2016, 2015 2014, $0.1 $1.3 $0.1 $1.2 2015 2014, Cost of Merchandise Sold Cost of merchandise sold - retail includes the cost of the merchandise, including royalties paid to licensors of third third Selling, General, and Administrative Expenses Selling, general, and administrative expenses include store payroll and related benefits, advertising, credit card fees, store supplies and store closing costs, as well as central office management payroll and related benefits, travel, information systems, accounting, insurance, legal, and public relations. It also includes depreciation and amortization of central office leasehold improvements, furniture, fixtures, and equipment, as well as amortization of trademarks and intellectual property. Store Preopening Expenses Store preopening expenses include costs incurred prior to store openings, remodels and relocations including certain store set-up, labor and hiring costs, rental charges, payroll, marketing, travel and relocation costs. They are expensed as incurred and are included in selling, general and administrative expenses. Advertising The costs of advertising and marketing programs are charged to operations in the first Advertising expense was $20.7 $25.3 $25.8 2016, 2015 2014 , respectively. Income Taxes Income taxes are accounted for using a balance sheet approach known as the asset and liability method. The asset and liability method accounts for deferred income taxes by applying the statutory tax rates in effect at the date of the consolidated balance sheets to differences between the book basis and the tax basis of assets and liabilities. Deferred taxes are reported on a jurisdictional basis. Tax positions are reviewed at least quarterly and adjusted as new information becomes available. The recoverability of deferred tax assets is evaluated by assessing the adequacy of future expected taxable income from all sources, including reversal of taxable temporary differences, forecasted operating earnings and available tax planning strategies. These estimates of future taxable income inherently require significant judgment. To the extent it is considered more likely than not that a deferred tax asset will be not recovered, a valuation allowance is established. The Company accounts for its total liability for uncertain tax positions according to the provisions of ASC 740 10 25. 7—Income I ncome Per Share Under the two asic income per share is determined by dividing net income allocated to common stockholders by the weighted average number of common shares outstanding during the period. In periods of net loss, no effect is given to the Company’s participating securities as they do not contractually participate in the losses of the Company. Diluted income per share reflects the potential dilution that could occur if options to issue common stock were exercised. In periods in which the inclusion of such instruments is anti-dilutive, the effect of such securities is not given consideration. Stock-Based Compensation The Company has share-based compensation plans covering the majority of its management groups and its Board of Directors. The Company accounts for share-based payments utilizing the fair value recognition provisions of ASC 718. 11 2016, 2015 2014 , selling, general and administrative expense includes $3.0 $2.1 $2.1 Comprehensive Income ( Los s ) Comprehensive income (loss) is comprised of net income (loss) and foreign currency translation adjustments. D eferred Compensation Plan The Company maintains a Deferred Compensation Plan for the benefit of certain management employees. The investment funds offered to the participant generally correspond to the funds offered in the Company ’s 401(k) 1). December 31, 2016, $0.1 $0.7 January 2, 2016, $0.6 Fair Value of Financial Instruments For purposes of financial reporting, management has determined that the fair value of financial instruments, including cash and cash equivalents, receivables, short term investments, accounts payable and accrued expenses, approximates book value at December 31, 2016 January 2, 2016. Use of Estimates The preparation of the consolidated financial statements requires management of the Company to make a number of estimates and assumptions relating to the reported amount of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. The assumptions used by management in future estimates could change significantly due to changes in circumstances, including, but not limited to, challenging economic conditions. Accordingly, future estimates may Sales Tax Policy The Company ’s revenues in the consolidated statement of operations are net of sales taxes. Foreign Currency Assets and liabilities of the Company ’s foreign operations with functional currencies other than the U.S. dollar are translated at the exchange rate in effect at the balance sheet date, while revenues and expenses are translated at average rates prevailing during the year. Translation adjustments are reported in accumulated other comprehensive income, a separate component of stockholders’ equity. Gains and losses resulting from foreign exchange transactions, including the impact of the re-measurement of the Company’s balance sheet, are recorded as a component of selling, general and administrative expenses. Losses in fiscal 2016, 2015 2014 were $0.3 $2.3 $1.6 R ecent Accounting Pronouncements – Adopted in the current year Effective December 31, 2016, Accounting Standards Update No. 2014 15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern December 31, 2016. R ecent Accounting Pronouncements – Pending adoption In March 2016, 2016 09, Compensation – Stock Compensation: Improvements to Employee Share-Based Payment Accounting 2016 09). 2016 09 January 1, 2017. $1.6 $0.3 $1.9 $0.6 In October 2016, 2016 16, come Taxes – Intra-Entity Transfers of Assets Other Than Inventory 2016 16). 2016 16 January 1, 2017. $1.0 $2.3 $1.3 In May 2014, 2014 09, Revenue from Contracts with Customers 2014 09), 2014 09 2014 09 2018, 2017 2016, 98% 2016. 2014 09 first 2018 In February 2016, 2016 02, Leases 2016 02), 2016 02 2016 02 2019, 2016 02 |
Note 3 - Prepaid Expenses and O
Note 3 - Prepaid Expenses and Other Current Assets | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Prepaid Expenses and Other Assets [Text Block] | ( 3 ) Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets consist of the following (in thousands): 2016 2015 Prepaid rent $ 7,191 $ 7,852 Short-term investments - 1,458 Other 5,546 7,002 Total $ 12,737 $ 16,312 |
Note 4 - Property and Equipment
Note 4 - Property and Equipment, Net | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | (4) Property and Equipment , net Property and equipment , net consist of the following (in thousands): 2016 2015 Land $ 2,261 $ 2,261 Furniture and fixtures 41,578 40,322 Computer hardware 26,960 26,277 Building 14,970 14,970 Leasehold improvements 113,573 113,981 Computer software 41,763 46,745 Construction in progress 6,152 6,871 247,257 251,427 Less accumulated depreciation 172,333 183,686 Total, net $ 74,924 $ 67,741 For 2016, 2015 2014, $15.2 $15.8 $17.6 During 2016, DTC segment. As a result of that review, it was determined that several stores would not be able to recover the carrying value of certain store assets through expected undiscounted cash flows over the remaining life of the related assets. Accordingly, the carrying value of the assets was reduced to fair value, calculated as the net present value of estimated future cash flows for each asset group, and any remaining net book value is depreciated over the remaining life of the asset. Asset impairment charges of $2.3 fourth 2016, 2015 2014. 3 820 10. may In 2015, s and lease required remodels. The Company considers a more likely than not assessment that an individual location will close or be remodeled prior to the end of its original lease term as a triggering event to review the store asset group for recoverability. As a result of these reviews, it was determined that certain stores would not be able to recover the carrying value of store assets through expected undiscounted cash flows over the shortened remaining life of the related assets. Accordingly, the carrying value of the assets was reduced to fair value, calculated as the net present value of estimated future cash flows for each asset group, and any remaining net book value is depreciated over the shortened expected life. Asset impairment charges of $0.4 $0.3 $0.4 2016, 2015 2014, 3 820 10. |
Note 5 - Other Intangible Asset
Note 5 - Other Intangible Assets | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Intangible Assets Disclosure [Text Block] | (5 ) Other Intangible Assets Other intangible assets consist of the following (in thousands): 2016 2015 Trademarks and other intellectual property $ 15,276 $ 14,429 Less accumulated amortization 13,555 12,691 Total, net $ 1,721 $ 1,738 Trademarks and intellectual property are amortized over three $0.9 $0.5 $0.3 2016, 2015 2014 , respectively. Estimated amortization expense related to other intangible assets in the subsequent five 2017 $0.9 2018 $0.7 2019 $0.1 2020 $0; 2021 $0. |
Note 6 - Accrued Expenses
Note 6 - Accrued Expenses | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Accounts Payable and Accrued Liabilities Disclosure [Text Block] | ( 6 ) Accrued Expenses Accrued expenses consist of the following (in thousands): 2016 2015 Accrued wages, bonuses and related expenses $ 5,596 $ 8,035 Sales tax payable 5,075 6,374 Accrued rent and related expenses 4,615 4,307 Current income taxes payable 611 570 Total $ 15,897 $ 19,286 |
Note 7 - Income Taxes
Note 7 - Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | ( 7 ) Income Taxes The Company ’s income before income taxes from domestic and foreign operations (which include the United Kingdom, Canada, Ireland, Denmark and China), are as follows (in thousands): 2016 2015 2014 Domestic $ 9,733 $ 13,854 $ 12,973 Foreign (4,424 ) 4,044 3,051 Total income before income taxes $ 5,309 $ 17,898 $ 16,024 The components of the provision for income taxes are as follows (in thousands): 2016 2015 2014 Current: Federal $ 1,605 $ - $ - State 237 24 304 Foreign (231 ) 1,189 3,293 Deferred: Federal 1,902 (9,697 ) - State 1,230 (1,308 ) 26 Foreign (811 ) 345 (1,961 ) Income tax expense (benefit) $ 3,932 $ (9,447 ) $ 1,662 A reconciliation between the statutory federal income tax rate and the effective income tax rate is as follows (in thousands): 2016 2015 2014 Income before income taxes $ 5,309 $ 17,898 $ 16,024 Statutory federal income tax rate 34 % 34 % 34 % Income tax expense at statutory federal rate 1,805 6,085 5,448 State income taxes, net of federal tax benefit 968 371 310 Valuation allowance 576 (15,572 ) (5,415 ) Effect of lower foreign taxes 864 (622 ) (372 ) Adjustment for unrecognized tax positions (77 ) 67 397 Other items, net (204 ) 224 1,294 Income tax expense (benefit) $ 3,932 $ (9,447 ) $ 1,662 Effective tax rate 74.1 % (52.8 )% 10.4 % In fiscal 2016, $0.6 about future earnings forecast. In fiscal 2011, January 2, 2016, $9.4 2014, $4.4 2014, $1.1 Temporary differences that gave rise to deferred tax assets and liabilities are as follows (in thousands): 2016 2015 Deferred tax assets: Deferred revenue $ 5,004 $ 5,129 Accrued rents 1,907 1,704 Net operating loss carryforwards 1,194 306 Intangible assets 1,040 1,349 Deferred compensation 1,739 1,022 Accrued compensation 620 1,545 Carryforward of tax credits 880 928 Receivable write-offs 604 1,317 Inventories 1,994 656 Other 1,209 3,306 Total gross deferred tax assets 16,191 17,262 Less: Valuation allowance 576 — Total deferred tax assets, net of valuation allowance 15,615 17,262 Deferred tax liabilities: Depreciation (3,909 ) (3,494 ) Deferred expense (3,318 ) (2,505 ) Other (132 ) (399 ) Total deferred tax liabilities (7,359 ) (6,398 ) Net deferred tax assets $ 8,256 $ 10,864 Income taxes and remittance taxes have not been recorded on approximately $ 6.3 . As of December 31, 2016, 1.0 $0.4 January 2, 2016, $0.7 $0.2 . The Company reviews its uncertain tax positions periodically and accrues interest and penalties accordingly. Accrued interest and penalties included in other liabilities in the Consolidated Balance Sheets were $0.1 $0.4 December 31, 2016, January 2, 2016, December 31, 2016, $0.3 January 2, 2016, $0.1 A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands): Balance as of January 3, 2015 $ 719 Addition to reserve — Audit settlement release — Lapse of statute — Balance as of January 2, 2016 719 Increases for prior year tax positions 248 Decrease for prior year tax positions (25 ) Increases for current year tax positions 26 Audit settlement release (7 ) Lapse of statute of limitations — Balance as of December 31, 2016 $ 961 Management estimates it is reasonably possible that the amount of unrecognized tax benefits c ould decrease by as much as $0.9 twelve The following tax years remain open in the Company ’s major taxing jurisdictions as of December 31, 2016: United States (Federal) 2013 2016 United Kingdom 2009 2016 |
Note 8 - Line of Credit
Note 8 - Line of Credit | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Long-term Debt [Text Block] | ( 8 ) Line of Credit As of December 31, 2016, $35 65% December 31, 2017 may 1.8%. 2016, $100,000 2016. December 31, 2016: $35.0 |
Note 9 - Commitments and Contin
Note 9 - Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | ( 9 ) Commitments and Contingencies (a) Operating Leases The Company leases its retail stores and corporate offices under agreements which expire at various dates through 2030. The majority of leases contain provisions for base rent plus contingent payments based on defined sales as well as scheduled escalations. Total office and retail store base rent expense was $44.5 $45.3 $46.7 $1.1 $1.2 $1.8 2016, 2015 2014 , respectively. Future minimum lease payments at December 31, 2016, 2017 $ 39,228 2018 31,338 2019 27,481 2020 25,930 2021 24,473 Subsequent to 2021 71,599 Total $ 220,049 (b) Litigation In the normal course of business, the Company is subject to certain claims or lawsuits. Except as noted below, management is not aware of any claims or lawsuits that may In the normal course of business, the Company is subject to regular examination by various taxing authorities for years not closed by the statute of limitation periods. If one loss contingencies when it believes that it is both probable that a liability has been incurred and that it can reasonably estimate the amount of the loss. Gain contingencies are recorded when the underlying uncertainty has been settled. Assessments made by the United Kingdom customs authority in 2012 2015 fourth 2016, 2016 fourth December 31, 2016, $3.0 $2.4 $0.6 |
Note 10 - Net Income Per Share
Note 10 - Net Income Per Share | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | (1 0 ) Net Income Per Share The Company uses the two ’s participating securities as they do not contractually participate in the losses of the Company. The following table sets forth the computation of basic and diluted earnings per share (in thousands, except share and per share data): 2016 2015 2014 NUMERATOR: Net income before allocation of earnings to p articipating securities $ 1,377 $ 27,345 $ 14,362 Less: Earnings allocated to participating securities 29 520 439 Net income $ 1,348 $ 26,825 $ 13,923 DENOMINATOR: Weighted average number of common shares o utstanding - basic 15,442,086 16,642,269 16,908,001 Dilutive effect of share-based awards: 180,187 225,087 225,810 Weighted average number of common shares outstanding - dilutive 15,622,273 16,867,356 17,133,811 Basic income per common share attributable to Build-A-Bear Workshop, Inc. stockholders $ 0.09 $ 1.61 $ 0.82 Diluted income per common share attributable to Build-A-Bear Workshop, Inc. stockholders $ 0.09 $ 1.59 $ 0.81 In calculating diluted earnings per share for fiscal 2016, 2015 2014 , options to purchase 264,717; 65,040; 44,144; 260 10. |
Note 11 - Stock Incentive Plans
Note 11 - Stock Incentive Plans | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | (1 1 ) Stock Incentive Plans In 2003, 2002 (the 2002 2004, 2004 2004 2009 2014 Under the Plans, as amended and approved by the Company’s stockholders in 2014, 1,475,000 2002 2004 may may 10 100% one four (a) Stock Options The following table is a summary of the balance and activity for the Plans related to stock options for the periods presented: Weighted Aggregate Weighted Average Intrinsic Number of Average Remaining Value Shares Exercise Price Contractual Term (in thousands) Outstanding, December 28, 2013 1,065,012 $ 8.72 Granted 104,064 9.59 Exercised 351,856 6.64 Forfeited 96,019 21.54 Canceled or expired 6,750 8.78 Outstanding, January 3, 2015 714,451 8.14 Granted 71,517 20.58 Exercised 150,409 6.07 Forfeited 19,003 12.15 Canceled or expired 41,705 32.95 Outstanding, January 2, 2016 574,851 8.30 Granted 213,156 13.68 Exercised 30,223 5.91 Forfeited — — Canceled or expired — — Outstanding, December 31, 2016 757,784 $ 9.91 6.5 $ 3,369 Options Exercisable As Of: December 31, 2016 427,527 $ 7.32 5.0 $ 2,902 The expense recorded related to options granted during fiscal 2016, 2015 2014 was determined using the Black-Scholes option pricing model and the provisions of Staff Accounting Bulletin 107 110, 2016, 2015 2014 were: 2016 2015 2014 Dividend yield 0% 0% 0% Historical volatility 52% - 55% 51% - 58% 65% Risk-free rate 1.4% - 1.6% 1.5% - 1.8% 1.7 - 2.1% Expected life (years) 6 6 6 - 6.25 Weighted average grant date fair value $7.13 $11.20 $5.80 The total grant date fair value of options exercised in fiscal 2016, 2015 2014 was approximately $0.1 $0.6 $0.6 2016, 2015 2014 was approximately $0.2 $2.1 $1.6 Shares available for future option, non-vested stock and restricted stock grants were 545,799 1,271,884 2016 2015, (b) Restricted Stock Recipients of time-based restricted stock awards have the right to vote and receive dividends as to all unvested shares. The following table is a summary of the balance and activity for the Plans related to unvested time-based restricted stock granted as compensation to employees and directors for the periods presented: Restricted Stock Performance Shares Weighted Weighted Average Average Number of Grant Date Number of Grant Date Shares Fair Value Shares Fair Value Outstanding, December 28, 2013 720,198 $ 5.91 — $ - Granted 202,274 10.31 — — Vested 345,577 6.25 — — Forfeited 157,221 6.21 — — Outstanding, January 3, 2015 419,674 7.64 — — Granted 107,004 19.59 86,222 20.71 Vested 205,137 7.84 — — Forfeited 44,988 8.89 2,160 20.80 Canceled — — — — Outstanding, January 2, 2016 276,553 11.93 84,062 20.70 Granted 203,613 13.58 176,611 13.68 Vested 152,548 11.22 7,039 20.56 Forfeited 11,502 13.45 — — Canceled — — 12,493 20.56 Outstanding, December 31, 2016 316,116 $ 13.30 241,141 $ 15.39 In 2016, 2016. 50% 200% 15,366 $13.57 2016, three 2016, 2017 2018. three 50% 200% 161,245 $13.69 In 2015, ome objectives for fiscal 2015. 50% 200% 36,222 $20.58 2015, 22,458. three 2015, 2016 2017. three 50% 200% 50,000 $20.80 The vesting date fair value of shares that vested in fiscal 2016, 2015 2014 was $1.9 $4.0 $3.7 $4.4 December 31, 2016 1.2 |
Note 12 - Stockholders' Equity
Note 12 - Stockholders' Equity | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | (1 2 ) Stockholders’ Equity The following table summarizes the changes in outstanding shares of common stock for fiscal 20 14, 2015 2016: Common Stock Shares as of December 28, 2013 17,386,920 Shares issued under employee stock plans, net of shares withheld in lieu of tax withholding 300,705 Repurchase of shares (326,990 ) Shares as of January 3, 2015 17,360,635 Shares issued under employee stock plans, net of shares withheld in lieu of tax withholding 141,827 Repurchase of shares (1,706,571 ) Shares as of January 2, 2016 15,795,891 Shares issued under employee stock plans, net of shares withheld in lieu of tax withholding 193,538 Repurchase of shares (132,502 ) Shares as of December 31, 2016 15,856,927 |
Note 13 - Related-party Transac
Note 13 - Related-party Transactions | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Related Party Transactions Disclosure [Text Block] | (1 3 ) Related-Party Transactions The Company bought fixtures for new stores and furniture for the corporate offices from a related party. The total payments to this related party for fixt ures and furniture amounted to $0.2 $0.9 $0.7 2016, 2015 2014, December 31, 2016 January 2, 2016 The Company collected $0.5 $0.5 $1.2 2016, 2015 2014, December 31, 2016 January 2, 2016 |
Note 14 - Major Vendors
Note 14 - Major Vendors | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Concentration Risk Disclosure [Text Block] | (1 4 ) Major Vendors Four vendors, each of whose primary manufacturing facilities are located in Asia, accounted for approximately 73% 85% 2016 2015, 75% 2014. |
Note 15 - Segment Information
Note 15 - Segment Information | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | (1 5 ) Segment Information The Company ’s operations are conducted through three third three Following is a summary of the financial information for the Company’s reporting segments (in thousands): Direct-to International Consumer Commercial Franchising Total Fifty-two weeks ended December 31, 2016 Net sales to external customers $ 357,593 $ 4,312 $ 2,299 $ 364,204 Net income before income taxes 2,760 1,813 736 5,309 Capital expenditures 28,083 - 35 28,118 Depreciation and amortization 16,086 2 83 16,171 Fifty-two weeks ended January 2, 2016 Net sales to external customers $ 372,715 $ 2,783 $ 2,196 $ 377,694 Net income before income taxes 16,053 977 868 17,898 Capital expenditures 24,307 7 74 24,388 Depreciation and amortization 16,284 1 134 16,419 Fifty-three weeks ended January 3, 2015 Net sales to external customers $ 387,725 $ 2,098 $ 2,531 $ 392,354 Net income (loss) before income taxes 15,791 687 (454 ) 16,024 Capital expenditures 10,851 - 39 10,890 Depreciation and amortization 17,981 - 147 18,128 Total Assets as of: December 31, 2106 $ 190,236 $ 6,143 $ 3,216 $ 199,595 January 2, 2016 $ 206,878 $ 4,760 $ 1,696 $ 213,334 The Company ’s reportable segments are primarily determined by the types of products and services that they offer. Each reportable segment may North America (1) Europe (2) Other (3) Total Fifty-two weeks ended December 31, 2016 Net sales to external customers $ 296,152 $ 66,140 $ 1,912 $ 364,204 Property and equipment, net 66,154 8,733 37 74,924 Fifty-two weeks ended January 2, 2016 Net sales to external customers $ 297,554 $ 78,788 $ 1,352 $ 377,694 Property and equipment, net 61,211 6,459 71 67,741 Fifty-three weeks ended January 3, 2015 Net sales to external customers $ 308,939 $ 81,848 $ 1,567 $ 392,354 Property and equipment, net 56,400 6,366 - 62,766 For purposes of this table only: (1) North America includes the United States, Canada, Puerto Rico and franchise business in Mexico (2) Europe includes the United Kingdom, Ireland, Denmark and franchise businesses in Europe (3) Other includes franchise businesses outside of North America and Europe and, beginning in 2016, |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Schedule of Valuation and Qualifying Accounts Disclosure [Text Block] | Schedule II – Valuation an d Qualifying Accounts Beginning Balance Charged to cost and expenses Deductions (1) (2) Ending Balance Deferred Tax Asset Valuation Allowance 2016 $ - $ 576 $ - $ 576 2015 15,572 368 (15,940 ) - 2014 20,987 - (5,415 ) 15,572 Receivables Allowance for Doubtful Accounts 2016 $ 3,044 $ 1,972 $ (1,431 ) $ 3,585 2015 3,248 19 (223 ) 3,044 2014 1,889 1,432 (73 ) 3,248 (1) versals of previously established allowances (2) |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | Principles of Consolidation The accompanying consolidated financial statements include the accounts of Build-A-Bear Workshop, Inc. an d its wholly-owned subsidiaries. All significant intercompany accounts are eliminated in consolidation. |
Fiscal Period, Policy [Policy Text Block] | Fiscal Year The Company operates on a 52 53 December 31. 2016 (52 December 31, 2016), 2015 (52 January 2, 2016) 2014 (53 January 3, 2015). |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents Cash and cash equivalents include cash and short-term highly liquid investments with an original maturity of three The majority of the Company ’s cash and cash equivalents exceed federal deposit insurance limits. The Company has not experienced any losses in such accounts and management believes that the Company is not exposed to any significant credit risk on cash and cash equivalents. |
Inventory, Policy [Policy Text Block] | Inventories Inventories are stated at the lower of cost or market, with cost determined on an average-cost basis. Inventory includes supplies of $3.1 $2.7 December 31, 2016 January 2, 2016, |
Receivables, Policy [Policy Text Block] | Receivables Receivables consist primarily of amounts due to the Company in relation to tenant wholesale and corporate product sales, franchisee royalties and product sales, certain amounts due from taxing authorities and licensing revenue. The Company assesses the collectability of all receivables on an ongoing basis by considering its historical credit loss experience, current economic conditions, and other relevant factors. Based on this analysis, the Company has established an allowance for doubtful accounts of $3.6 $3.0 December 31, 2016 January 2, 2016, |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment Property and equipment consist of leasehold improvements, furniture and fixtures, computer equipment and software, building and land and are stated at cost. Leasehold improvements are depreciated using the straight-line method over the shorter of the useful life of the assets or the life of the lease which is generally ten three seven is amortized using the straight-line method over a period of three five |
Goodwill and Intangible Assets, Intangible Assets, Policy [Policy Text Block] | Other Intangible Assets Other intangible assets consist primarily of initial costs related to trademarks and other intellectual property. Trademarks and other intellectual property represent third one three |
Other Assets [Policy Text Block] | Other Assets Other assets consist primarily of the non-current portion of prepaid income taxes, deferred leasing fees and deferred costs related to franchise agreements. The prepaid income taxes will amortize through income tax expense over the life of the related asset. Deferred leasing fees are initial, direct costs related to the Company’s operating leases and are amortized over the term of the related leases. Deferred franchise costs are initial costs related to the Company’s franchise agreements that are deferred and amortized over the life of the respective franchise agreement. Amortization expense related to other assets was $0.1 $0.1 $0.2 2016, 2015 2014 , respectively. |
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block] | Long-lived Assets Whenever facts and circumstances indicate that the carrying value of a long-lived asset may The Company performs an annual assessment of the store assets in the direct-to-consumer (DTC) segment, based on operating performance and forecasts of future performance. Total impairment charges were $2.7 $0.3 $1.1 2016, 2015 2014, See Note 4 The calculation of fair value requires multiple assumptions regarding our future operations to determine future cash flows, including but not limited to, sales volume, margin rates and discount rates. If different assumptions were used in the analysis, it is possible that the amount of the impairment charge may |
Lease, Policy [Policy Text Block] | Deferred Rent Certain of the Company ’s operating leases contain predetermined fixed escalations of minimum rentals during the original lease terms. For these leases, the Company recognizes the related rental expense on a straight-line basis over the life of the lease and records the difference between the amounts charged to operations and amounts paid as deferred rent. The Company also receives certain lease incentives in conjunction with entering into operating leases. These lease incentives are recorded as deferred rent at the beginning of the lease term and recognized as a reduction of rent expense over the lease term. In addition, certain of the Company’s leases contain future contingent increases in rentals. Such increases in rental expense are recorded in the period that it is probable that store sales will meet or exceed the specified target that triggers contingent rental expense. |
Revenue Recognition, Services, Franchise Fees [Policy Text Block] | Franchises The Company defers initial, one initial term of the respective franchise agreements, which extend for periods up to 25 |
Revenue Recognition, Policy [Policy Text Block] | Retail Revenue Recognition Net retail sales are net of discounts, exclude sales tax, and are recognized at the time of sale. Shipping and handling costs billed to customers are included in net retail sales. Revenues from the sale of gift cards are recognized at the time of redemption. Unredeemed gift cards are included in gift cards and customer deposits on the consolidated balance sheets. For gift cards issued prior to the establishment of Build-A-Bear Card Services LLC in December 2015, December 2015, $4.5 $0.5 2016 2015, The Company has a customer loyalty program, Build-A-Bear Rewards, whereby guests enroll in the program and receive points based on the value of the transaction and receive awards for various discounts on future purchases after achieving defined point thresholds. Historical patterns for points converting into awards and ultimate award redemption are applied to actual points and awards outstanding at the respective balance sheet date to calculate the liability and corresponding adjustment to net retail sales. In 2014, $0.5 $0.4 Management reviews these patterns and assesses the adequacy of the deferred revenue liability at the end of each fiscal quarter . Due to the estimates involved in these assessments, adjustments to the historical rates are generally made no more often than annually in order to allow time for more definite trends to emerge. Based on the assessment at the end of 2016, 2015 2014, $0.1 $1.3 $0.1 $1.2 2015 2014, |
Cost of Sales, Policy [Policy Text Block] | Cost of Merchandise Sold Cost of merchandise sold - retail includes the cost of the merchandise, including royalties paid to licensors of third third |
Selling, General and Administrative Expenses, Policy [Policy Text Block] | Selling, General, and Administrative Expenses Selling, general, and administrative expenses include store payroll and related benefits, advertising, credit card fees, store supplies and store closing costs, as well as central office management payroll and related benefits, travel, information systems, accounting, insurance, legal, and public relations. It also includes depreciation and amortization of central office leasehold improvements, furniture, fixtures, and equipment, as well as amortization of trademarks and intellectual property. |
Start-up Activities, Cost Policy [Policy Text Block] | Store Preopening Expenses Store preopening expenses include costs incurred prior to store openings, remodels and relocations including certain store set-up, labor and hiring costs, rental charges, payroll, marketing, travel and relocation costs. They are expensed as incurred and are included in selling, general and administrative expenses. |
Advertising Costs, Policy [Policy Text Block] | Advertising The costs of advertising and marketing programs are charged to operations in the first Advertising expense was $20.7 $25.3 $25.8 2016, 2015 2014 , respectively. |
Income Tax, Policy [Policy Text Block] | Income Taxes Income taxes are accounted for using a balance sheet approach known as the asset and liability method. The asset and liability method accounts for deferred income taxes by applying the statutory tax rates in effect at the date of the consolidated balance sheets to differences between the book basis and the tax basis of assets and liabilities. Deferred taxes are reported on a jurisdictional basis. Tax positions are reviewed at least quarterly and adjusted as new information becomes available. The recoverability of deferred tax assets is evaluated by assessing the adequacy of future expected taxable income from all sources, including reversal of taxable temporary differences, forecasted operating earnings and available tax planning strategies. These estimates of future taxable income inherently require significant judgment. To the extent it is considered more likely than not that a deferred tax asset will be not recovered, a valuation allowance is established. The Company accounts for its total liability for uncertain tax positions according to the provisions of ASC 740 10 25. 7—Income |
Earnings Per Share, Policy [Policy Text Block] | I ncome Per Share Under the two asic income per share is determined by dividing net income allocated to common stockholders by the weighted average number of common shares outstanding during the period. In periods of net loss, no effect is given to the Company’s participating securities as they do not contractually participate in the losses of the Company. Diluted income per share reflects the potential dilution that could occur if options to issue common stock were exercised. In periods in which the inclusion of such instruments is anti-dilutive, the effect of such securities is not given consideration. |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Stock-Based Compensation The Company has share-based compensation plans covering the majority of its management groups and its Board of Directors. The Company accounts for share-based payments utilizing the fair value recognition provisions of ASC 718. 11 2016, 2015 2014 , selling, general and administrative expense includes $3.0 $2.1 $2.1 |
Comprehensive Income, Policy [Policy Text Block] | Comprehensive Income ( Los s ) Comprehensive income (loss) is comprised of net income (loss) and foreign currency translation adjustments. |
Deferred Charges, Policy [Policy Text Block] | D eferred Compensation Plan The Company maintains a Deferred Compensation Plan for the benefit of certain management employees. The investment funds offered to the participant generally correspond to the funds offered in the Company ’s 401(k) 1). December 31, 2016, $0.1 $0.7 January 2, 2016, $0.6 |
Fair Value of Financial Instruments, Policy [Policy Text Block] | Fair Value of Financial Instruments For purposes of financial reporting, management has determined that the fair value of financial instruments, including cash and cash equivalents, receivables, short term investments, accounts payable and accrued expenses, approximates book value at December 31, 2016 January 2, 2016. |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of the consolidated financial statements requires management of the Company to make a number of estimates and assumptions relating to the reported amount of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. The assumptions used by management in future estimates could change significantly due to changes in circumstances, including, but not limited to, challenging economic conditions. Accordingly, future estimates may |
Sales Tax Policy [Policy Text Block] | Sales Tax Policy The Company ’s revenues in the consolidated statement of operations are net of sales taxes. |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | Foreign Currency Assets and liabilities of the Company ’s foreign operations with functional currencies other than the U.S. dollar are translated at the exchange rate in effect at the balance sheet date, while revenues and expenses are translated at average rates prevailing during the year. Translation adjustments are reported in accumulated other comprehensive income, a separate component of stockholders’ equity. Gains and losses resulting from foreign exchange transactions, including the impact of the re-measurement of the Company’s balance sheet, are recorded as a component of selling, general and administrative expenses. Losses in fiscal 2016, 2015 2014 were $0.3 $2.3 $1.6 |
New Accounting Pronouncements, Policy [Policy Text Block] | R ecent Accounting Pronouncements – Adopted in the current year Effective December 31, 2016, Accounting Standards Update No. 2014 15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern December 31, 2016. R ecent Accounting Pronouncements – Pending adoption In March 2016, 2016 09, Compensation – Stock Compensation: Improvements to Employee Share-Based Payment Accounting 2016 09). 2016 09 January 1, 2017. $1.6 $0.3 $1.9 $0.6 In October 2016, 2016 16, come Taxes – Intra-Entity Transfers of Assets Other Than Inventory 2016 16). 2016 16 January 1, 2017. $1.0 $2.3 $1.3 In May 2014, 2014 09, Revenue from Contracts with Customers 2014 09), 2014 09 2014 09 2018, 2017 2016, 98% 2016. 2014 09 first 2018 In February 2016, 2016 02, Leases 2016 02), 2016 02 2016 02 2019, 2016 02 |
Note 3 - Prepaid Expenses and25
Note 3 - Prepaid Expenses and Other Current Assets (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Table Text Block] | 2016 2015 Prepaid rent $ 7,191 $ 7,852 Short-term investments - 1,458 Other 5,546 7,002 Total $ 12,737 $ 16,312 |
Note 4 - Property and Equipme26
Note 4 - Property and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | 2016 2015 Land $ 2,261 $ 2,261 Furniture and fixtures 41,578 40,322 Computer hardware 26,960 26,277 Building 14,970 14,970 Leasehold improvements 113,573 113,981 Computer software 41,763 46,745 Construction in progress 6,152 6,871 247,257 251,427 Less accumulated depreciation 172,333 183,686 Total, net $ 74,924 $ 67,741 |
Note 5 - Other Intangible Ass27
Note 5 - Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | 2016 2015 Trademarks and other intellectual property $ 15,276 $ 14,429 Less accumulated amortization 13,555 12,691 Total, net $ 1,721 $ 1,738 |
Note 6 - Accrued Expenses (Tabl
Note 6 - Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Accrued Liabilities [Table Text Block] | 2016 2015 Accrued wages, bonuses and related expenses $ 5,596 $ 8,035 Sales tax payable 5,075 6,374 Accrued rent and related expenses 4,615 4,307 Current income taxes payable 611 570 Total $ 15,897 $ 19,286 |
Note 7 - Income Taxes (Tables)
Note 7 - Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] | 2016 2015 2014 Domestic $ 9,733 $ 13,854 $ 12,973 Foreign (4,424 ) 4,044 3,051 Total income before income taxes $ 5,309 $ 17,898 $ 16,024 |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | 2016 2015 2014 Current: Federal $ 1,605 $ - $ - State 237 24 304 Foreign (231 ) 1,189 3,293 Deferred: Federal 1,902 (9,697 ) - State 1,230 (1,308 ) 26 Foreign (811 ) 345 (1,961 ) Income tax expense (benefit) $ 3,932 $ (9,447 ) $ 1,662 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | 2016 2015 2014 Income before income taxes $ 5,309 $ 17,898 $ 16,024 Statutory federal income tax rate 34 % 34 % 34 % Income tax expense at statutory federal rate 1,805 6,085 5,448 State income taxes, net of federal tax benefit 968 371 310 Valuation allowance 576 (15,572 ) (5,415 ) Effect of lower foreign taxes 864 (622 ) (372 ) Adjustment for unrecognized tax positions (77 ) 67 397 Other items, net (204 ) 224 1,294 Income tax expense (benefit) $ 3,932 $ (9,447 ) $ 1,662 Effective tax rate 74.1 % (52.8 )% 10.4 % |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | 2016 2015 Deferred tax assets: Deferred revenue $ 5,004 $ 5,129 Accrued rents 1,907 1,704 Net operating loss carryforwards 1,194 306 Intangible assets 1,040 1,349 Deferred compensation 1,739 1,022 Accrued compensation 620 1,545 Carryforward of tax credits 880 928 Receivable write-offs 604 1,317 Inventories 1,994 656 Other 1,209 3,306 Total gross deferred tax assets 16,191 17,262 Less: Valuation allowance 576 — Total deferred tax assets, net of valuation allowance 15,615 17,262 Deferred tax liabilities: Depreciation (3,909 ) (3,494 ) Deferred expense (3,318 ) (2,505 ) Other (132 ) (399 ) Total deferred tax liabilities (7,359 ) (6,398 ) Net deferred tax assets $ 8,256 $ 10,864 |
Schedule of Unrecognized Tax Benefits Roll Forward [Table Text Block] | Balance as of January 3, 2015 $ 719 Addition to reserve — Audit settlement release — Lapse of statute — Balance as of January 2, 2016 719 Increases for prior year tax positions 248 Decrease for prior year tax positions (25 ) Increases for current year tax positions 26 Audit settlement release (7 ) Lapse of statute of limitations — Balance as of December 31, 2016 $ 961 |
Note 9 - Commitments and Cont30
Note 9 - Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | 2017 $ 39,228 2018 31,338 2019 27,481 2020 25,930 2021 24,473 Subsequent to 2021 71,599 Total $ 220,049 |
Note 10 - Net Income Per Share
Note 10 - Net Income Per Share (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | 2016 2015 2014 NUMERATOR: Net income before allocation of earnings to p articipating securities $ 1,377 $ 27,345 $ 14,362 Less: Earnings allocated to participating securities 29 520 439 Net income $ 1,348 $ 26,825 $ 13,923 DENOMINATOR: Weighted average number of common shares o utstanding - basic 15,442,086 16,642,269 16,908,001 Dilutive effect of share-based awards: 180,187 225,087 225,810 Weighted average number of common shares outstanding - dilutive 15,622,273 16,867,356 17,133,811 Basic income per common share attributable to Build-A-Bear Workshop, Inc. stockholders $ 0.09 $ 1.61 $ 0.82 Diluted income per common share attributable to Build-A-Bear Workshop, Inc. stockholders $ 0.09 $ 1.59 $ 0.81 |
Note 11 - Stock Incentive Pla32
Note 11 - Stock Incentive Plans (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | Weighted Aggregate Weighted Average Intrinsic Number of Average Remaining Value Shares Exercise Price Contractual Term (in thousands) Outstanding, December 28, 2013 1,065,012 $ 8.72 Granted 104,064 9.59 Exercised 351,856 6.64 Forfeited 96,019 21.54 Canceled or expired 6,750 8.78 Outstanding, January 3, 2015 714,451 8.14 Granted 71,517 20.58 Exercised 150,409 6.07 Forfeited 19,003 12.15 Canceled or expired 41,705 32.95 Outstanding, January 2, 2016 574,851 8.30 Granted 213,156 13.68 Exercised 30,223 5.91 Forfeited — — Canceled or expired — — Outstanding, December 31, 2016 757,784 $ 9.91 6.5 $ 3,369 Options Exercisable As Of: December 31, 2016 427,527 $ 7.32 5.0 $ 2,902 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | 2016 2015 2014 Dividend yield 0% 0% 0% Historical volatility 52% - 55% 51% - 58% 65% Risk-free rate 1.4% - 1.6% 1.5% - 1.8% 1.7 - 2.1% Expected life (years) 6 6 6 - 6.25 Weighted average grant date fair value $7.13 $11.20 $5.80 |
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity [Table Text Block] | Restricted Stock Performance Shares Weighted Weighted Average Average Number of Grant Date Number of Grant Date Shares Fair Value Shares Fair Value Outstanding, December 28, 2013 720,198 $ 5.91 — $ - Granted 202,274 10.31 — — Vested 345,577 6.25 — — Forfeited 157,221 6.21 — — Outstanding, January 3, 2015 419,674 7.64 — — Granted 107,004 19.59 86,222 20.71 Vested 205,137 7.84 — — Forfeited 44,988 8.89 2,160 20.80 Canceled — — — — Outstanding, January 2, 2016 276,553 11.93 84,062 20.70 Granted 203,613 13.58 176,611 13.68 Vested 152,548 11.22 7,039 20.56 Forfeited 11,502 13.45 — — Canceled — — 12,493 20.56 Outstanding, December 31, 2016 316,116 $ 13.30 241,141 $ 15.39 |
Note 12 - Stockholders' Equity
Note 12 - Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Common Stock Outstanding Roll Forward [Table Text Block] | Common Stock Shares as of December 28, 2013 17,386,920 Shares issued under employee stock plans, net of shares withheld in lieu of tax withholding 300,705 Repurchase of shares (326,990 ) Shares as of January 3, 2015 17,360,635 Shares issued under employee stock plans, net of shares withheld in lieu of tax withholding 141,827 Repurchase of shares (1,706,571 ) Shares as of January 2, 2016 15,795,891 Shares issued under employee stock plans, net of shares withheld in lieu of tax withholding 193,538 Repurchase of shares (132,502 ) Shares as of December 31, 2016 15,856,927 |
Note 15 - Segment Information (
Note 15 - Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Direct-to International Consumer Commercial Franchising Total Fifty-two weeks ended December 31, 2016 Net sales to external customers $ 357,593 $ 4,312 $ 2,299 $ 364,204 Net income before income taxes 2,760 1,813 736 5,309 Capital expenditures 28,083 - 35 28,118 Depreciation and amortization 16,086 2 83 16,171 Fifty-two weeks ended January 2, 2016 Net sales to external customers $ 372,715 $ 2,783 $ 2,196 $ 377,694 Net income before income taxes 16,053 977 868 17,898 Capital expenditures 24,307 7 74 24,388 Depreciation and amortization 16,284 1 134 16,419 Fifty-three weeks ended January 3, 2015 Net sales to external customers $ 387,725 $ 2,098 $ 2,531 $ 392,354 Net income (loss) before income taxes 15,791 687 (454 ) 16,024 Capital expenditures 10,851 - 39 10,890 Depreciation and amortization 17,981 - 147 18,128 Total Assets as of: December 31, 2106 $ 190,236 $ 6,143 $ 3,216 $ 199,595 January 2, 2016 $ 206,878 $ 4,760 $ 1,696 $ 213,334 |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block] | North America (1) Europe (2) Other (3) Total Fifty-two weeks ended December 31, 2016 Net sales to external customers $ 296,152 $ 66,140 $ 1,912 $ 364,204 Property and equipment, net 66,154 8,733 37 74,924 Fifty-two weeks ended January 2, 2016 Net sales to external customers $ 297,554 $ 78,788 $ 1,352 $ 377,694 Property and equipment, net 61,211 6,459 71 67,741 Fifty-three weeks ended January 3, 2015 Net sales to external customers $ 308,939 $ 81,848 $ 1,567 $ 392,354 Property and equipment, net 56,400 6,366 - 62,766 |
Schedule II - Valuation and Q35
Schedule II - Valuation and Qualifying Accounts (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Valuation Allowances and Reserves [Table Text Block] | Beginning Balance Charged to cost and expenses Deductions (1) (2) Ending Balance Deferred Tax Asset Valuation Allowance 2016 $ - $ 576 $ - $ 576 2015 15,572 368 (15,940 ) - 2014 20,987 - (5,415 ) 15,572 Receivables Allowance for Doubtful Accounts 2016 $ 3,044 $ 1,972 $ (1,431 ) $ 3,585 2015 3,248 19 (223 ) 3,044 2014 1,889 1,432 (73 ) 3,248 |
Note 1 - Description of Busin36
Note 1 - Description of Business and Basis of Preparation (Details Textual) | Dec. 31, 2016 |
Number of Stores | 346 |
Note 2 - Summary of Significa37
Note 2 - Summary of Significant Accounting Policies (Details Textual) - USD ($) $ in Thousands | Jan. 01, 2017 | Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 |
Inventory, Supplies, Net of Reserves | $ 3,100 | $ 2,700 | ||
Allowance for Doubtful Accounts Receivable, Current | 3,600 | 3,000 | ||
Amortization of Deferred Charges | 100 | 100 | $ 200 | |
Asset Impairment Charges | $ 2,674 | 296 | 1,107 | |
Franchise Extension Period | 25 years | |||
Revenue Recognition, Gift Cards, Breakage | $ 4,500 | 500 | ||
Deferred Revenue, Period Increase (Decrease) | 100 | 1,300 | ||
Net Income (Loss) Attributable to Parent | 1,377 | 27,345 | 14,362 | |
Advertising Expense | 20,700 | 25,300 | 25,800 | |
Foreign Currency Transaction Gain (Loss), before Tax | 300 | 2,300 | 1,600 | |
Subsequent Event [Member] | Increase Deferred Tax Assets [Member] | ||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ 1,000 | |||
Subsequent Event [Member] | Decrease Other Assets [Member] | ||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | 2,300 | |||
Subsequent Event [Member] | Decrease Retained Earnings [Member] | ||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | 1,300 | |||
Increase Deferred Tax Assets [Member] | Subsequent Event [Member] | ||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | 1,600 | |||
Increase Additional Paid-in Capital [Member] | Subsequent Event [Member] | ||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | 300 | |||
Increase Retained Earning [Member] | Subsequent Event [Member] | ||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | 1,900 | |||
Decreases Taxes Payable [Member] | Subsequent Event [Member] | ||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ 600 | |||
Prepaid Expenses and Other Current Assets [Member] | ||||
Deferred Compensation Plan Assets | 100 | |||
Accounts Payable and Accrued Liabilities [Member] | ||||
Deferred Compensation Liability, Current and Noncurrent | 100 | |||
Other Noncurrent Liabilities [Member] | ||||
Deferred Compensation Liability, Current and Noncurrent | 700 | |||
Other Assets [Member] | ||||
Deferred Compensation Plan Assets | 700 | 600 | ||
Other Liabilities [Member] | ||||
Deferred Compensation Liability, Current and Noncurrent | 600 | |||
Selling, General and Administrative Expenses [Member] | ||||
Allocated Share-based Compensation Expense | $ 3,000 | 2,100 | 2,100 | |
Elimination of Certain Discounts [Member] | ||||
Deferred Revenue, Period Increase (Decrease) | 500 | |||
Net Income (Loss) Attributable to Parent | 400 | |||
Assessments of the Deferred Revenue Liability [Member] | ||||
Net Income (Loss) Attributable to Parent | $ 100 | $ 1,200 | ||
Trademarks And Intellectual Property [Member] | ||||
Finite-Lived Intangible Asset, Useful Life | 3 years | |||
Minimum [Member] | Trademarks And Intellectual Property [Member] | ||||
Finite-Lived Intangible Asset, Useful Life | 1 year | |||
Maximum [Member] | Trademarks And Intellectual Property [Member] | ||||
Finite-Lived Intangible Asset, Useful Life | 3 years | |||
Leasehold Improvements [Member] | ||||
Property, Plant and Equipment, Useful Life | 10 years | |||
Furniture and Fixtures [Member] | Minimum [Member] | ||||
Property, Plant and Equipment, Useful Life | 3 years | |||
Furniture and Fixtures [Member] | Maximum [Member] | ||||
Property, Plant and Equipment, Useful Life | 7 years | |||
Software and Software Development Costs [Member] | Minimum [Member] | ||||
Property, Plant and Equipment, Useful Life | 3 years | |||
Software and Software Development Costs [Member] | Maximum [Member] | ||||
Property, Plant and Equipment, Useful Life | 5 years |
Note 3 - Prepaid Expenses and38
Note 3 - Prepaid Expenses and Other Current Assets - Summary of Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Jan. 02, 2016 |
Prepaid rent | $ 7,191 | $ 7,852 |
Short-term investments | 1,458 | |
Other | 5,546 | 7,002 |
Total | $ 12,737 | $ 16,312 |
Note 4 - Property and Equipme39
Note 4 - Property and Equipment, Net (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Depreciation | $ 15,200 | $ 15,800 | $ 17,600 | |
Asset Impairment Charges | 2,674 | 296 | 1,107 | |
Cost of Sales [Member] | ||||
Asset Impairment Charges | $ 2,300 | |||
Selling, General and Administrative Expenses [Member] | Property And Equipment [Member] | ||||
Impairment of Long-Lived Assets to be Disposed of | $ 400 | $ 300 | $ 400 |
Note 4 - Property and Equipme40
Note 4 - Property and Equipment, Net - Property and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 |
Property, plant and equipment, gross | $ 247,257 | $ 251,427 | |
Less accumulated depreciation | 172,333 | 183,686 | |
Total, net | 74,924 | 67,741 | $ 62,766 |
Ireland [Member] | |||
Property, plant and equipment, gross | 2,261 | 2,261 | |
Furniture and Fixtures [Member] | |||
Property, plant and equipment, gross | 41,578 | 40,322 | |
Computer Equipment [Member] | |||
Property, plant and equipment, gross | 26,960 | 26,277 | |
Building [Member] | |||
Property, plant and equipment, gross | 14,970 | 14,970 | |
Leasehold Improvements [Member] | |||
Property, plant and equipment, gross | 113,573 | 113,981 | |
Software and Software Development Costs [Member] | |||
Property, plant and equipment, gross | 41,763 | 46,745 | |
Construction in Progress [Member] | |||
Property, plant and equipment, gross | $ 6,152 | $ 6,871 |
Note 5 - Other Intangible Ass41
Note 5 - Other Intangible Assets (Details Textual) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Trademarks And Intellectual Property [Member] | |||
Finite-Lived Intangible Asset, Useful Life | 3 years | ||
Amortization of Intangible Assets | $ 900,000 | $ 500,000 | $ 300,000 |
Other Intangible Assets [Member] | |||
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months | 900,000 | ||
Finite-Lived Intangible Assets, Amortization Expense, Year Two | 700,000 | ||
Finite-Lived Intangible Assets, Amortization Expense, Year Three | 100,000 | ||
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 0 | ||
Finite-Lived Intangible Assets, Amortization Expense, Year Five | $ 0 |
Note 5 - Other Intangible Ass42
Note 5 - Other Intangible Assets - Other Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Jan. 02, 2016 |
Trademarks and other intellectual property | $ 15,276 | $ 14,429 |
Less accumulated amortization | 13,555 | 12,691 |
Total, net | $ 1,721 | $ 1,738 |
Note 6 - Accrued Expenses - Sum
Note 6 - Accrued Expenses - Summary of Accrued Expenses (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Jan. 02, 2016 |
Accrued wages, bonuses and related expenses | $ 5,596 | $ 8,035 |
Sales tax payable | 5,075 | 6,374 |
Accrued rent and related expenses | 4,615 | 4,307 |
Current income taxes payable | 611 | 570 |
Total | $ 15,897 | $ 19,286 |
Note 7 - Income Taxes (Details
Note 7 - Income Taxes (Details Textual) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Undistributed Earnings of Foreign Subsidiaries | $ 6.3 | ||
Unrecognized Tax Benefits | 1 | $ 0.7 | |
Unrecognized Tax Benefits that Would Impact Effective Tax Rate | 0.4 | 0.2 | |
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | 0.1 | 0.4 | |
Income Tax Examination, Penalties and Interest Benefit | 0.3 | ||
Income Tax Examination, Penalties and Interest Expense | 0.1 | ||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Amount of Unrecorded Benefit | 0.9 | ||
Foreign Tax Authority [Member] | |||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | $ 0.6 | ||
Foreign Tax Authority [Member] | Her Majesty's Revenue and Customs (HMRC) [Member] | Earliest Tax Year [Member] | |||
Open Tax Year | 2,009 | ||
Foreign Tax Authority [Member] | Her Majesty's Revenue and Customs (HMRC) [Member] | Latest Tax Year [Member] | |||
Open Tax Year | 2,016 | ||
Foreign Tax Authority [Member] | UK and Canada [Member] | |||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | $ 1.1 | ||
Domestic Tax Authority [Member] | |||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | $ 9.4 | $ 4.4 | |
Domestic Tax Authority [Member] | Internal Revenue Service (IRS) [Member] | Earliest Tax Year [Member] | |||
Open Tax Year | 2,013 | ||
Domestic Tax Authority [Member] | Internal Revenue Service (IRS) [Member] | Latest Tax Year [Member] | |||
Open Tax Year | 2,016 |
Note 7 - Income Taxes - Income
Note 7 - Income Taxes - Income Before Income Taxes From Domestic and Foreign Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Domestic | $ 9,733 | $ 13,854 | $ 12,973 |
Foreign | (4,424) | 4,044 | 3,051 |
Total income before income taxes | $ 5,309 | $ 17,898 | $ 16,024 |
Note 7 - Income Taxes - Compone
Note 7 - Income Taxes - Components of the Provision for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Current: | |||
Federal | $ 1,605 | ||
State | 237 | 24 | 304 |
Foreign | (231) | 1,189 | 3,293 |
Deferred: | |||
Federal | 1,902 | (9,697) | |
State | 1,230 | (1,308) | 26 |
Foreign | (811) | 345 | (1,961) |
Income tax expense (benefit) | $ 3,932 | $ (9,447) | $ 1,662 |
Note 7 - Income Taxes - Reconci
Note 7 - Income Taxes - Reconciliation Between the Statutory Federal Income Tax Rate and Effective Income Tax Rate (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Income before income taxes | $ 5,309 | $ 17,898 | $ 16,024 |
Statutory federal income tax rate | 34.00% | 34.00% | 34.00% |
Income tax expense at statutory federal rate | $ 1,805 | $ 6,085 | $ 5,448 |
State income taxes, net of federal tax benefit | 968 | 371 | 310 |
Valuation allowance | 576 | (15,572) | (5,415) |
Effect of lower foreign taxes | 864 | (622) | (372) |
Adjustment for unrecognized tax positions | (77) | 67 | 397 |
Other items, net | (204) | 224 | 1,294 |
Income tax expense (benefit) | $ 3,932 | $ (9,447) | $ 1,662 |
Effective tax rate | 74.10% | (52.80%) | 10.40% |
Note 7 - Income Taxes - Tempora
Note 7 - Income Taxes - Temporary Differences That Gave Rise to Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Jan. 02, 2016 |
Deferred tax assets: | ||
Deferred revenue | $ 5,004 | $ 5,129 |
Accrued rents | 1,907 | 1,704 |
Net operating loss carryforwards | 1,194 | 306 |
Intangible assets | 1,040 | 1,349 |
Deferred compensation | 1,739 | 1,022 |
Accrued compensation | 620 | 1,545 |
Carryforward of tax credits | 880 | 928 |
Receivable write-offs | 604 | 1,317 |
Inventories | 1,994 | 656 |
Other | 1,209 | 3,306 |
Total gross deferred tax assets | 16,191 | 17,262 |
Less: Valuation allowance | 576 | |
Total deferred tax assets, net of valuation allowance | 15,615 | 17,262 |
Deferred tax liabilities: | ||
Depreciation | (3,909) | (3,494) |
Deferred expense | (3,318) | (2,505) |
Other | (132) | (399) |
Total deferred tax liabilities | (7,359) | (6,398) |
Net deferred tax assets | $ 8,256 | $ 10,864 |
Note 7 - Income Taxes - Recon49
Note 7 - Income Taxes - Reconciliation of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Jan. 02, 2016 | |
Balance | $ 700 | |
Balance | 1,000 | $ 700 |
Tax Reserve [Member] | ||
Balance | 719 | 719 |
Addition to reserve | 26 | |
Audit settlement release | (7) | |
Lapse of statute | ||
Balance | 961 | 719 |
Increases for prior year tax positions | 248 | |
Decrease for prior year tax positions | (25) | |
Lapse of statute of limitations |
Note 8 - Line of Credit (Detail
Note 8 - Line of Credit (Details Textual) | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Line of Credit Facility, Maximum Borrowing Capacity | $ 35,000,000 |
Pledge Of Ownership Interest In Foreign Subsidiaries | 65.00% |
Maximum Lease Payments for Personal Property | $ 100,000 |
Long-term Line of Credit | 0 |
Line of Credit Facility, Remaining Borrowing Capacity | $ 35,000,000 |
Line of Credit [Member] | London Interbank Offered Rate (LIBOR) [Member] | |
Debt Instrument, Basis Spread on Variable Rate | 1.80% |
Note 9 - Commitments and Cont51
Note 9 - Commitments and Contingencies (Details Textual) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Operating Leases, Rent Expense, Minimum Rentals | $ 44.5 | $ 45.3 | $ 46.7 |
Operating Leases, Rent Expense, Contingent Rentals | 1.1 | $ 1.2 | $ 1.8 |
Litigation Receivable, Gross | 3 | ||
Litigation Receivables, Reserve | 2.4 | ||
Litigation Receivables, Net | $ 0.6 |
Note 9 - Commitments and Cont52
Note 9 - Commitments and Contingencies - Future Minimum Lease Payments (Details) $ in Thousands | Dec. 31, 2016USD ($) |
2,017 | $ 39,228 |
2,018 | 31,338 |
2,019 | 27,481 |
2,020 | 25,930 |
2,021 | 24,473 |
Subsequent to 2021 | 71,599 |
Total | $ 220,049 |
Note 10 - Net Income Per Shar53
Note 10 - Net Income Per Share (Details Textual) - shares | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Employee Stock Option [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 264,717 | 65,040 | 44,144 |
Note 10 - Net Income Per Shar54
Note 10 - Net Income Per Share - Computation Basic and Diluted Earnings per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Net income before allocation of earnings to participating securities | $ 1,377 | $ 27,345 | $ 14,362 |
Less: Earnings allocated to participating securities | 29 | 520 | 439 |
Net income | $ 1,348 | $ 26,825 | $ 13,923 |
Weighted average number of common shares outstanding - basic (in shares) | 15,442,086 | 16,642,269 | 16,908,001 |
Dilutive effect of share-based awards: (in shares) | 180,187 | 225,087 | 225,810 |
Weighted average number of common sharesoutstanding - dilutive (in shares) | 15,622,273 | 16,867,356 | 17,133,811 |
Basic income per common share attributable to Build-A-Bear Workshop, Inc. stockholders (in dollars per share) | $ 0.09 | $ 1.61 | $ 0.82 |
Diluted income per common share attributable to Build-A-Bear Workshop, Inc. stockholders (in dollars per share) | $ 0.09 | $ 1.59 | $ 0.81 |
Note 11 - Stock Incentive Pla55
Note 11 - Stock Incentive Plans (Details Textual) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 1,475,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Purchase Price of Common Stock, Percent | 100.00% | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercised in Period, Grant Date Fair Value | $ 0.1 | $ 0.6 | $ 0.6 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value | $ 0.2 | $ 2.1 | $ 1.6 |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 545,799 | 1,271,884 | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 4.4 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 73 days | ||
Minimum [Member] | |||
Performance-based Shares, Payout Opportunity, Percentage | 50.00% | 50.00% | |
Maximum [Member] | |||
Performance-based Shares, Payout Opportunity, Percentage | 200.00% | 200.00% | |
Employee Stock Option [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | ||
Employee Stock Option [Member] | Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 1 year | ||
Employee Stock Option [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | ||
First Target Number of Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 15,366 | 36,222 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 13.57 | $ 20.58 | |
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Grants In Period Shares Earned | 22,458 | ||
Second Target Number of Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 161,245 | 50,000 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 13.69 | $ 20.80 | |
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 203,613 | 107,004 | 202,274 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 13.58 | $ 19.59 | $ 10.31 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value | $ 1.9 | $ 4 | $ 3.7 |
Note 11 - Stock Incentive Pla56
Note 11 - Stock Incentive Plans - Summary of Stock Option Plan (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Outstanding, number of shares (in shares) | 574,851 | 714,451 | 1,065,012 |
Outstanding, weighted average exercise price (in dollars per share) | $ 8.30 | $ 8.14 | $ 8.72 |
Granted, number of shares (in shares) | 213,156 | 71,517 | 104,064 |
Granted, weighted average exercise price (in dollars per share) | $ 13.68 | $ 20.58 | $ 9.59 |
Exercised, number of shares (in shares) | 30,223 | 150,409 | 351,856 |
Exercised, weighted average exercise price (in dollars per share) | $ 5.91 | $ 6.07 | $ 6.64 |
Forfeited, number of shares (in shares) | 19,003 | 96,019 | |
Forfeited, weighted average exercise price (in dollars per share) | $ 12.15 | $ 21.54 | |
Canceled or expired, number of shares (in shares) | 41,705 | 6,750 | |
Canceled or expired, weighted average exercise price (in dollars per share) | $ 32.95 | $ 8.78 | |
Outstanding, number of shares (in shares) | 757,784 | 574,851 | 714,451 |
Outstanding, weighted average exercise price (in dollars per share) | $ 9.91 | $ 8.30 | $ 8.14 |
Granted, number of shares (in shares) | 213,156 | 71,517 | 104,064 |
Granted, weighted average exercise price (in dollars per share) | $ 13.68 | $ 20.58 | $ 9.59 |
Exercised, number of shares (in shares) | 30,223 | 150,409 | 351,856 |
Exercised, weighted average exercise price (in dollars per share) | $ 5.91 | $ 6.07 | $ 6.64 |
Forfeited, number of shares (in shares) | 19,003 | 96,019 | |
Forfeited, weighted average exercise price (in dollars per share) | $ 12.15 | $ 21.54 | |
Canceled or expired, number of shares (in shares) | 41,705 | 6,750 | |
Canceled or expired, weighted average exercise price (in dollars per share) | $ 32.95 | $ 8.78 | |
Outstanding, weighted average remaining contractual term (Year) | 6 years 182 days | ||
Outstanding, aggregate intrinsic value | $ 3,369 | ||
Exercisable, number of shares (in shares) | 427,527 | ||
Exercisable, weighted average exercise price (in dollars per share) | $ 7.32 | ||
Exercisable, weighted average remaining contractual term (Year) | 5 years | ||
Exercisable, aggregate intrinsic value | $ 2,902 |
Note 11 - Stock Incentive Pla57
Note 11 - Stock Incentive Plans - Assumptions Used in the Option Pricing Model (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Dividend yield | 0.00% | 0.00% | 0.00% |
Historical volatility | 65.00% | ||
Expected life (years) (Year) | 6 years | 6 years | |
Weighted average grant date fair value (in dollars per share) | $ 7.13 | $ 11.20 | $ 5.80 |
Minimum [Member] | |||
Historical volatility | 52.00% | 51.00% | |
Risk-free rate | 1.40% | 1.50% | 1.70% |
Expected life (years) (Year) | 6 years | ||
Maximum [Member] | |||
Historical volatility | 55.00% | 58.00% | |
Risk-free rate | 1.60% | 1.80% | 2.10% |
Expected life (years) (Year) | 6 years 91 days |
Note 11 - Stock Incentive Pla58
Note 11 - Stock Incentive Plans - Summary of Plans Related to Unvested Restricted Stock (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Restricted Stock [Member] | |||
Outstanding (in shares) | 276,553 | 419,674 | 720,198 |
Outstanding (in dollars per share) | $ 11.93 | $ 7.64 | $ 5.91 |
Granted (in shares) | 203,613 | 107,004 | 202,274 |
Granted (in dollars per share) | $ 13.58 | $ 19.59 | $ 10.31 |
Vested (in shares) | 152,548 | 205,137 | 345,577 |
Vested (in dollars per share) | $ 11.22 | $ 7.84 | $ 6.25 |
Forfeited (in shares) | 11,502 | 44,988 | 157,221 |
Forfeited (in dollars per share) | $ 13.45 | $ 8.89 | $ 6.21 |
Outstanding (in shares) | 316,116 | 276,553 | 419,674 |
Outstanding (in dollars per share) | $ 13.30 | $ 11.93 | $ 7.64 |
Canceled (in shares) | |||
Canceled (in dollars per share) | |||
Performance Shares [Member] | |||
Outstanding (in shares) | 84,062 | ||
Outstanding (in dollars per share) | $ 20.70 | ||
Granted (in shares) | 176,611 | 86,222 | |
Granted (in dollars per share) | $ 13.68 | $ 20.71 | |
Vested (in shares) | 7,039 | ||
Vested (in dollars per share) | $ 20.56 | ||
Forfeited (in shares) | 2,160 | ||
Forfeited (in dollars per share) | $ 20.80 | ||
Outstanding (in shares) | 241,141 | 84,062 | |
Outstanding (in dollars per share) | $ 15.39 | $ 20.70 | |
Canceled (in shares) | 12,493 | ||
Canceled (in dollars per share) | $ 20.56 |
Note 12 - Stockholders' Equit59
Note 12 - Stockholders' Equity - Summary Changes in Outstanding Shares of Common Stock (Details) - shares | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Shares outstanding (in shares) | 15,795,891 | 17,360,635 | 17,386,920 |
Shares issued under employee stock plans, net of shares withheld in lieu of tax withholding (in shares) | 193,538 | 141,827 | 300,705 |
Repurchase of shares (in shares) | (132,502) | (1,706,571) | (326,990) |
Shares outstanding (in shares) | 15,856,927 | 15,795,891 | 17,360,635 |
Note 13 - Related-party Trans60
Note 13 - Related-party Transactions (Details Textual) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Related Party Transaction, Purchases from Related Party | $ 0.2 | $ 0.9 | $ 0.7 |
Charitable Contribution Collected on Behalf of Related Party [Member] | Charitable Foundations Controlled by Executive Officers [Member] | |||
Related Party Transaction, Amounts of Transaction | $ 0.5 | $ 0.5 | $ 1.2 |
Note 14 - Major Vendors (Detail
Note 14 - Major Vendors (Details Textual) | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Number Of Major Vendors | 4 | 4 | 3 |
Inventory Purchases [Member] | Supplier Concentration Risk [Member] | |||
Concentration Risk, Percentage | 73.00% | 85.00% | 75.00% |
Note 15 - Segment Information62
Note 15 - Segment Information (Details Textual) | 12 Months Ended |
Dec. 31, 2016 | |
Number of Operating Segments | 3 |
Number of Reportable Segments | 3 |
Note 15 - Segment Information -
Note 15 - Segment Information - Financial Information for the Company's Reportable Segments (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | |
Net sales to external customers | $ 364,204 | $ 377,694 | $ 392,354 |
Net income before income taxes | 5,309 | 17,898 | 16,024 |
Capital expenditures, net | 28,118 | 24,388 | 10,890 |
Depreciation and amortization | 16,171 | 16,419 | 18,128 |
Total assets | 199,595 | 213,334 | |
Retail [Member] | |||
Net sales to external customers | 357,593 | 372,715 | 387,725 |
Net income before income taxes | 2,760 | 16,053 | 15,791 |
Capital expenditures, net | 28,083 | 24,307 | 10,851 |
Depreciation and amortization | 16,086 | 16,284 | 17,981 |
Total assets | 190,236 | 206,878 | |
Commercial [Member] | |||
Net sales to external customers | 4,312 | 2,783 | 2,098 |
Net income before income taxes | 1,813 | 977 | 687 |
Capital expenditures, net | 7 | ||
Depreciation and amortization | 2 | 1 | |
Total assets | 6,143 | 4,760 | |
International Franchising [Member] | |||
Net sales to external customers | 2,299 | 2,196 | 2,531 |
Net income before income taxes | 736 | 868 | (454) |
Capital expenditures, net | 35 | 74 | 39 |
Depreciation and amortization | 83 | 134 | $ 147 |
Total assets | $ 3,216 | $ 1,696 |
Note 15 - Segment Information64
Note 15 - Segment Information - Sales to External Customers and Long-lived Assets by Geographic Area (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | ||
Net sales to external customers | $ 364,204 | $ 377,694 | $ 392,354 | |
Property and equipment, net | 74,924 | 67,741 | 62,766 | |
North America [Member] | ||||
Net sales to external customers | [1] | 296,152 | 297,554 | 308,939 |
Property and equipment, net | [1] | 66,154 | 61,211 | 56,400 |
Europe [Member] | ||||
Net sales to external customers | [2] | 66,140 | 78,788 | 81,848 |
Property and equipment, net | [2] | 8,733 | 6,459 | 6,366 |
Other Geographic Region [Member] | ||||
Net sales to external customers | [3] | 1,912 | 1,352 | 1,567 |
Property and equipment, net | [3] | $ 37 | $ 71 | |
[1] | North America includes the United States, Canada, Puerto Rico and franchise business in Mexico | |||
[2] | Europe includes the United Kingdom, Ireland, Denmark and franchise businesses in Europe | |||
[3] | Other includes franchise businesses outside of North America and Europe and, beginning in 2016, a company-owned store in China |
Schedule II - Valuation and Q65
Schedule II - Valuation and Qualifying Accounts - Summary of Valuation and Qualifying Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Jan. 02, 2016 | Jan. 03, 2015 | ||
Valuation Allowance of Deferred Tax Assets [Member] | ||||
Beginning balance | $ 15,572 | $ 20,987 | ||
Charged to cost and expenses | 576 | 368 | ||
Deductions | [1],[2] | (15,940) | (5,415) | |
Ending balance | 576 | 15,572 | ||
Allowance for Doubtful Accounts [Member] | ||||
Beginning balance | 3,044 | 3,248 | 1,889 | |
Charged to cost and expenses | 1,972 | 19 | 1,432 | |
Deductions | [1],[2] | (1,431) | (223) | (73) |
Ending balance | $ 3,585 | $ 3,044 | $ 3,248 | |
[1] | Deductions from deferred tax asset valuation allowance represent reversals of previously established allowances | |||
[2] | Deductions from the receivables allowance for doubtful accounts represent uncollectible accounts written off and recoveries |