Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2017 | Nov. 03, 2017 | |
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 | --12-30 | |
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) | 15,917,449 | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Oct. 01, 2016 |
Current assets: | |||
Cash and cash equivalents | $ 10,920 | $ 32,483 | $ 11,780 |
Inventories | 61,952 | 51,885 | 59,398 |
Receivables | 7,881 | 12,939 | 8,787 |
Prepaid expenses and other current assets | 13,365 | 12,737 | 13,752 |
Total current assets | 94,118 | 110,044 | 93,717 |
Property and equipment, net of accumulated depreciation of $171,922; $172,333 and $179,584, respectively | 76,718 | 74,924 | 71,984 |
Deferred tax assets | 9,803 | 8,256 | 10,737 |
Other intangible assets, net | 1,131 | 1,721 | 1,653 |
Other assets, net | 2,571 | 4,650 | 4,806 |
Total Assets | 184,341 | 199,595 | 182,897 |
Current liabilities: | |||
Accounts payable | 16,855 | 27,861 | 26,242 |
Accrued expenses | 13,055 | 15,897 | 11,918 |
Gift cards and customer deposits | 27,584 | 37,070 | 27,094 |
Deferred revenue | 1,768 | 2,029 | 2,030 |
Other current liabilities | 88 | ||
Total current liabilities | 59,350 | 82,857 | 67,284 |
Deferred rent | 17,914 | 15,438 | 15,278 |
Deferred franchise revenue | 504 | 565 | 603 |
Other liabilities | 1,643 | 1,623 | 1,008 |
Stockholders' equity: | |||
Preferred stock, par value $0.01, Shares authorized: 15,000,000; No shares issued or outstanding at September 30, 2017, December 31, 2016 and October 1, 2016 | |||
Common stock, par value $0.01, Shares authorized: 50,000,000; Issued and outstanding: 15,918,117; 15,856,927 and 15,850,629 shares, respectively | 159 | 159 | 159 |
Additional paid-in capital | 69,972 | 68,001 | 67,197 |
Accumulated other comprehensive loss | (11,623) | (12,727) | (11,994) |
Retained earnings | 46,422 | 43,679 | 43,362 |
Total stockholders' equity | 104,930 | 99,112 | 98,724 |
Total Liabilities and Stockholders' Equity | $ 184,341 | $ 199,595 | $ 182,897 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Unaudited) (Parentheticals) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Oct. 01, 2016 |
Property and equipment, accumulated depreciation | $ 171,922 | $ 172,333 | $ 179,584 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 15,000,000 | 15,000,000 | 15,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 50,000,000 | 50,000,000 | 50,000,000 |
Common stock, shares issued (in shares) | 15,918,117 | 15,856,927 | 15,850,629 |
Common stock, shares outstanding (in shares) | 15,918,117 | 15,856,927 | 15,850,629 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Oct. 01, 2016 | Sep. 30, 2017 | Oct. 01, 2016 | |
Revenues: | ||||
Net retail sales | $ 80,552 | $ 81,870 | $ 243,559 | $ 249,854 |
Commercial revenue | 1,304 | 1,322 | 5,037 | 2,601 |
Franchise fees | 572 | 556 | 1,689 | 1,407 |
Total revenues | 82,428 | 83,748 | 250,285 | 253,862 |
Costs and expenses: | ||||
Selling, general and administrative | 34,268 | 33,404 | 107,760 | 110,135 |
Store preopening | 488 | 571 | 2,000 | 2,969 |
Interest expense (income), net | 2 | (19) | (16) | (58) |
Total costs and expenses | 80,264 | 80,952 | 246,142 | 252,037 |
Income before income taxes | 2,164 | 2,796 | 4,143 | 1,825 |
Income tax expense | 723 | 955 | 1,470 | 767 |
Net income | 1,441 | 1,841 | 2,673 | 1,058 |
Foreign currency translation adjustment | 387 | (298) | 1,104 | (2,023) |
Comprehensive (loss) income | $ 1,828 | $ 1,543 | $ 3,777 | $ (965) |
Income per common share: | ||||
Basic (in dollars per share) | $ 0.09 | $ 0.12 | $ 0.17 | $ 0.07 |
Diluted (in dollars per share) | $ 0.09 | $ 0.11 | $ 0.17 | $ 0.07 |
Shares used in computing common per share amounts: | ||||
Basic (in shares) | 15,633,290 | 15,518,115 | 15,600,184 | 15,471,759 |
Diluted (in shares) | 15,816,265 | 15,691,004 | 15,789,851 | 15,650,143 |
Retail [Member] | ||||
Costs and expenses: | ||||
Cost of merchandise sold - retail | $ 44,916 | $ 46,461 | $ 133,686 | $ 137,778 |
Commercial [Member] | ||||
Costs and expenses: | ||||
Cost of merchandise sold - retail | $ 590 | $ 535 | $ 2,712 | $ 1,213 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2017 | Oct. 01, 2016 | |
Cash flows from operating activities: | ||
Net income | $ 2,673 | $ 1,058 |
Adjustments to reconcile net income to net cash used in operating activities: | ||
Depreciation and amortization | 12,084 | 11,573 |
Stock-based compensation | 2,681 | 2,259 |
Deferred taxes | 1,840 | (236) |
Provision for doubtful accounts | 367 | |
Impairment of store assets | 82 | 298 |
(Gain) Loss on disposal of property and equipment | (220) | 269 |
Change in assets and liabilities: | ||
Inventories | (9,093) | (6,296) |
Receivables | 4,816 | 4,079 |
Prepaid expenses and other assets | (371) | 363 |
Accounts payable and accrued expenses | (14,180) | (22,663) |
Lease related liabilities | 2,341 | 3,621 |
Gift cards and customer deposits | (9,682) | (7,986) |
Deferred revenue | (337) | (684) |
Net cash used in operating activities | (6,999) | (14,345) |
Cash flows from investing activities: | ||
Purchases of property and equipment | (12,502) | (17,647) |
Purchases of other assets and other intangible assets | (287) | (566) |
Proceeds from property insurance | 310 | |
Proceeds from sale or maturitiy of short term investments | 1,461 | |
Cash used in investing activities | (12,479) | (16,752) |
Cash flows from financing activities: | ||
Proceeds from the exercise of employee stock options, net of withholding tax payments | (465) | (513) |
Payments made under capital leases | (56) | |
Purchases of Company's common stock | (998) | (1,469) |
Cash used in financing activities | (1,519) | (1,982) |
Effect of exchange rates on cash | (566) | (337) |
Net decrease in cash and cash equivalents | (21,563) | (33,416) |
Cash and cash equivalents, beginning of period | 32,483 | 45,196 |
Cash and cash equivalents, end of period | $ 10,920 | $ 11,780 |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation | 9 Months Ended |
Sep. 30, 2017 | |
Notes to Financial Statements | |
Business Description and Basis of Presentation [Text Block] | 1. The condensed consolidated financial statements included herein are unaudited and have been prepared by Build-A-Bear Workshop, Inc. and its subsidiaries (collectively, the Company) pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (SEC). Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles (GAAP) have been condensed or omitted pursuant to such rules and regulations. The condensed consolidated balance sheet of the Company as of December 31, 2016 not December 31, 2016, 10 March 16, 2017. The Company adopted Accounting Standards Update (ASU) No. 2016 09, Compensation – Stock Compensation: Improvements to Employee Share-Based Payment Accounting January 1, 2017. first 2017, $1.6 $0.3 $1.9 $0.6 Additionally, the Company early adopted ASU No. 2016 16, Income Taxes – Intra-Entity Transfers of Assets Other Than Inventory January 1, 2017. first 2017 $1.0 $2.3 $1.3 |
Note 2 - Prepaid Expenses and O
Note 2 - Prepaid Expenses and Other Current Assets | 9 Months Ended |
Sep. 30, 2017 | |
Notes to Financial Statements | |
Prepaid Expenses and Other Assets [Text Block] | 2. Current Assets Prepaid expenses and other current assets consist of the following (in thousands): September 30, December 31, October 1, 2017 2016 2016 Prepaid rent $ 7,162 $ 7,191 $ 6,986 Other 6,203 5,546 6,766 Total $ 13,365 $ 12,737 $ 13,752 |
Note 3 - Accrued Expenses
Note 3 - Accrued Expenses | 9 Months Ended |
Sep. 30, 2017 | |
Notes to Financial Statements | |
Accounts Payable and Accrued Liabilities Disclosure [Text Block] | 3 . Accrued Expenses Accrued expenses consist of the following (in thousands): September 30, December 31, October 1, 2017 2016 2016 Accrued wages, bonuses and related expenses $ 7,465 $ 5,596 $ 5,216 Sales tax payable 2,105 5,075 2,027 Accrued rent and related expenses 3,450 4,615 3,919 Current income taxes payable 35 611 756 Total $ 13,055 $ 15,897 $ 11,918 |
Note 4 - Stock-based Compensati
Note 4 - Stock-based Compensation | 9 Months Ended |
Sep. 30, 2017 | |
Notes to Financial Statements | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | 4 . Stock-based Compensation On March 14, 2017, ’s Board of Directors (the Board) adopted, subject to stockholder approval, the Build-A-Bear Workshop, Inc. 2017 May 11, 2017, 2017 may may March 14, 2027, 1,000,000, 2004 March 21, 2017 may For the thirteen thirty-nine September 30, 2017, $0.8 $2.7 thirteen thirty-nine October 1, 2016, $0.8 $2.3 September 30, 2017, $4.6 1.5 The follow ing table is a summary of the balances and activity for stock options for the thirty-nine September 30, 2017: Options Shares Weighted Average Exercise Price Outstanding, December 31, 2016 757,784 $ 9.91 Granted 72,051 8.85 Exercised 1,269 6.36 Forfeited 26,795 13.45 Canceled or expired 10,204 12.51 Outstanding, September 30, 2017 791,567 $ 9.67 The following table is a summary of the balances and activity for the plan related to time-based and performance-based restricted stock for the thirty-nine September 30, 2017: Restricted Stock Performance Shares Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Outstanding, December 31, 2016 316,116 $ 13.30 241,141 $ 15.39 Granted 258,060 9.18 83,897 8.85 Vested 178,424 12.20 6,472 20.54 Forfeited 33,016 12.51 15,247 14.28 Canceled or expired — — 13,704 13.68 Outstanding, September 30, 2017 362,736 $ 10.98 289,615 $ 13.66 The total fair value of shares vested during the thirty-nine September 30, 2017 October 1, 2016 $2.3 $1.7 In March 201 7, three 2017, 2018 2019. 25% 200% 2016, one three 2016. 2017, 13,704 one 2016 2016 not The outstanding performance shares as of September 30, 2017 Performance Shares Earned shares subject to time-based restrictions at actual 6,325 Unearned shares subject to performance-based restrictions at target: 2015 - 2017 consolidated total revenues 50,000 2016 - 2018 consolidated total revenues 149,393 2017 - 2019 consolidated pre-tax income 83,897 Performance shares outstanding, September 30, 2017 289,615 |
Note 5 - Income Taxes
Note 5 - Income Taxes | 9 Months Ended |
Sep. 30, 2017 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 5 . Income Taxes The effective tax rate was 33.4% 35.5% thirteen thirty-nine September 30, 2017, 34.2% 42.0% thirteen thirty-nine October 1, 2016, 2017 34% 2016 |
Note 6 - Stockholders' Equity
Note 6 - Stockholders' Equity | 9 Months Ended |
Sep. 30, 2017 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | 6. ’ Equity The following table sets forth the changes in stockholders’ equity (in thousands) for the thirty-nine September 30, 2017 October 1, 2016: Thirty-nine weeks ended September 30, 2017 October 1, 2016 Beginning balance $ 99,112 $ 99,414 Stock-based compensation 2,681 2,259 Shares issued under employee stock plans (465 ) (513 ) Adoption of new accounting standards 822 - Share repurchase and retirement (998 ) (1,469 ) Other comprehensive income (loss) 1,104 (2,023 ) Net income 2,673 1,058 Other 1 (2 ) Ending balance $ 104,930 $ 98,724 On August 21, 2017, Company’s Board of Directors authorized a share repurchase program of up to $20 $1.0 September 30, 2017. 112,325 $8.88 $1.0 |
Note 7 - Income Per Share
Note 7 - Income Per Share | 9 Months Ended |
Sep. 30, 2017 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 7 . Income per Share The Company uses the two net income or loss per common share. In periods of net loss, no not Thirteen weeks ended Thirty-nine weeks ended September 30, 2017 October 1, 2016 September 30, 2017 October 1, 2016 NUMERATOR: Net income before allocation of earnings to participating securities $ 1,441 $ 1,841 $ 2,673 $ 1,058 Less: Earnings allocated to participating securities 11 39 33 22 Net income after allocation of earnings to participating securities $ 1,430 $ 1,802 $ 2,640 $ 1,036 DENOMINATOR: Weighted average number of common shares outstanding - basic 15,633,290 15,518,115 15,600,184 15,471,759 Dilutive effect of share-based awards: 182,975 172,889 189,667 178,384 Weighted average number of common shares outstanding - dilutive 15,816,265 15,691,004 15,789,851 15,650,143 Basic income per common share attributable to Build-A-Bear Workshop, Inc. stockholders: $ 0.09 $ 0.12 $ 0.17 $ 0.07 Diluted income per common share attributable to Build-A-Bear Workshop, Inc. stockholders $ 0.09 $ 0.11 $ 0.17 $ 0.07 In calculating diluted income per share for the thirteen thirty-nine September 30, 2017, 382,317 321,998 not thirteen thirty-nine October 1, 2016, 302,628 253,374 |
Note 8 - Comprehensive Income (
Note 8 - Comprehensive Income (Loss) | 9 Months Ended |
Sep. 30, 2017 | |
Notes to Financial Statements | |
Comprehensive Income (Loss) Note [Text Block] | 8 . Comprehensive Income (Loss) The difference between comprehensive income or loss and net income or loss results from foreign currency translation adjustments on the balance sheets of subsidiaries whose functional currency is not .S. Dollar. The accumulated other comprehensive income (loss) balance at September 30, 2017 October 1, 2016 thirteen thirty-nine weeks ended September 30, 2017 October 1, 2016, no |
Note 9 - Segment Information
Note 9 - Segment Information | 9 Months Ended |
Sep. 30, 2017 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | 9 . Segment Information The Company ’s operations are conducted through three third three Following is a summary of the financial information for the Company’s reportable segments (in thousands): Direct-to- International Consumer Commercial Franchising Total Thirteen weeks ended September 30, 2017 Net sales to external customers $ 80,552 $ 1,304 $ 572 $ 82,428 Income before income taxes 1,098 563 503 2,164 Capital expenditures 4,607 - 157 4,764 Depreciation and amortization 4,185 1 15 4,201 Thirteen weeks ended October 1, 2016 Net sales to external customers $ 81,870 $ 1,322 $ 556 $ 83,748 Income before income taxes 1,881 667 248 2,796 Capital expenditures 6,321 - 10 6,331 Depreciation and amortization 3,935 1 18 3,954 Thirty-nine weeks ended September 30, 2017 Net sales to external customers $ 243,559 $ 5,037 $ 1,689 $ 250,285 Income before income taxes 1,493 2,112 538 4,143 Capital expenditures 12,614 - 175 12,789 Depreciation and amortization 12,034 2 48 12,084 Thirty-nine weeks ended October 1, 2016 Net sales to external customers $ 249,854 $ 2,601 $ 1,407 $ 253,862 Income before income taxes 429 1,080 316 1,825 Capital expenditures 18,178 - 35 18,213 Depreciation and amortization 11,506 2 65 11,573 Total Assets as of: September 30, 2017 $ 176,159 $ 5,998 $ 2,184 $ 184,341 October 1, 2016 $ 174,510 $ 5,968 $ 2,419 $ 182,897 The Company ’s reportable segments are primarily determined by the types of products and services that each offers. Each reportable segment may North America (1) Europe (2) Other (3) Total Thirteen weeks ended September 30, 2017 Net sales to external customers $ 67,036 $ 14,812 $ 580 $ 82,428 Property and equipment, net 67,073 9,612 33 76,718 Thirteen weeks ended October 1, 2016 Net sales to external customers $ 68,227 $ 14,955 $ 566 $ 83,748 Property and equipment, net 62,377 8,385 1,222 71,984 Thirty-nine weeks ended September 30, 2017 Net sales to external customers $ 207,863 $ 40,905 $ 1,517 $ 250,285 Property and equipment, net 67,073 9,612 33 76,718 Thirty-nine weeks ended October 1, 2016 Net sales to external customers $ 209,105 $ 43,592 $ 1,165 $ 253,862 Property and equipment, net 62,377 8,385 1,222 71,984 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, |
Note 10 - Contingencies
Note 10 - Contingencies | 9 Months Ended |
Sep. 30, 2017 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 10 . Contingencies In the normal course of business, the Company is subject to regular examination by various taxing authorities for years not one Gain contingencies are recorded when the underlying uncertainty has been settled. Assessments made by the United Kingdom customs authority in 2012 September 30, 2017, $3.5 $2.8 $0.7 not |
Note 11 - Recently Issued Accou
Note 11 - Recently Issued Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2017 | |
Notes to Financial Statements | |
Description of New Accounting Pronouncements Not yet Adopted [Text Block] | 1 1 . Recently Issued Accounting Pronouncements In May 2014, No. 2014 09, Revenue from Contracts with Customer 2014 09 2014 09 2014 09 2018, 2017 2016, 2014 09 first 2018 In February 2016, No. 2016 02, Leases 2016 02 2016 02 2016 02 2019, 2016 02 |
Note 12 - Subsequent Event
Note 12 - Subsequent Event | 9 Months Ended |
Sep. 30, 2017 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | 12. On October 31, 2017, $4.0 fourth |
Note 2 - Prepaid Expenses and18
Note 2 - Prepaid Expenses and Other Current Assets (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Notes Tables | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Table Text Block] | September 30, December 31, October 1, 2017 2016 2016 Prepaid rent $ 7,162 $ 7,191 $ 6,986 Other 6,203 5,546 6,766 Total $ 13,365 $ 12,737 $ 13,752 |
Note 3 - Accrued Expenses (Tabl
Note 3 - Accrued Expenses (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Notes Tables | |
Schedule of Accrued Liabilities [Table Text Block] | September 30, December 31, October 1, 2017 2016 2016 Accrued wages, bonuses and related expenses $ 7,465 $ 5,596 $ 5,216 Sales tax payable 2,105 5,075 2,027 Accrued rent and related expenses 3,450 4,615 3,919 Current income taxes payable 35 611 756 Total $ 13,055 $ 15,897 $ 11,918 |
Note 4 - Stock-based Compensa20
Note 4 - Stock-based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Notes Tables | |
Share-based Compensation, Stock Options, Activity [Table Text Block] | Options Shares Weighted Average Exercise Price Outstanding, December 31, 2016 757,784 $ 9.91 Granted 72,051 8.85 Exercised 1,269 6.36 Forfeited 26,795 13.45 Canceled or expired 10,204 12.51 Outstanding, September 30, 2017 791,567 $ 9.67 |
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity [Table Text Block] | Restricted Stock Performance Shares Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Outstanding, December 31, 2016 316,116 $ 13.30 241,141 $ 15.39 Granted 258,060 9.18 83,897 8.85 Vested 178,424 12.20 6,472 20.54 Forfeited 33,016 12.51 15,247 14.28 Canceled or expired — — 13,704 13.68 Outstanding, September 30, 2017 362,736 $ 10.98 289,615 $ 13.66 |
Share-based Compensation, Performance Shares Award Outstanding Activity [Table Text Block] | Performance Shares Earned shares subject to time-based restrictions at actual 6,325 Unearned shares subject to performance-based restrictions at target: 2015 - 2017 consolidated total revenues 50,000 2016 - 2018 consolidated total revenues 149,393 2017 - 2019 consolidated pre-tax income 83,897 Performance shares outstanding, September 30, 2017 289,615 |
Note 6 - Stockholders' Equity (
Note 6 - Stockholders' Equity (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Notes Tables | |
Schedule of Stockholders Equity [Table Text Block] | Thirty-nine weeks ended September 30, 2017 October 1, 2016 Beginning balance $ 99,112 $ 99,414 Stock-based compensation 2,681 2,259 Shares issued under employee stock plans (465 ) (513 ) Adoption of new accounting standards 822 - Share repurchase and retirement (998 ) (1,469 ) Other comprehensive income (loss) 1,104 (2,023 ) Net income 2,673 1,058 Other 1 (2 ) Ending balance $ 104,930 $ 98,724 |
Note 7 - Income Per Share (Tabl
Note 7 - Income Per Share (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Thirteen weeks ended Thirty-nine weeks ended September 30, 2017 October 1, 2016 September 30, 2017 October 1, 2016 NUMERATOR: Net income before allocation of earnings to participating securities $ 1,441 $ 1,841 $ 2,673 $ 1,058 Less: Earnings allocated to participating securities 11 39 33 22 Net income after allocation of earnings to participating securities $ 1,430 $ 1,802 $ 2,640 $ 1,036 DENOMINATOR: Weighted average number of common shares outstanding - basic 15,633,290 15,518,115 15,600,184 15,471,759 Dilutive effect of share-based awards: 182,975 172,889 189,667 178,384 Weighted average number of common shares outstanding - dilutive 15,816,265 15,691,004 15,789,851 15,650,143 Basic income per common share attributable to Build-A-Bear Workshop, Inc. stockholders: $ 0.09 $ 0.12 $ 0.17 $ 0.07 Diluted income per common share attributable to Build-A-Bear Workshop, Inc. stockholders $ 0.09 $ 0.11 $ 0.17 $ 0.07 |
Note 9 - Segment Information (T
Note 9 - Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Direct-to- International Consumer Commercial Franchising Total Thirteen weeks ended September 30, 2017 Net sales to external customers $ 80,552 $ 1,304 $ 572 $ 82,428 Income before income taxes 1,098 563 503 2,164 Capital expenditures 4,607 - 157 4,764 Depreciation and amortization 4,185 1 15 4,201 Thirteen weeks ended October 1, 2016 Net sales to external customers $ 81,870 $ 1,322 $ 556 $ 83,748 Income before income taxes 1,881 667 248 2,796 Capital expenditures 6,321 - 10 6,331 Depreciation and amortization 3,935 1 18 3,954 Thirty-nine weeks ended September 30, 2017 Net sales to external customers $ 243,559 $ 5,037 $ 1,689 $ 250,285 Income before income taxes 1,493 2,112 538 4,143 Capital expenditures 12,614 - 175 12,789 Depreciation and amortization 12,034 2 48 12,084 Thirty-nine weeks ended October 1, 2016 Net sales to external customers $ 249,854 $ 2,601 $ 1,407 $ 253,862 Income before income taxes 429 1,080 316 1,825 Capital expenditures 18,178 - 35 18,213 Depreciation and amortization 11,506 2 65 11,573 Total Assets as of: September 30, 2017 $ 176,159 $ 5,998 $ 2,184 $ 184,341 October 1, 2016 $ 174,510 $ 5,968 $ 2,419 $ 182,897 |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block] | North America (1) Europe (2) Other (3) Total Thirteen weeks ended September 30, 2017 Net sales to external customers $ 67,036 $ 14,812 $ 580 $ 82,428 Property and equipment, net 67,073 9,612 33 76,718 Thirteen weeks ended October 1, 2016 Net sales to external customers $ 68,227 $ 14,955 $ 566 $ 83,748 Property and equipment, net 62,377 8,385 1,222 71,984 Thirty-nine weeks ended September 30, 2017 Net sales to external customers $ 207,863 $ 40,905 $ 1,517 $ 250,285 Property and equipment, net 67,073 9,612 33 76,718 Thirty-nine weeks ended October 1, 2016 Net sales to external customers $ 209,105 $ 43,592 $ 1,165 $ 253,862 Property and equipment, net 62,377 8,385 1,222 71,984 |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation (Details Textual) $ in Millions | 3 Months Ended |
Apr. 01, 2017USD ($) | |
Increase Deferred Tax Assets [Member] | |
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ 1 |
Decrease Other Assets [Member] | |
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | 2.3 |
Decrease Retained Earnings [Member] | |
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | 1.3 |
Increase Deferred Tax Assets [Member] | |
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | 1.6 |
Increase Additional Paid-in Capital [Member] | |
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | 0.3 |
Increase Retained Earning [Member] | |
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | 1.9 |
Decreases Taxes Payable [Member] | |
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ 0.6 |
Note 2 - Prepaid Expenses and25
Note 2 - Prepaid Expenses and Other Current Assets - Summary of Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Oct. 01, 2016 |
Prepaid rent | $ 7,162 | $ 7,191 | $ 6,986 |
Other | 6,203 | 5,546 | 6,766 |
Total | $ 13,365 | $ 12,737 | $ 13,752 |
Note 3 - Accrued Expenses - Sum
Note 3 - Accrued Expenses - Summary of Accrued Expenses (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Oct. 01, 2016 |
Accrued wages, bonuses and related expenses | $ 7,465 | $ 5,596 | $ 5,216 |
Sales tax payable | 2,105 | 5,075 | 2,027 |
Accrued rent and related expenses | 3,450 | 4,615 | 3,919 |
Current income taxes payable | 35 | 611 | 756 |
Total | $ 13,055 | $ 15,897 | $ 11,918 |
Note 4 - Stock-based Compensa27
Note 4 - Stock-based Compensation (Details Textual) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Mar. 31, 2017 | Sep. 30, 2017 | Oct. 01, 2016 | Sep. 30, 2017 | Sep. 30, 2017 | Oct. 01, 2016 | Dec. 31, 2016 | May 11, 2017 | |
Minimum [Member] | ||||||||
Performance-based Shares, Payout Opportunity, Percentage | 25.00% | |||||||
Maximum [Member] | ||||||||
Performance-based Shares, Payout Opportunity, Percentage | 200.00% | |||||||
Options and Restricted Stock [Member] | ||||||||
Allocated Share-based Compensation Expense | $ 0.8 | $ 0.8 | $ 2.7 | $ 2.3 | ||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 4.6 | 4.6 | $ 4.6 | |||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 182 days | |||||||
Time-based and Performance-based Shares [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value | $ 2.3 | $ 1.7 | ||||||
Performance Shares [Member] | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Grants In Period Shares Earned | 13,704 | |||||||
Performance Shares [Member] | Vesting at End of Three-year Performance Period [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Performance Period | 3 years | 3 years | ||||||
Performance Shares [Member] | Vesting at End of One-year Performance Period [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Performance Period | 1 year | 1 year | ||||||
The 2017 Omnibus Incentive Plan [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 1,000,000 |
Note 4 - Stock-based Compensa28
Note 4 - Stock-based Compensation - Activity for Stock Options (Details) | 9 Months Ended |
Sep. 30, 2017$ / sharesshares | |
Outstanding (in shares) | shares | 757,784 |
Outstanding, weighted average exercise price (in dollars per share) | $ / shares | $ 9.91 |
Granted (in shares) | shares | 72,051 |
Granted, weighted average exercise price (in dollars per share) | $ / shares | $ 8.85 |
Exercised (in shares) | shares | 1,269 |
Exercised, weighted average exercise price (in dollars per share) | $ / shares | $ 6.36 |
Forfeited (in shares) | shares | 26,795 |
Forfeited, weighted average exercise price (in dollars per share) | $ / shares | $ 13.45 |
Canceled or expired (in shares) | shares | 10,204 |
Canceled or expired, weighted average exercise price (in dollars per share) | $ / shares | $ 12.51 |
Outstanding (in shares) | shares | 791,567 |
Outstanding, weighted average exercise price (in dollars per share) | $ / shares | $ 9.67 |
Note 4 - Stock-based Compensa29
Note 4 - Stock-based Compensation - Activity for Time-based and Performance-based Restricted Stock (Details) | 9 Months Ended |
Sep. 30, 2017$ / sharesshares | |
Restricted Stock [Member] | |
Outstanding (in shares) | shares | 316,116 |
Outstanding (in dollars per share) | $ / shares | $ 13.30 |
Granted (in shares) | shares | 258,060 |
Granted (in dollars per share) | $ / shares | $ 9.18 |
Vested (in shares) | shares | 178,424 |
Vested (in dollars per share) | $ / shares | $ 12.20 |
Forfeited (in shares) | shares | 33,016 |
Forfeited (in dollars per share) | $ / shares | $ 12.51 |
Canceled or expired (in shares) | shares | |
Canceled or expired (in dollars per share) | $ / shares | |
Outstanding (in shares) | shares | 362,736 |
Outstanding (in dollars per share) | $ / shares | $ 10.98 |
Performance Shares [Member] | |
Outstanding (in shares) | shares | 241,141 |
Outstanding (in dollars per share) | $ / shares | $ 15.39 |
Granted (in shares) | shares | 83,897 |
Granted (in dollars per share) | $ / shares | $ 8.85 |
Vested (in shares) | shares | 6,472 |
Vested (in dollars per share) | $ / shares | $ 20.54 |
Forfeited (in shares) | shares | 15,247 |
Forfeited (in dollars per share) | $ / shares | $ 14.28 |
Canceled or expired (in shares) | shares | 13,704 |
Canceled or expired (in dollars per share) | $ / shares | $ 13.68 |
Outstanding (in shares) | shares | 289,615 |
Outstanding (in dollars per share) | $ / shares | $ 13.66 |
Note 4 - Share-based Compensati
Note 4 - Share-based Compensation - Outstanding Performance Shares (Details) - Performance Shares [Member] - shares | Sep. 30, 2017 | Dec. 31, 2016 |
Performance shares (in shares) | 289,615 | 241,141 |
Vesting Subject to Time-based Restrictions [Member] | ||
Performance shares (in shares) | 6,325 | |
Vesting Upon Achievement of 2015-2017 Consolidated Revenues Target [Member] | ||
Performance shares (in shares) | 50,000 | |
Vesting Upon Achievement of 2016-2018 Consolidated Revenues Target [Member] | ||
Performance shares (in shares) | 149,393 | |
Vesting Upon Achievement of 2017-2019 Consolidated Pre-tax Income Target [Member] | ||
Performance shares (in shares) | 83,897 |
Note 5 - Income Taxes (Details
Note 5 - Income Taxes (Details Textual) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Oct. 01, 2016 | Sep. 30, 2017 | Oct. 01, 2016 | |
Effective Income Tax Rate Reconciliation, Percent | 33.40% | 34.20% | 35.50% | 42.00% |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 34.00% |
Note 6 - Stockholders' Equity32
Note 6 - Stockholders' Equity (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2017 | Oct. 01, 2016 | Aug. 21, 2017 | |
Stock Repurchased and Retired During Period, Value | $ 998 | $ 1,469 | ||
The August 2017 Share Repurchase Program [Member] | ||||
Stock Repurchase Program, Authorized Amount | $ 20,000 | |||
Stock Repurchased and Retired During Period, Value | $ 1,000 | |||
Stock Repurchased and Retired During Period, Shares | 112,325 | |||
Share Price | $ 8.88 | $ 8.88 |
Note 6 - Stockholders' Equity -
Note 6 - Stockholders' Equity - Changes in Stockholders' Equity (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017USD ($) | Oct. 01, 2016USD ($) | Sep. 30, 2017USD ($) | Oct. 01, 2016USD ($) | |
Beginning balance | $ 99,112 | $ 99,414 | ||
Stock-based compensation | 2,681 | 2,259 | ||
Shares issued under employee stock plans | (465) | (513) | ||
Adoption of new accounting standards | $ 822 | 822 | ||
Share repurchase and retirement | (998) | (1,469) | ||
Other comprehensive income (loss) | 1,104 | (2,023) | ||
Net income | 1,441 | 1,841 | 2,673 | 1,058 |
Other | 1 | (2) | ||
Ending balance | $ 104,930 | $ 98,724 | $ 104,930 | $ 98,724 |
Note 7 - Income Per Share (Deta
Note 7 - Income Per Share (Details Textual) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Oct. 01, 2016 | Sep. 30, 2017 | Oct. 01, 2016 | |
Employee Stock Option [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 382,317 | 302,628 | 321,998 | 253,374 |
Note 7 - Income Per Share - Com
Note 7 - Income Per Share - Computation Basic and Diluted Earnings per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Oct. 01, 2016 | Sep. 30, 2017 | Oct. 01, 2016 | |
Net income before allocation of earnings to participating securities | $ 1,441 | $ 1,841 | $ 2,673 | $ 1,058 |
Less: Earnings allocated to participating securities | 11 | 39 | 33 | 22 |
Net income after allocation of earnings to participating securities | $ 1,430 | $ 1,802 | $ 2,640 | $ 1,036 |
Weighted average number of common shares outstanding - basic (in shares) | 15,633,290 | 15,518,115 | 15,600,184 | 15,471,759 |
Dilutive effect of share-based awards: (in shares) | 182,975 | 172,889 | 189,667 | 178,384 |
Weighted average number of common shares outstanding - dilutive (in shares) | 15,816,265 | 15,691,004 | 15,789,851 | 15,650,143 |
Basic income per common share attributable to Build-A-Bear Workshop, Inc. stockholders: (in dollars per share) | $ 0.09 | $ 0.12 | $ 0.17 | $ 0.07 |
Diluted income per common share attributable to Build-A-Bear Workshop, Inc. stockholders (in dollars per share) | $ 0.09 | $ 0.11 | $ 0.17 | $ 0.07 |
Note 8 - Comprehensive Income36
Note 8 - Comprehensive Income (Loss) (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Oct. 01, 2016 | Sep. 30, 2017 | Oct. 01, 2016 | |
Translation Adjustment Functional to Reporting Currency, Gain (Loss), Reclassified to Earnings, Net of Tax | $ 0 | $ 0 | $ 0 | $ 0 |
Note 9 - Segment Information (D
Note 9 - Segment Information (Details Textual) | 9 Months Ended |
Sep. 30, 2017 | |
Number of Operating Segments | 3 |
Number of Reportable Segments | 3 |
Note 9 - Segment Information -
Note 9 - Segment Information - Financial Information for the Company's Reportable Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2017 | Oct. 01, 2016 | Sep. 30, 2017 | Oct. 01, 2016 | Dec. 31, 2016 | |
Net sales to external customers | $ 82,428 | $ 83,748 | $ 250,285 | $ 253,862 | |
Income before income taxes | 2,164 | 2,796 | 4,143 | 1,825 | |
Capital expenditures, net | 4,764 | 6,331 | 12,789 | 18,213 | |
Depreciation and amortization | 4,201 | 3,954 | 12,084 | 11,573 | |
Total assets | 184,341 | 182,897 | 184,341 | 182,897 | $ 199,595 |
Retail [Member] | |||||
Net sales to external customers | 80,552 | 81,870 | 243,559 | 249,854 | |
Income before income taxes | 1,098 | 1,881 | 1,493 | 429 | |
Capital expenditures, net | 4,607 | 6,321 | 12,614 | 18,178 | |
Depreciation and amortization | 4,185 | 3,935 | 12,034 | 11,506 | |
Total assets | 176,159 | 174,510 | 176,159 | 174,510 | |
Commercial [Member] | |||||
Net sales to external customers | 1,304 | 1,322 | 5,037 | 2,601 | |
Income before income taxes | 563 | 667 | 2,112 | 1,080 | |
Capital expenditures, net | |||||
Depreciation and amortization | 1 | 1 | 2 | 2 | |
Total assets | 5,998 | 5,968 | 5,998 | 5,968 | |
International Franchising [Member] | |||||
Net sales to external customers | 572 | 556 | 1,689 | 1,407 | |
Income before income taxes | 503 | 248 | 538 | 316 | |
Capital expenditures, net | 157 | 10 | 175 | 35 | |
Depreciation and amortization | 15 | 18 | 48 | 65 | |
Total assets | $ 2,184 | $ 2,419 | $ 2,184 | $ 2,419 |
Note 9 - Segment Information 39
Note 9 - Segment Information - Sales to External Customers and Long-lived Assets by Geographic Area (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2017 | Oct. 01, 2016 | Sep. 30, 2017 | Oct. 01, 2016 | Dec. 31, 2016 | ||
Net sales to external customers | $ 82,428 | $ 83,748 | $ 250,285 | $ 253,862 | ||
Property and equipment, net | 76,718 | 71,984 | 76,718 | 71,984 | $ 74,924 | |
North America [Member] | ||||||
Net sales to external customers | [1] | 67,036 | 68,227 | 207,863 | 209,105 | |
Property and equipment, net | [1] | 67,073 | 62,377 | 67,073 | 62,377 | |
Europe [Member] | ||||||
Net sales to external customers | [2] | 14,812 | 14,955 | 40,905 | 43,592 | |
Property and equipment, net | [2] | 9,612 | 8,385 | 9,612 | 8,385 | |
Other Geographic Region [Member] | ||||||
Net sales to external customers | [3] | 580 | 566 | 1,517 | 1,165 | |
Property and equipment, net | [3] | $ 33 | $ 1,222 | $ 33 | $ 1,222 | |
[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 |
Note 10 - Contingencies (Detail
Note 10 - Contingencies (Details Textual) $ in Millions | Sep. 30, 2017USD ($) |
Litigation Receivable, Gross | $ 3.5 |
Litigation Receivables, Reserve | 2.8 |
Litigation Receivables, Net | $ 0.7 |
Note 12 - Subsequent Event (Det
Note 12 - Subsequent Event (Details Textual) $ in Millions | Oct. 31, 2017USD ($) |
Subsequent Event [Member] | |
Proceeds from Lines of Credit | $ 4 |