Build-A-Bear Workshop (BBW) shares plummeted 10.28% in pre-market trading following the release of its Q3 earnings report, which revealed a revenue miss and declining pre-tax income due to tariff impacts.
The company reported Q3 revenue of $122.7 million, up 2.7% year-over-year but slightly below the consensus estimate of $124 million. Pre-tax income fell 18% to $10.7 million, with $4 million attributed to tariffs and related costs. While EPS of $0.62 beat estimates, it was down from $0.73 in the same period last year.
Despite reaffirming its annual guidance, the market reacted negatively to the revenue shortfall and ongoing tariff challenges, leading to the sharp pre-market decline.
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