Build-a-bear Workshop, Inc. · NYSE:BBW

Build-a-bear Workshop — Investor Presentation (August 2026)

29 slides from Build-a-bear Workshop's investor presentation, August 2026

  1. Slide 1: Build-A-Bear Investor Overview

    Build-A-Bear Investor Overview August 2026

  2. Slide 2: Important Disclosures

    Important Disclosures Forward-Looking Statements This presentation may contain “forward-looking statements” within the meaning of the federal securities laws, including the Private Securities Litigation Reform Act of 1995. We generally identify these statements by words or phrases such as “may,” “mi

  3. Slide 3: Build-A-Bear began as a pioneer of Experiential Retail

    Build-A-Bear began as a pioneer of Experiential Retail Click to see how Build-A-Bear has become so much more 3

  4. Slide 4: And is now a powerful brand

    And is now a powerful brand WELL-KNOWN RESPECTED BELOVED >90% Aided Brand The #1 ~100m store and web Awareness* North American toy visits per year*** retailer** OUTSIZED BRAND EQUITY PART OF POP CULTURE One of the 20 most Iconic, ~30 billion annual influential retailers media impressions and in Nort

  5. Slide 5: We have improved our financial results

    We have improved our financial results 2025 Snapshot 2019-2025 Growth Total Revenue $530M 57% Net Retail Sales $486M 50% Third-Party Revenue* $44M 191% EBITDA** $81M 433% Margin 15.4% + > 1,000 bps Diluted EPS $3.99 NM*** FCF $40M 328% ROIC 27.2% NM*** Store Contribution Mgn**** 26% + > 1,000 bps *T

  6. Slide 6: By diversifying the business

    By diversifying the business Beyond Kids Expanding To More Ages ~40% of sales to Appealing to older consumers through pop culture, teens and adults* licensed relationships and our Bear Cave microsite Beyond Stores Expanding Online Web Demand** has doubled Buildabear.com sells mostly to collectors an

  7. Slide 7: And evolving our store-type footprint

    And evolving our store-type footprint Partner Location Growth Location Count Mix 22% 16% 27% 57% 78% 2017 2025 Corporately Managed Partner-Operated Franchised Partner-Operated Locations were launched internationally in Q3 2023 2024 Franchise store count includes nine shop-in-shop locations in Austra

  8. Slide 8: We have expanded both sides of our business model

    We have expanded both sides of our business model Net Retail Sales Third-Party Revenue** (Direct-to-Consumer Segment*) (Commercial & Intl. Franchise Segments) +50% +191% $43.9 $486.0 $323.5 $15.1 $M $M 2019 2025 2019 2025 *Direct-to-Consumer (DTC) is sales by Company-managed retail stores and two e-

  9. Slide 9: And we have entered a new era of profitability

    And we have entered a new era of profitability Net Retail Pretax Income Third-Party Pretax Income (Direct-to-Consumer Segment ) (Commercial & Intl. Franchise Segments) (after corporate SG&A allocation) +$17M +$48M $44.5 $21.9 $4.8 ($3.3) $M $M 2019 2025 2019 2025 -1.0% 9.2% 32.1% 50.0% Margin Margin

  10. Slide 10: Consistent returns position us for a new phase of growth

    Consistent returns position us for a new phase of growth Free Cash Flow* ROIC* +106% $46.0 35.9% 37.5% 35.7% $39.5 33.0% $33.6 27.2% $27.8 $19.2 $M 2021 2022 2023 2024 2025 2021 2022 2023 2024 2025 2025 was negatively impacted by tariffs and related costs. *Free Cash Flow and Return on Invested Capi

  11. Slide 11: We have multiple levers to grow the business

    We have multiple levers to grow the business Domestic Store International Store New Category Web Growth/ Wholesale Growth Growth Introductions Gifting Sales Growth All Driven By Our Circle of Engagement Content Increased Consumer Base Consumer Growth Connection More Loyalty Purchase Programs Occasio

  12. Slide 12: And we have restarted new store unit growth

    And we have restarted new store unit growth A teddy bear hug is understood in every Total Experience Locations language. (includes Corporate, Partner, and Franchise) 718 680 662 640 598 We are expanding 600 domestically & internationally in three 560 models and through 531 534 our multiple store 520

  13. Slide 13: We generate revenue from product sales at retail, at wholesale, and from royalties

    We generate revenue from product sales at retail, at wholesale, and from royalties International Retail Commercial Franchising DTC Wholesale sales Sales-based royalty (Corporate locations and (includes US & Intl. revenue, development fees, Fiscal 2025 websites in US, UK, CN) partner-operated locatio

  14. Slide 14: At retail, multiple store models produce top tier unit economics

    At retail, multiple store models produce top tier unit economics Corporate Store Returns 2025 Results for store classes Discovery Concourse/SIS of 2019, 2020, 2021, and 2022 Store Model* Store Model* Avg. Corp Store Unit Vol. $1,015K $915K 4-Wall EBITDA** $290K $210K 4-Wall EBITDA margin 29% 23% Avg

  15. Slide 15: Commercial is our fastest growing segment

    Commercial is our fastest growing segment Partner-Operated Locations Commercial Revenue +26% +54% CAGR CAGR $38.8 178 $31.4 138 $25.4 92 $18.5 Launched 70 61 international 56 $11.5 Partner- Operated Stores $4.4 $M 2020 2021 2022 2023 2024 2025 2020 2021 2022 2023 2024 2025 Commercial revenue is whol

  16. Slide 16: International Franchise is also growing

    International Franchise is also growing Intl. Franchise Stores Intl. Franchise Revenue +25% CAGR 109 92 83 80 81 77 $5.1 $4.5 $4.7 $3.2 $2.3 $1.7 $M 2020 2021 2022 2023 2024 2025 2020 2021 2022 2023 2024 2025 Intl. Franchise revenue includes sales-based royalties, development fees, and merchandise s

  17. Slide 17: While growing, we are returning capital to shareholders

    While growing, we are returning capital to shareholders $195M ($13.74/share*) Returned to Shareholders The Company increased its quarterly cash dividend in March 2026 to $0.23 per share. $20.5 Share Repurchase $31.0 $27.5 $4.4 Dividends $17.0 $24.2 $22.1 $19.9 $11.0 $11.5 $0.3 $M $5.8 2021 2022 2023

  18. Slide 18: Our opportunity to sell more products to more people in more places

    Our opportunity to sell more products to more people in more places is a testament to the power of the brand The specialty toy company that helped define experiential retail in the late ’90s has not only survived but thrived. From inspiring viral moments, generating products that leverage pop cultur

  19. Slide 19: Financial Review

    Financial Review

  20. Slide 20: Fiscal 2025 was our fifth consecutive record year

    Fiscal 2025 was our fifth consecutive record year Revenue $529.8M, +6.7% Pretax Income $67.2M, +0.1%* Net New Unit Growth* 64 units Gross Profit Margin 55.8%, + 90 BPS Results reflect approximately $11 EBITDA $81.4M, 15.4% margin million in tariffs and EPS $3.99, +5.0% related costs YE Cash $26.8M F

  21. Slide 21: Q2 2026 returned $8.5 million to shareholders

    Q2 2026 returned $8.5 million to shareholders Revenue $115.3M, -7.2% Pretax Income $11.6M, -24.1% Net New Unit Growth* 5 units Gross Profit Margin 54.2%, -340 BPS EBITDA $15.2M, 13.2% EPS $0.70, -25.5% Quarter-end Cash $14.0M Dividend $2.9M Stock Repurchased $5.6M *Net New Unit Growth includes Corpo

  22. Slide 22: 1H 2026 returned $22.7 million to shareholders

    1H 2026 returned $22.7 million to shareholders Revenue $240.6M, -4.8% Pretax Income $35.5M, +1.6% Net New Unit Growth* 12 units Gross Profit Margin 59.2%, +200 BPS EBITDA $42.9M, 17.8% EPS $2.16, +2.4% Quarter-end Cash $14.0M Dividend $5.8M Stock Repurchased $17.0M 1H 2026 includes an approximate $7

  23. Slide 23: Fiscal 2026 Guidance calls for continued store growth

    Fiscal 2026 Guidance calls for continued store growth Revenue $500M-$525M Pre-tax Income $60M-$68M Net New Unit Growth*** At least 50 units Capital Expenditures ≈$25M Depreciation & Amortization ≈$17M Income Tax Rate**** ≈24% Pre-tax income reflects an approximately $13 million IEEPA tariff refund a

  24. Slide 24: BBW Key Statistics

    BBW Key Statistics Share Price - August 31 $30.27 Shares Out. 2Q-end 12.5 Market Capitalization $377M Cash 2Q-end 14.0M Qtly. Dividend/Yield $0.23/3.0% Float (est.) 96% Avg. Daily Vol. (3 mos.) 504,000 Source: BAB, NYSE Connect 24

  25. Slide 25: Appendix

    Appendix

  26. Slide 26: Build-A-Bear Non-GAAP Reconciliations

    Build-A-Bear Non-GAAP Reconciliations Free Cash Flow, Corporate Store Returns, EBITDA, Guidance Fiscal Year-End ($ millions) 2021 2022 2023 2024 2025 Fiscal Year-End ($ millions) F2026 Outlook Calculation of Free cash flow Calculation of Adjusted Pre-tax Income Guidance Net cash provided by operatin

  27. Slide 27: Build-A-Bear Non-GAAP Reconciliations

    Build-A-Bear Non-GAAP Reconciliations Return on invested capital Fiscal Year-End ($ millions) 2021 2022 2023 2024 2025 Calculation of Return on Invested Capital Numerator Net income $ 47.3 $ 48.0 $ 52.8 $ 51.8 $ 52.2 Operating lease interest 7.1 5.5 5.5 6.9 7.9 Interest expense (income) (0.0) 0.0 (0

  28. Slide 28: Build-A-Bear Non-GAAP Reconciliations

    Build-A-Bear Non-GAAP Reconciliations Segment-level return on invested capital Fiscal Year-End ($ millions) # 2025 Fiscal Year-End ($ millions) # 2025 Fiscal Year-End ($ millions) # 2025 Calculation of Return on Invested Capital Calculation of Return on Invested Capital Calculation of Return on Inve

  29. Slide 29: Contact Information

    Contact Information Gary Kim Schnierow Utlaut VP, Investor Relations SVP, & Corporate Finance Chief Brand Officer GaryS@buildabear.com KimU@buildabear.com 29

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