Weak US demand pushes Build-a-Bear to 2Q loss

Build-A-Bear Workshop Inc., which sells customer-personalized stuffed animals, said Thursday it swung to a fiscal second-quarter loss, hurt by weaker demand in the U.S.

Quarterly loss totaled $4.8 million, or 25 cents per share, compared with a profit of $1.6 million, or 8 cents per share last year.

Revenue fell 5 percent to $94.7 million from $100 million last year.

Analysts polled by Thomson Financial, on average, predicted a loss of 13 cents per share on revenue of $95.6 million.

The company said results were hurt by a slowdown in consumer spending, mainly in the U.S. Consumers are cutting back on discretionary spending amid rising food and gas prices and declining home values.

Same-store sales, or sales in stores open at least one year, fell 17.9 percent, including a 20.5 percent drop in the U.S. and a 2.2 percent rise in Europe.

The St. Louis-based company said it expects it expects to meet analysts' earnings expectations of 68 cents per share in 2008 and will slow new store growth and lower capital spending in fiscal 2009 to improve results.