Proactiveinvestors USA & Canada Mattel https://www.proactiveinvestors.com Proactiveinvestors USA & Canada Mattel RSS feed en Sat, 16 Feb 2019 05:35:16 -0500 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[News - The toy story delivers a mixed bag as Hasbro shares tumble on Toys "R" collapse while Mattel soars, thanks to Barbie ]]> https://www.proactiveinvestors.com/companies/news/214276/the-toy-story-delivers-a-mixed-bag-as-hasbro-shares-tumble-on-toys--r--collapse-while-mattel-soars-thanks-to-barbie-214276.html The toy industry was a study in contrast in Friday’s pre-market trade as Hasbro Inc’s stock (NASDAQ:HAS) tumbled after a disappointing quarter due to the collapse of Toys “R” Us while rival Mattel Inc shares (NASDAQ:MAT) rocketed after reporting a robust fourth-quarter. 

While Mattel shares picked up 16% to hit $14.35 before the opening bell on Friday, rival Hasbro shares sank by 8.7% to $82.40.

READ: Hasbro struggles in 3Q after Toys R Us bankruptcy, job cuts to follow

Hasbro's fourth-quarter results fell short of Wall Street’s estimates as it was hit hard during the holiday period by the closing of Toys "R" Us.

In the three months ended December 30, Hasbro earned $1.33 per share (adjusted) on sales of $1.39 billion. Analysts had called for Hasbro to see a profit of $1.67 per share on revenue of $1.52 billion.

“2018 was a very disruptive year, driven by the bankruptcy and liquidation of Toys “R” US across most of the world and a rapidly shifting consumer and retail landscape,” said Brian Goldner, Hasbro’s CEO in a statement.

“We were not, however, able to recapture as much of the Toys “R” Us business during the holiday period as we anticipated as the effect of its liquidated inventory in the market was more impactful than we and industry experts expected.

Barbie and Hot Wheels lift Mattel's numbers​

In its latest quarter, toy maker Mattel reported better-than-expected earnings, helped by the sales of Barbie dolls and Hot Wheels cars.

The company reported net income of $14.9 million, or $0.04 per share, on revenue of $1.52 billion. The results crushed the forecasts of analysts who had called for the El Segundo, California-based company to post a loss of $0.16 per share on sales of $1.44 billion.

“In terms of regaining top line growth Barbie and Hot Wheels continued their momentum throughout the year,” said Ynon Kreiz, CEO of Mattel, speaking in a conference call late Thursday. “We executed well in our two largest regions North America and Europe and maintained our strength in Latin America and global emerging markets excluding China.”

Contact Ellen Kelleher at ellen@proactiveinvestors.com

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Fri, 08 Feb 2019 08:10:00 -0500 https://www.proactiveinvestors.com/companies/news/214276/the-toy-story-delivers-a-mixed-bag-as-hasbro-shares-tumble-on-toys--r--collapse-while-mattel-soars-thanks-to-barbie-214276.html
<![CDATA[News - Mattel shares pounded as the toy maker's woes continue; cuts 2,200 jobs ]]> https://www.proactiveinvestors.com/companies/news/201660/mattel-shares-pounded-as-the-toy-maker-s-woes-continue-cuts-2200-jobs-201660.html Mattel Inc (NASDAQ:MAT) shares sank more than 6% Thursday as the toy maker's woes continue. Its quarterly earnings missed analysts' expectations and it announced it was axing thousands of jobs.

The bankruptcy of its biggest customer, Toys 'R' US, really hit the Barbie-maker hard, losing it 10% of its sales in the second quarter.

This coupled with sluggish sales of its brands like Fisher-Price and Hot Wheels, as youngsters opt for electronic alternatives, has compounded problems.

Job cuts

Now the company has announced that 2,200 jobs are to be cut, or 22% of the global non-manufacturing workforce, as part of its cost-savings plan unveiled last October aimed at saving US$650mln over two years. The vast majority of the job cuts are back-office and support roles, according to the company.

The bottom line in the three months to end June was an increased net loss to US$240.9mln, or US$0.70 per share, from US$56.1mln, or US$0.16 per share, a year earlier.

That was on sales, which fell 13.7% in the quarter to US$840.7mln, which was less than the US$851.8mln, which analysts had expected.

Mattel CEO Ynon Kreiz reportedly said on a conference call that he hopes the company can realign resources toward high-performing toys, improving online sales and developing better toy franchises for the future.

"We see a lot of opportunities, but there has been a big discrepancy between our financial performance over the last few years and where the company should be," he said.

Shares fell 6.4% to US$15.25 in New York.

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Thu, 26 Jul 2018 08:53:00 -0400 https://www.proactiveinvestors.com/companies/news/201660/mattel-shares-pounded-as-the-toy-maker-s-woes-continue-cuts-2200-jobs-201660.html
<![CDATA[News - Barbie maker Mattel reports shock loss as demand of top brands wanes ]]> https://www.proactiveinvestors.com/companies/news/191081/barbie-maker-mattel-reports-shock-loss-as-demand-of-top-brands-wanes-191081.html Barbie dolls maker Mattel Inc (NASDAQ:MAT) posted a shock loss for the fourth quarter as revenues fell on weak demand for its top brands.

The toy company reported a net loss of US$281.mln in the quarter ended December 31, including a US$457mln hit related to the new US tax laws.

Excluding one-time items, the loss was 72 cents per share, compared to analysts’ expectations of 17 cents per share.

Revenue dropped 12.1% to US$1.61bn, missing forecasts of US$1.69bn.

Sales from Fisher-Price toys declined 12% and sales in the construction, arts and crafts division that includes Mega Blocks slumped 25%.

The company has in recent years struggled with sluggish sales of its well-known brands, including Barbie and Hot Wheels, as more children opt for video games and electronics over traditional toys.

The bankruptcy of toy retailer Toys ‘R’ US also added pressure on Mattel to find new outlets for sales.

Mattel’s gross margin fell to 32% from 47% a year ago, as advertising rose 18%.

The company, which has turned down takeover bids from rival Hasbro Inc (NASDAQ:HAS), decided to scrap its dividend payout to free up cash.

Shares in Mattel fell 8% to US$15.3 each in US pre-market trade. 

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Fri, 02 Feb 2018 10:57:00 -0500 https://www.proactiveinvestors.com/companies/news/191081/barbie-maker-mattel-reports-shock-loss-as-demand-of-top-brands-wanes-191081.html
<![CDATA[News - Mattel comes off the rails ]]> https://www.proactiveinvestors.com/companies/news/172244/mattel-comes-off-the-rails-172244.html The share price of Mattel Inc (NASDAQ:MAT) took a serious dent in early deals after the toys maker disappointed last night with its trading update.

The shares shed 12.8% at US$27.53 in opening deals, as investors got shot of the stock faster than an unwanted Christmas present.

The Barbie dolls maker said net revenue in the fourth quarter of 2016 was down 8.3% year-on-year to US$1.83bn, which was well short of the US$1.96bn the market had been expecting.

The company said sales had been hit by increased competition and weak demand in North America.

Sales in North America were down 7% from a year earlier.

The flagship Barbie doll product saw sales slide 2% from the same period the previous year, although stripping out foreign exchange rate movements would have resulted in a 1% gain.

The company told analysts that the retail channels are currently stuffed full of stock, which would affect the current quarter’s sales.

 

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Thu, 26 Jan 2017 09:43:00 -0500 https://www.proactiveinvestors.com/companies/news/172244/mattel-comes-off-the-rails-172244.html
<![CDATA[News - Brokers - Jefferies upbeat on Barbie maker ]]> https://www.proactiveinvestors.com/companies/news/122067/brokers-jefferies-upbeat-on-barbie-maker-122067.html Jefferies is raising estimates on Barbie maker Mattel (NYSE: MAT)and rates shares a 'buy' targeting US$30.

Yesterday, the toy group posted a surprise increase in quarterly net sales - the first in more than two years, as sales of its Barbie dolls recovered and demand rose for its Hot Wheels toys.

Jefferies says Barbie and Fisher Price may be turning a corner but challengers in other properties "linger".

The same broker says 'hold' on food service provider Sysco (NYSE: SYY) targeting US$45 after it yesterday reported second quarter EPS of $0.48, up from $0.41 in the previous year, beating consensus.

Jefferies noted: "Despite greater deflation and cont'd FX headwinds, the company eked out modest overall sales growth on better than-expected case volumes (notably Local).

".... we maintain our Hold rating as valuation has been inflated by the arrival of an activist and investors looking for safety in a 3% dividend yield."

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Tue, 02 Feb 2016 10:06:00 -0500 https://www.proactiveinvestors.com/companies/news/122067/brokers-jefferies-upbeat-on-barbie-maker-122067.html
<![CDATA[News - Mattel swings to Q2 loss as sales drop for 7th quarter on weak Barbie dolls business ]]> https://www.proactiveinvestors.com/companies/news/115122/mattel-swings-to-q2-loss-as-sales-drop-for-7th-quarter-on-weak-barbie-dolls-business-115122.html Mattel (NASDAQ:MAT), the world’s largest toymaker, swung to a second-quarter loss as sales fell for the seventh straight quarter on weak international demand for its Barbie dolls. Shares retreated in morning trading.

Net loss was $11.4 million, or $0.03 per share, in the April-to-June quarter, compared with a profit of $28.3 million, or $0.08 per share, a year earlier, the El Segundo, California-based company said in a statement late yesterday.

Profit amounted to 1 cent a share in the period, excluding some items. That beat analysts’ predictions for a 4-cent loss, according to data compiled by Capital IQ.

Net sales fell 7 percent to $988.2 million, lagging behind the Wall Street consensus of $991.9 million. Sales for Barbie dropped 11 percent but are up slightly for the year.

Barbie’s weak performance underscores the deep challenges facing new Mattel chief executive christopher Sinclair as he looks to right the world’s largest toy maker by sales. Barbie is Mattel’s largest brand and a big driver of profits, but its long slump has cost it shelf space at retailers that Mattel will have to work hard to earn back.

“Although we are still early in our turnaround effort, I believe we are taking all the right steps to be more competitive in the growing global toy industry,” Sinclair said in the statement.

Shares declined 4.8 percent to $23.95 at 10:37 a.m. in New York, expanding this year’s drop to 22 percent.

Worldwide sales for the company’s infant and toddler brand Fisher-Price rose 9 percent, American Girl climbed 1 percent and Hot Wheels and Matchbox rose 26 percent. 

Gross margin improved to 47.9 percent in the second quarter ended June 30 as costs fell 10 percent.

Mattel is on track to achieve the high end of its cost-cut target range of $250 million to $300 million by end of next year, Reuters cited CFO Kevin Farr as saying on a post-earnings call.

The company also said it had renewed its partnership with Walt Disney Co for the Toy Story films, gaining global rights for toys based on the fourth installment of the franchise due in 2017.

The company said earlier this year that it would refresh its line of Barbies in 2016. It also announced plans for a fall launch of the first-ever line of superhero action figures for girls, featuring characters such as Superwoman and Wonder Woman.

 

 

 

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Fri, 17 Jul 2015 10:56:00 -0400 https://www.proactiveinvestors.com/companies/news/115122/mattel-swings-to-q2-loss-as-sales-drop-for-7th-quarter-on-weak-barbie-dolls-business-115122.html
<![CDATA[News - Barbie's declining appeal weighs on Mattel as Q3 results fail to meet estimates ]]> https://www.proactiveinvestors.com/companies/news/103702/barbies-declining-appeal-weighs-on-mattel-as-q3-results-fail-to-meet-estimates-57475.html Mattel (NASDAQ:MAT) shares fell Thursday as investors were disappointed by the toy maker's latest third quarter results, which revealed a 21 percent drop in global Barbie sales.

For the quarter, it reported net income of $331.8 million, or 97 cents per share, compared to last year's $422.8 million, or $1.21 per share.

Net sales fell 8 percent to $2.02 billion from $2.21 billion, as North American sales and international revenue both decreased 7 percent.

Wall Street analysts expected the toy maker to deliver earnings of $1.02 per share and $2.18 billion in sales based on data compiled by Fact Set.

Its Mattel Girls and Boys Brands unit, which includes Barbie, saw sales declined 11 percent from the same period last year to $1.32 billion. Barbie brand sales worldwide tumbled 21 percent while its Wheels brand sales, which includes the Hot Wheels and Matchbox brands, rose 4 percent. Entertainment business sales slid 23 percent.

Its Fisher-Price unit sales decreased 16 percent to $663.4 million, and its American Girl Brands division, which sells the products directly to consumers, recorded revenue of $113.3 million, down 7 percent from the year ago period.

Sales from its construction and arts & crafts brands, which includes the MEGA BlOKS brand,  were $123.4 million. Mattel acquired MEGA Brands in April of this year.

“While third quarter results did not meet our expectations, they do reflect progress towards achieving our goal to end the year with improved POS momentum and reduced inventory levels,” said chairman and chief executive Bryan G. Stockton.

“Global POS was positive in the quarter, and inventories at retail, both in the U.S. and in international markets, were lower. 

"Clearly we have work to do as we enter the fourth quarter, and we remain focused on executing during the all-important holiday season and beyond.”

Mattel said its gross margin declined 330 basis points of net sales partly due to the acquisition of MEGA Brands.

Shares were down 3.4 percent late Thursday at US$29.49 on the Nasdaq.

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Thu, 16 Oct 2014 15:44:00 -0400 https://www.proactiveinvestors.com/companies/news/103702/barbies-declining-appeal-weighs-on-mattel-as-q3-results-fail-to-meet-estimates-57475.html
<![CDATA[News - Mattel slides as weak Barbie sales hurt Q2 results ]]> https://www.proactiveinvestors.com/companies/news/102351/mattel-slides-as-weak-barbie-sales-hurt-q2-results-55521.html Mattel (NASDAQ:MAT) shares took a sharp tumble on Thursday after the toy maker reported second quarter results that missed the mark, weighed down by declining sales of its iconic Barbie dolls.

For the second quarter, the company reported net income of $28.3 million, or 8 cents per share, compared to last year's profit of $73.3 million, or 21 cents per share.

Net sales were $1.06 billion, down 9 percent versus $1.17 billion in the same period a year ago.

Analysts polled by Thomson Reuters expected a profit of 18 cents a share and revenue of $1.19 billion.

Sales in the company's girls and boys brands category fell 13 percent to $689 million, as global Barbie sales were down 15 percent. The popular Wheels brand sales, which include Hot Wheels and Matchbox brands, were down 3 percent.

Fisher-Price revenue fell 17 percent to $328.8 million, while its American Girl category sales rose 6 percent to $83.1 million. Construction and arts and crafts sales, which includes the MEGA BLOKS and RoseArt brands acquired through its MEGA Brands purchase in April, were $61.6 million. 

"While results for the quarter did not meet our expectations, we did see improving POS trends," said chairman and CEO Bryan G. Stockton.

"As we move into the second half of the year and the all-important holiday season, we need to drive POS higher by bringing innovative products to market, making additional advertising investments and optimizing the effectiveness of our marketing spend.”

On a regional basis, second quarter sales in North America, decreased 8 percent, while international sales fell 9 percent.

Gross margin narrowed to 46.4 percent from 51.3 percent in the second quarter of 2013.

At last check, shares of Mattel fell 6.3 percent to US$36.57 as of 11:27am ET in New York, dropping to as low as US$36.11 earlier in the session. The stock has a 52-week low of US$34.98.

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Thu, 17 Jul 2014 11:30:00 -0400 https://www.proactiveinvestors.com/companies/news/102351/mattel-slides-as-weak-barbie-sales-hurt-q2-results-55521.html
<![CDATA[News - Mattel rises as Barbie sales boost Q3 profit ]]> https://www.proactiveinvestors.com/companies/news/97921/mattel-rises-as-barbie-sales-boost-q3-profit-48970.html Mattel Inc. (NASDAQ:MAT), the world’s largest toymaker, climbed in early trading after posting better-than-expected third-quarter earnings on a jump in Barbie and American girl sales.

Mattel advanced as much as 5.7 percent to before trading at $42.99, up 3.6 percent, at 9:41 a.m. in New York.

Net income in the quarter ended Sept. 30 increased 16 percent to $422.8 million, or $1.21 a share, from $365.9 million, or $1.04 a share, in the year-earlier period, the El Segundo, California-based company said in a statement today. 

Excluding a tax benefit of 5 cents per share, earnings were $1.16 per share. Analysts predicted earnings of $1.11 per share.

Mattel is working on pumping up sales amid sluggish growth of the toy industry in the U.S., the company’s largest market, as kids spend more time using electronic devices. 

Quarterly sales increased 6 percent to $2.21 billion from $2.08 billion a year ago. Analysts estimated $2.18 billion. 

Revenue from Barbie, its largest brand, grew 3 percent, after posting declines in the previous four quarters.  Sales of American Girl jumped 20 percent. 

"Mattel delivered growth in every region of the world, expanded our operating margins, further strengthened our balance sheet and returned more capital to our shareholders,"  Chief Executive Officer Bryan G. Stockton said in the statement.

In North America, gross sales rose 3 percent. International gross sales climbed 9 percent.

Mattel also announced a fourth-quarter dividend of 36 cents a share. The dividend will be paid on Dec. 13 to shareholders of record on Nov. 27.

Mattel sells its toys through retailers such as Wal-Mart Stores Inc. (NYSE:WMT), Toys R Us Inc, Target Corp. (NYSE:TGT) and Amazon.com Inc. (NASDAQ:AMZN) as well as through its own catalog and website.

The shares have gained 13 percent this year, compared with a 19 percent gain for the Standard & Poor’s 500 Index (INDEXSP:.INX).

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Wed, 16 Oct 2013 10:17:00 -0400 https://www.proactiveinvestors.com/companies/news/97921/mattel-rises-as-barbie-sales-boost-q3-profit-48970.html
<![CDATA[News - Mattel shares hit three-month low after Q2 results disappoint ]]> https://www.proactiveinvestors.com/companies/news/96295/mattel-shares-hit-three-month-low-after-q2-results-disappoint-46157.html Mattel (NASDAQ:MAT) shares plunged in early deals Wednesday after the company reported a 24 per cent decline in second quarter net profit, hurt by an asset impairment charge, and as Fisher Price and Barbie sales fell. 

For the three months to June 30, the company reported net income of $73.3 million, or 21 cents per share, compared to a profit of $96.2 million, or 28 cents per share, a year ago. 

Net sales were $1.17 billion, up 1 per cent compared to last year, with no impact from changes in currency exchange rates. 

Analysts polled by Thomson Reuters had most recently forecast per-share earnings of 32 cents on revenue of $1.22 billion.

In the Mattel Girls and Boys brands category, total sales were $792.4 million, up 1 per cent from a year ago. In this unit, Barbie sales were down 12 per cent, while Wheels sales, which includes the Hot Wheels, Matchbox and Tyco brands, were down 6 per cent. Without Barbie, sales of Girls brands were up 23 per cent. 

Fisher-Price sales were $396.7 million, down 3 per cent from the same period a year ago, while the American Girl brand sales rose 14 per cent to $78.2 million, driven by strong sales of Saige, the 2013 Girl of the Year and Caroline, the company said. 

“While we delivered another quarter of sales growth and strong gross margins, lower profits in the second quarter reflect an asset impairment charge and strategic investments made to support consistent future growth," said chairman and CEO, Bryan G. Stockton, in the release Wednesday. The company didn't specify the amount of the asset impairment charge, or the strategic investments. 

"As we look to the second half of the year and the all-important holiday season, we are excited by the innovative product, entertainment and retail programs planned and we remain focused on leveraging our industry leading portfolio of strong brands, countries and customers.”

On a regional basis, North American sales decreased 2 per cent in the quarter, while international sales rose 4 per cent. Gross margin was flat at 51.3 per cent. 

The toy maker, which also declared a third quarter dividend of 36 cents per share Wednesday, also announced an increase to its share buyback program of $500 million. 

Shares of Mattel fell to a 3-month low of $43.55, down more than 6 per cent this morning. 

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Wed, 17 Jul 2013 10:35:00 -0400 https://www.proactiveinvestors.com/companies/news/96295/mattel-shares-hit-three-month-low-after-q2-results-disappoint-46157.html
<![CDATA[News - Mattel shares rise as Q1 results top views; profit surges ]]> https://www.proactiveinvestors.com/companies/news/94343/mattel-shares-rise-as-q1-results-top-views-profit-surges-42827.html  

Shares of Mattel (NASDAQ:MAT) were higher in premarket hours Wednesday, after the toy maker reported first quarter results that topped analysts’ expectations thanks to sales growth led by its American Girl merchandise.

The company, which makes Hot Wheels, Polly Pocket and Barbie, said first quarter net earnings shot up to $38.5 million or 11 cents per share, compared to $7.8 million or two cents per share, a year earlier. 

Revenue grew seven per cent to $995.6 million from $928.4 million in the year-ago period.

Analysts polled by Thomson Reuters expected per share earnings of nine cents, on revenue of $985.79 million for the period that ended March 31.

“Overall, 2013 is off to a solid start, demonstrating the strength of our global portfolio of brands, countries and customers,” said chairman and CEO Bryan G. Stockton.

“We are very pleased with the performance of our Girls portfolio and the strong results across all regions, particularly Europe. We continue to see the first quarter as our pre-season and we remain focused on a strong 2013 and delivering in the all-important holiday season.” 

On a regional basis, the company said revenue rose five per cent in North America, while sales overseas grew by nine per cent.

The company's Mattel Girls & Boys brands posted $692.2 million in sales, an increase of 11 per cent. 

In this unit, global Barbie sales fell two per cent, while sales for the Wheels brands, which includes Hot Wheels, Matchbox and Tyco R/C, also slipped two per cent. 

Worldwide sales for Fisher-Price products fell seven per cent to $287.3 million, while Mattel's American Girl brand sales popped 32 per cent to $100.5 million. 

Gross margin widened to 54.2 per cent from 51 per cent, while cost of sales, which includes the cost of the materials used in making the products and the direct labor costs involved, was relatively flat year-over-year at $455.6 million.

Mattel employs around 28,000 people in 40 countries and territories and sells products in more than 150 nations.

The company also declared a second quarter cash dividend of 36 cents per share on Wednesday, payable on June 14 to stockholders of record on May 23. 

During the first quarter, Mattel repurchased 240,000 shares of its common stock at a cost of about $9 million.

Shares of the company rose 4.23 per cent in premarket hours, lately at $44.80.

 

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Wed, 17 Apr 2013 09:08:00 -0400 https://www.proactiveinvestors.com/companies/news/94343/mattel-shares-rise-as-q1-results-top-views-profit-surges-42827.html
<![CDATA[News - Mattel Q3 profit tops views on American Girl and Fisher-Price sales strength ]]> https://www.proactiveinvestors.com/companies/news/90421/mattel-q3-profit-tops-views-on-american-girl-and-fisher-price-sales-strength-36037.html

Toy maker Mattel (NASDAQ:MAT) reported fiscal third quarter profit spiked thanks to sales growth led by Fisher-Price and American Girl merchandise.

The California-based company, which makes Hot Wheels, Polly Pocket, Max Steel action figures and Barbie, said net earnings popped to $365.9 million or $1.04 per share, up from $300.8 million or 86 cents per share, a year earlier. 

Revenue, in the quarter, grew four per cent to $2.07 billion from $1.99 billion. 

Analysts polled by Bloomberg expected earnings of 99 cents, on revenue of $2.1 billion for the period that ended September 30.

Shares, in Tuesday regular trade, jumped 3.90 per cent to $36.80 each on the Nasdaq.

"We are pleased with our performance in the third quarter as it represents another quarter of building momentum in the marketplace through share gains and strong shipments across our portfolio of brands and countries," chief executive Bryan G. Stockton said in a statement. 

"That said, with the holidays still in front of us, we remain focused on executing our business and driving retail sales in the all-important holiday season."

On a regional basis, the company said revenue rose six per cent in North America, while sales overseas notched up a smaller two per cent.

The company's Mattel Girls & Boys brands posted $1.37 billion in sales, an increase of three per cent. 

In this unit, global Barbie sales fell four percent, while sales for the Wheels brands, which includes Hot Wheels, Matchbox and Tyco R/C, also slipped one per cent. 

Worldwide sales for Fisher-Price products rose six per cent to $790.4 million, driven by strength in Fisher-Price Friends.

And Mattel's American Girl brand sales popped 16 per cent to $102 million. 

The toy maker also spent $5 million to buyback 139,000 of its common stock in the quarter. Its board declared a quarterly dividend of 31 cents per share, which will be paid out on December 14.

Gross margin widened to 53.7 per cent from 47.8 per cent, as the company spent less on ads and the cost of sales declined. 

The cost of sales, which includes the cost of the materials used in making the products and the direct labor costs involved, fell 8 percent to $962.4 million.

Mattel employs around 28,000 people in 43 countries and territories and sells products in more than 150 nations.

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Tue, 16 Oct 2012 10:49:00 -0400 https://www.proactiveinvestors.com/companies/news/90421/mattel-q3-profit-tops-views-on-american-girl-and-fisher-price-sales-strength-36037.html
<![CDATA[News - Mattel beats analyst estimates as Q2 profit rises 20% ]]> https://www.proactiveinvestors.com/companies/news/87935/mattel-beats-analyst-estimates-as-q2-profit-rises-20-32057.html The largest U.S. toymaker Mattel (NASDAQ:MAT) announced Tuesday a 20 per cent increase in second quarter net income, beating expectations as it continued to "build momentum" with core brands such as Barbie and Hot Wheels.

For the second quarter that ended June 30, net income was $96.2 million, or 28 cents per diluted share, compared to a profit of $80.5 million, or 23 cents per diluted share in the year-earlier period.

Revenue totalled $1.16 billion, flat compared to last year’s second quarter. Analysts forecasted earnings of 20 cents a share on sales of $1.13 billion.

The El Segundo, California-based maker of Barbie dolls and Hot Wheels toy cars said that sales included an unfavourable impact in currency exchange rates in the second quarter of 4 percentage points.

On a regional basis, gross sales rose 1 per cent in the North American region, and edged down 1 per cent internationally, due to the impact of currency exchange rates.

"In the second quarter, we delivered solid performance as we continued to build momentum with key brands, such as Barbie, Monster High, American Girl and Hot Wheels, as well as the Batman - The Dark Night Rises property, despite a continued cautious global retail environment and a strengthening U.S. dollar," said Mattel’s CEO, Bryan G. Stockton.

"As we look forward, we remain focused on executing our portfolio of strong brands, countries and customers to deliver in the all-important holiday season."

Segmented by brand, second quarter worldwide gross sales for Mattel girls & boys brands totaled $781.6 million, a decrease of 1 per cent from the second quarter of 2011.

Worldwide gross sales for the Barbie brand rose 5 per cent, while sales for other girls brands—which includes Monster High—rocketed 96 per cent.

The Wheels segment – which includes Hot Wheels, Matchbox and Tyco – reported a 9 per cent sales increase.
Sales for the entertainment unit fell 36 per cent, mostly because of declines in the Cars movie property.

The Fisher-Price brands segment saw sales rise 2 per cent to $407.3 million in the second quarter, while the American girls segment sales rose 3 per cent to $68.7 million.

Mattel also announced Tuesday that its board of directors have declared a third quarter cash dividend of 31 cents per share on the company’s common stock, payable on September 21.

The dividend is the third of four quarterly dividends Mattel expects to pay this year, reflecting an annualized dividend of $1.24 per share, a 35 per cent increase in comparison to last year.

Mattel also repurchased 70,000 company shares at a cost of roughly $2 million in the second quarter.

The company designs, manufactures and markets toys and family products across the globe, in more than 150 nations.

Shares of Mattel increased 6.89 per cent to $31.04 before the opening bell Tuesday.

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Tue, 17 Jul 2012 09:18:00 -0400 https://www.proactiveinvestors.com/companies/news/87935/mattel-beats-analyst-estimates-as-q2-profit-rises-20-32057.html
<![CDATA[News - Mattel Q1 earnings fall on acquisition costs ]]> https://www.proactiveinvestors.com/companies/news/85350/mattel-q1-earnings-fall-on-acquisition-costs-27745.html Mattel (NASDAQ:MAT) Monday reported that first-quarter net income fell 53% on 2.5% lower sales.

The maker of Barbie dolls and Hot Wheels toy cars said that earnings were impacted by costs related to last October's $680-million acquisition of U.K.-based HIT Entertainment, the company behind Thomas the Tank Engine and Bob the Builder.

For the quarter ended March 31, profit fell to $7.8 million, or 2 cents per share, from $16.6 million, or 5 cents, in the year-
earlier period. Revenue slipped to $928.4 million from $951.9 million.

A survey of analysts by FactSet Research produced a consensus estimate of 7 cents per share on $986 million of revenue.

"As is often the case this time of year, we have work to do in certain areas across our portfolio of brands, countries and customers as we prepare to successfully execute the all-important holiday season," Mattel chief executive Bryan Stockton said.

The largest U.S. toymaker has seen earnings rise in recent quarters as international demand has boosted the resilience of its big-name brands such as Barbie and Hot Wheels.

Mattel increased toy prices at the beginning of the year in an effort to mitigate rising costs. Volatile crude oil prices and packaging expenses, as well as the rising cost of labor in China has added to uncertainty.

Worldwide gross sales for Barbie slipped 6 percent in the first quarter, while sales of other girls brands – which includes Monster High – rose 22 percent. The Wheels segment – which includes Hot Wheels, Matchbox and Tyco – reported a 6 percent sales decline.

Sales for the entertainment unit fell 17 percent mostly because of declines in the Cars property while Fisher Price sales were essentially flat while sales of American Girl climbed 4 percent on strong sales.

Gross margin rose to 51 percent from 49.7 percent.

Mattel also declared a second-quarter dividend of 31 cents per share to be paid on June 15.

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Mon, 16 Apr 2012 07:44:00 -0400 https://www.proactiveinvestors.com/companies/news/85350/mattel-q1-earnings-fall-on-acquisition-costs-27745.html
<![CDATA[News - Mattel posts Q4 profit helped by Hot Wheels and Barbie sales ]]> https://www.proactiveinvestors.com/companies/news/83286/mattel-posts-q4-profit-helped-by-hot-wheels-and-barbie-sales-24255.html Mattel (NYSE:MAT), the maker of Hot Wheels and Barbie, posted better-than-expected fourth-quarter profits helped by international sales, but missed analyst predictions for revenue.

For the quarter ended December 31, the company posted net income growth of 14 percent to $370.6 million, or $1.07 per share. That is up from $325.2 million, or 89 cents per share.

Quarterly revenue rose one percent to $2.15 billion from $2.12 billion a year ago.

Analysts polled by Bloomberg expected earnings of $1.01 a share, on sales of $2.2 billion.

Mattel's chief executive, Bryan Stockton, said: "Mattel delivered another strong year, our third consecutive year of solid performance, which I am especially pleased about given the soft global economic backdrop and the highly promotional environment, particularly in the US."

In the US, sales were down two percent, but were offset by strong growth in international markets as sales there rose five percent which included a three percentage point drag from unfavourable foreign exchange rates.

Barbie sales went up six percent in the quarter. Sales for Mattel’s Wheels segment – which includes the Hot Wheels, Matchbox and Tyco R/Co brand – jumped five percent.

Revenue for its Entertainment unit – which includes Radica and Games – rose three percent for the quarter.

Sales for the American girl segment rose four percent, with sales for Fisher-Price declining 10 percent.

Gross profit as a percentage of sales rose to 53.9 percent from 51.6 percent.

Mattel’s board declared a first quarter cash dividend of 31 cents. The dividend will be paid on March 9 to stakeholders on
record of February 23.

For the quarter, the company also purchased four million of its own stock for $112 million.

Shares rose 2.78 percent to $30.35 each Tuesday in pre-market trade.

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Tue, 31 Jan 2012 09:49:00 -0500 https://www.proactiveinvestors.com/companies/news/83286/mattel-posts-q4-profit-helped-by-hot-wheels-and-barbie-sales-24255.html
<![CDATA[News - Mattel acquires Thomas the Tank Engine brand with $680 mln HIT Entertainment deal ]]> https://www.proactiveinvestors.com/companies/news/80783/mattel-acquires-thomas-the-tank-engine-brand-with-680-mln-hit-entertainment-deal-20014.html Toymaker Mattel (NASDAQ:MAT) Monday agreed to pay $680 million cash for Hit Entertainment, the privately-held UK media firm that holds the rights to children's brands including Barney, Bob the Builder and Thomas the Tank Engine.

Mattel is acquiring HIT from London-based private equity firm Apax Partners. Apax acquired former London Stock Exchange-listed firm HIT in 2005 for £490 million (US$780.4 million).

The US toymaker said the deal price equals 9.5 times earnings before interest, taxes, depreciation and amortization (EBITDA) for the prior 12 months.

Mattel's chairman and CEO, Robert A. Eckert, said: "Mattel is the right home for Thomas & Friends. This powerhouse brand is joining the ranks of such iconic brands as Barbie, Hot Wheels, Fisher-Price and American Girl."
HIT Entertainment's president and CEO, Jeffrey D. Dunn, added: "HIT Entertainment owns some of the most loved and trusted preschool brands in the world and under Mattel's leadership, I look forward to seeing them grow to even greater heights."

Mattel said HIT's annual revenues are about $180 million and expects the deal to close either at the end of the year or by the end of the first quarter of 2012.

For the three months ending September 30, Mattel beat analyst earning expectations by a penny, posting net income of $300.8 million, or $0.86 per share, up six percent from $283.3 million, or $0.77 per share, a year ago.
Net sales hiked to $2.0 billion, up nine percent from $1.83 billion in the same period last year. Revenues in Mattel's girls and boys brands unit increased 15 percent to $1.34 billion, largely on a 17 percent rise in Barbie sales.

Mattel shares closed up 1.5 percent at $27.69 Friday. The stock is up 26 percent over the past year.

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Mon, 24 Oct 2011 09:06:00 -0400 https://www.proactiveinvestors.com/companies/news/80783/mattel-acquires-thomas-the-tank-engine-brand-with-680-mln-hit-entertainment-deal-20014.html
<![CDATA[News - Mattel Q3 sales rise 9% on Barbie and CARS 2 ]]> https://www.proactiveinvestors.com/companies/news/80564/mattel-q3-sales-rise-9-on-barbie-and-cars-2-19659.html Mattel (NASDAQ:MAT) said Friday its third quarter revenues were driven by strong sales in its Barbie and CARS 2 product lines.

For the three months ending September 30, the toy maker posted net income of $300.8 million, or $0.86 per share, up 6% from $283.3 million, or $0.77 per share, a year ago.

Net sales hiked to $2.0 billion, up 9% from $1.83 billion in the same period last year. Worldwide gross sales also increased 9% to $2.18 billion.

Analysts had expected $0.85 per share in profits on $2.0 billion in sales.

While Mattel spent 9% more on advertising and promotions than it did a year ago, up to $219.9 million, it slashed its selling and administrative expenses by 10%, only $338.6 million.

Mattel CEO Robert A. Eckert said: "We continue to be pleased with our performance across our portfolio of brands in all of the regions of the world. Not only have we continued to benefit from the strength of our core brands, but this year's big entertainment property, CARS 2, is also fueling momentum.

"As we enter into the all-important holiday season, we remain keenly focused on execution and delivering growth in our core brands, working to expand and leverage our international footprint, optimizing our entertainment portfolio, and building our newest franchise, Monster High."

Revenues in Mattel's Girls & Boys Brands increased 15% to $1.34 billion, largely on a 17% hike in Barbie sales, as well as a 32% hike in other Girls Brands, including the Monster High and Disney Princess dolls.
The Wheels portion of the Girls & Boys business, which includes Hot Wheels, Matchbox, and Tyco R/C, posted added a 2% rise in sales, while games and puzzles helped push the segment forward with a 14% sales hike, largely on the CARS 2 property.

Fisher-Price Brands, including product lines like Fisher-Price Core, Fisher-Price Friends, and Power Wheels, had gross worldwide sales of 748.9 million, up 1%, driven by products from its Infant-based lines. The American Girl Brands, which includes all American Girl branded products, posted a 4% rise in gross global sales to $87.6 million, largely reflecting strong sales of the Kanani doll, branded the 2011 Girl of the Year.

Gross profit margins, however, shed 330 basis points, to 47.8%.

In other news, Mattel's board of directors approved a quarter cash dividend of 23-cents per share, payable on December 16.

The El Segundo, California-based company also increased its previously announced share repurchase program by $500 million. During this third quarter, Mattel repurchased approximately 6.6 million shares of its common stock for total consideration of $173 million. Under the current program, Mattel has repurchased 144.7 million shares of its common stock for $3.0 billion in total.

Mattel shares were down 4.39% to $26.56 on Friday morning.

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Fri, 14 Oct 2011 10:12:00 -0400 https://www.proactiveinvestors.com/companies/news/80564/mattel-q3-sales-rise-9-on-barbie-and-cars-2-19659.html
<![CDATA[News - Mattel surprises with 56% Q2 profit growth ]]> https://www.proactiveinvestors.com/companies/news/78657/mattel-surprises-with-56-q2-profit-growth-16351.html Toy maker Mattel (NASDAQ:MAT) posted a 56% rise in its second quarter profits driven by higher sales in its girls and boy brands unit, beating analyst estimates.

For the three months ending June 30, the maker of Barbie and Hot Wheels posted a net income of $80.5 million, or $0.23 per share, up 56% from $51.6 million, or $0.14 per share, in the second quarter of 2010.

Net sales rose 14% to $1.2 billion, topping analysts' expectations of $1.11 billion in revenues and $0.16 in earnings, on a per share basis.

"For the second quarter, I am very pleased with the continued global momentum across our portfolio, including core brand strength as well as the outstanding performance of the CARS 2(R) entertainment property," said CEO Robert A. Eckert.

"Despite the mixed economic news, I am encouraged by our strong operating results and continue to believe we are well-positioned for the all-important second half of the year."

Mattel's Girls & Boys brands division, which includes Barbie, Disney Princess, Hot Wheels and Tyco, were up 22% year-over-year, to $795.6 million.

Sales for the Barbie brand rose 12%, partially offset by a 2% drop in Hot Wheels brand revenue, while entertainment brand sales jumped 41%, driven by growth in the Cars 2 and Green Lantern names.

The Fisher-Price segment, which posted sales of $400 million in the quarter, up 4% from a year ago, was driven by solid performances in Baby Gear and Infant and Preschool products, including the Thomas and Friends line, Mattel said.

Sales from the American Girl brand, which offers a wide variety of dolls and doll accessories and furniture, rose 13% year-over-year to $66.4 million in the quarter, helped by the Kanani doll.

Also during the second quarter, Mattel said it completed the repurchase of 5.8 million of its common stock for $152 million.

The El Segundo, California-based company, whose stock on the Nasdaq rose 1.77% to trade at $27.26 per share as of 11:35 am EDT, declared its third quarter dividend of $0.23 per share, representing an annualized dividend of $0.92 per share, up 11% from 2010.

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Fri, 15 Jul 2011 12:15:00 -0400 https://www.proactiveinvestors.com/companies/news/78657/mattel-surprises-with-56-q2-profit-growth-16351.html
<![CDATA[News - Mattel's Q1 profits drop 33%, revenue tops market views ]]> https://www.proactiveinvestors.com/companies/news/77176/mattels-q1-profits-drop-33-revenue-tops-market-views-13884.html US toy maker Mattel (NASDAQ:MAT), the owner of Barbie, Hot Wheels and Fisher Price brands, reported Friday that first quarter profits fell 33%, despite recording better than expected sales.

For the first three months of 2011, the California-based company reported net income of $16.6 million, or $0.05 per share, compared to $24.8 million, or $0.07 per share, in the year-ago period.

Net sales were $951.9 million, representing an 8% year-over-year increase. Analysts expected earnings of $0.5 per share on revenues of $903.68 million.

The company reported higher expenses in the quarter, offsetting the surprise jump in sales.

Sales from the core Mattel girls and boys brands unit, which includes Barbie and and Hot Wheels, were up 15% from a year ago at $656.4 million. Revenue from the iconic Barbie brand jumped 14%, while Wheels brand sales rose 4%.

Meanwhile, first quarter sales from the Fisher Brands unit were $309.9 million, down 2% from a year earlier, primarily due to the discontinuation of the Sesame Street product line.

Total domestic sales increased 7%, while international revenue grew 10%. Gross margin rose to 49.7% from 49.1%.

"Our diverse portfolio of brands and countries has once again allowed us to deliver on our goal of consistent growth," said chairman and CEO Robert A. Eckert.

Advertising and promotion expenses were up by 8% year-over-year, while other selling anadministrative expenses climbed 14%.

At quarter-end, Mattel had $1.05 billion in cash and equivalents. The company's shares rose more than 5% on Friday to trade at $27.1 as of 9:53am EST.

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Fri, 15 Apr 2011 10:16:00 -0400 https://www.proactiveinvestors.com/companies/news/77176/mattels-q1-profits-drop-33-revenue-tops-market-views-13884.html
<![CDATA[News - Mattel's fourth quarter results beat Street expectations ]]> https://www.proactiveinvestors.com/companies/news/76051/mattels-fourth-quarter-results-beat-street-expectations-11958.html Toymaker Mattel (NASDAQ:MAT), renowned for its Barbie doll brand, reported Wednesday fourth quarter results that topped analyst estimates, despite posting a 1% drop in its net income.

For the fourth quarter, the California-based company recorded profits of $325.2 million, or $0.89 per share, compared to $328.4 million, or $0.89 per share, in the prior year period.  The slight decrease was due to a 2009 fourth quarter tax benefit, the company said.

Net sales rose 9% to $2.12 billion, despite a 2 percentage point negative impact from changes in currency rates. That said, both revenue and profits in the fourth quarter beat estimates of $0.86 earnings per share on revenues of $2.09 billion.

Top line results were helped as wordwide sales for the company's Girls & Boys brands business unit, which includes Barbie, rose 9% to $1.27 billion. Barbie revenue increased 8%, Mattel said.

The company's other core brand, American Girl, saw its sales rise 8% as well to $273.2 million. Meanwhile, fourth quarter worldwide gross sales for the Fisher-Price Brands business unit shot up 6% to $775.8 million. Hot Wheels revenues rose 1%.

Mattel announced its first quarter cash dividend of $0.23 per share, reflecting an annualized dividend of $0.92 per share - an 11% boost over last year's figure.

At year-end, the company had a cash balance of $1.28 billion. On the back of its results, Mattel shot up 3.5% in pre-market trading on Wednesday to $25.00.

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Wed, 02 Feb 2011 14:14:00 -0500 https://www.proactiveinvestors.com/companies/news/76051/mattels-fourth-quarter-results-beat-street-expectations-11958.html