Sales Performance - Net sales for the Toys/Consumer Products segment decreased by $10.7 million, or 1.8%, to $570.0 million in 2024 from $580.7 million in 2023[156]. - Net sales for the Costumes segment decreased by $9.9 million, or 7.6%, to $121.0 million in 2024 from $130.9 million in 2023, primarily due to US customers recalibrating their order levels[157]. - Net sales for 2024 totaled $690.042 million, with the third quarter contributing the highest at $321.606 million, representing 46.5% of total sales[174]. - Net sales for 2024 were $691,042 thousand, a decrease of 2.1% from $711,557 thousand in 2023[217]. - Major customers accounted for 64.4% of total net sales in 2024, with Target® contributing $204,396 (29.6%) and Walmart® $166,943 (24.2%)[282]. - The United States generated $545,013 in net sales in 2024, representing a decline of 2.3% from $557,865 in 2023[281]. Profitability - The gross profit margin for the company decreased to 30.8% in 2024 from 31.4% in 2023[154]. - Gross profit for 2024 was $313.021 million, with a gross margin of 45.4% compared to 44.5% in 2023[174]. - Gross profit for 2024 was $213,021, down from $223,353 in 2023, reflecting a gross margin of approximately 30.8%[279]. - Net income attributable to JAKKS Pacific, Inc. was 4.9% of net sales in 2024, down from 5.4% in 2023[154]. - Net income attributable to JAKKS Pacific, Inc. for 2024 was $33,920 thousand, compared to $38,406 thousand in 2023, representing a decline of 11.5%[217]. - Comprehensive income attributable to JAKKS Pacific, Inc. for 2024 was $32,363 thousand, compared to $40,261 thousand in 2023, a decrease of 19.7%[220]. - The company recorded a net loss of $14.225 million in Q1 2024, representing a net loss margin of 15.8%[174]. - Net income for the year ended December 31, 2024, was $34.2 million, a decrease of 10.1% from $38.1 million in 2023 and a significant drop from $91.1 million in 2022[225]. Expenses - Selling, general and administrative expenses increased to $173.3 million in 2024, constituting 25.1% of net sales, up from $164.2 million, or 23.1% in 2023[160]. - Cost of sales for the Toys/Consumer Products segment increased to $389.5 million, or 68.3% of related net sales in 2024, compared to $388.3 million, or 66.9% in 2023[158]. - Cost of sales for the Costumes segment decreased to $88.5 million, or 73.1% of related net sales in 2024, down from $99.9 million, or 76.3% in 2023[159]. - Interest income decreased to $0.8 million in 2024 from $1.3 million in the prior year, primarily due to money market investments[163]. - Interest expense decreased to $1.1 million in 2024 from $6.5 million in 2023, primarily due to lower borrowing costs[164]. - The company reported a royalty expense of $106,804 thousand in 2024, down from $117,607 thousand in 2023, a reduction of 9.7%[217]. - Stock-based compensation expense increased to $9.5 million in 2024 from $8.0 million in 2023[225]. - Advertising expenses for the year ended December 31, 2024, were approximately $13.8 million, compared to $13.2 million in 2023[257]. Cash Flow and Working Capital - Operating activities generated net cash of $38.9 million in 2024, down from $66.4 million in 2023, attributed to lower net income and higher working capital usage[177]. - The company has a working capital of $119.3 million as of December 31, 2024, an increase from $106.1 million in 2023[176]. - Cash and cash equivalents decreased to $69,936 thousand in 2024 from $72,350 thousand in 2023, a decline of 3.9%[215]. - Cash, cash equivalents, and restricted cash at the end of 2024 were $70.1 million, a decrease from $72.6 million in 2023[225]. - Total cash provided by operating activities for 2024 was $38.9 million, down from $66.4 million in 2023[225]. Debt and Obligations - The company recorded a loss on debt extinguishment of $1.0 million in June 2023 related to the 2021 BSP Term Loan[161]. - The company fully paid off its 2021 BSP Term Loan on June 5, 2023, with a total prepayment of $30.2 million, including a loss on debt extinguishment of $1.0 million[184]. - Total contractual cash obligations as of December 31, 2024, are $151.9 million, including operating leases and minimum guaranteed license payments[180]. - The Company had a first-lien secured term loan of $99.0 million, with net proceeds of $96.3 million after fees, and it was fully paid off on June 5, 2023[294][302]. - As of December 31, 2024, the Company had no outstanding borrowings under the JPMorgan ABL Facility, with total excess borrowing availability of $61.2 million[311]. Taxation - Income tax expense for 2024 was $5.5 million, with an effective tax rate of 13.9%, compared to $6.8 million and 15.2% in 2023[165][166]. - The effective tax rate for 2024, excluding discrete tax benefits, was 17.4%, compared to 21.3% in 2023[165][166]. - The provision for income taxes for 2024 was an expense of $5.5 million, with an effective tax rate of 13.9%[317]. - The effective tax rate for 2023 was 15.2%, with a provision for income taxes of $6.8 million[319]. - The Company had net deferred tax assets of $70.4 million as of December 31, 2024, compared to $68.1 million in 2023[319]. Assets and Liabilities - Total assets increased to $444,869 thousand in 2024 from $398,951 thousand in 2023, marking a growth of 11.5%[215]. - Total liabilities rose slightly to $204,036 thousand in 2024 from $202,838 thousand in 2023, an increase of 0.6%[215]. - The Company’s accumulated deficit improved to $(39,692) thousand in 2024 from $(73,612) thousand in 2023, indicating a reduction in losses[215]. - The Company’s total liabilities decreased to $57.7 million in 2024 from $63.0 million in 2023[223]. - As of December 31, 2024, accrued expenses totaled $48.5 million, an increase from $45.1 million in 2023, with royalties accounting for $25.9 million[292]. Market Risks - The company is exposed to market risks related to changes in foreign currency exchange rates and interest rates, particularly due to its operations in China[198]. - The company has not engaged in derivative instruments or hedging activities to minimize its market risk[198]. - The Company’s primary currency translation exposures are related to investments in subsidiaries with functional currencies such as the Hong Kong Dollar and Euro[261]. Segment Information - The Company’s segments include Toys/Consumer Products and Costumes, with performance measured at the operating income level[273][276]. - The Toys/Consumer Products segment encompasses a diverse range of products including action figures, dolls, and electronic products[274]. - The Costumes segment, marketed under the Disguise brand, focuses on everyday and special occasion costumes[275].

Core Insights - Jakks Pacific's international revenue performance is critical for assessing its financial resilience and growth prospects [1][2][3] Revenue Performance - The total revenue for the quarter was $130.74 million, reflecting a year-over-year increase of 2.6% [4] - Latin America generated $4.29 million, constituting 3.28% of total revenue, which was a surprise of -39.46% compared to the expected $7.09 million [5] - Canada contributed $4.26 million, making up 3.26% of total revenue, with a surprise of -8.25% against the projected $4.64 million [6] - Australia and New Zealand accounted for $1.12 million, or 0.85% of total revenue, with a surprise of -33.57% from the expected $1.68 million [7] - The Middle East and Africa contributed $0.73 million, representing 0.56% of total revenue, with a positive surprise of +150.35% compared to the expected $0.29 million [8] - Asia generated $1.52 million, making up 1.16% of total revenue, with a slight positive surprise of +3.61% against the expected $1.47 million [9] - Europe was the largest contributor with $25.36 million, accounting for 19.40% of total revenue, and a significant surprise of +104.51% compared to the expected $12.4 million [10] Future Projections - Analysts project Jakks will achieve revenues of $93.74 million for the ongoing fiscal quarter, an increase of 4.1% year-over-year, with contributions from various regions [11][12] - For the full year, total revenue is expected to reach $696.29 million, reflecting a 0.8% increase from the previous year, with specific regional contributions outlined [13] Strategic Considerations - The reliance on international markets presents both opportunities and challenges for Jakks, necessitating close monitoring of revenue trends to inform future strategies [14] - The interconnected global economy and geopolitical factors are increasingly influencing earnings forecasts for companies with international operations [15]

Disguise Granted Pokémon International Distribution Rights Disguise and The Pokémon Company International Sign Multi-Year Contract Extension Including Addition of International Distribution Rights POWAY, Calif., Feb. 24, 2025 (GLOBE NEWSWIRE) -- Disguise, Inc., the globally recognized costume division of JAKKS Pacific, Inc. (NASDAQ: JAKK), today announced an expansion of its long-standing agreement with The Pokémon Company International through a multi-year contract extension. This agreement grants Di ...

JAKKS Pacific, Inc. Q4 2024 Results - The company reported an adjusted loss per share of 88 cents, which was wider than the Zacks Consensus Estimate of a loss of 21 cents, but improved from a loss of $1.21 per share in the prior-year quarter [3] - Quarterly revenues were $130.7 million, missing the consensus mark of $134 million, but increased by 3% year over year [3] Segment Performance - Net sales in the Toys/Consumer Products segment decreased by 0.5% year over year to $118.2 million, below the estimate of $125.3 million [4] - Costumes' net sales increased significantly by 46.4% year over year to $12.5 million, surpassing the prediction of $7.7 million [4] Operating Metrics - The gross margin for the quarter reached 27.7%, up 70 basis points from the prior-year level, although it was below the predicted 30% [5] - Adjusted EBITDA amounted to $59.3 million, down from $75.7 million a year ago [5] Balance Sheet - As of December 31, 2024, the company's cash and cash equivalents were $69.3 million, a decrease from $72.4 million as of December 31, 2023 [6] Overall Performance - The company's fourth-quarter performance met expectations, with strong seasonality noted particularly around Halloween and Christmas [2] - The company has encouraged customers to adopt its FOB selling model for more efficient logistics operations [2]

JAKKS Pacific, Inc. (NASDAQ:JAKK) Q4 2024 Earnings Conference Call February 20, 2025 5:00 PM ET Company Participants Stephen Berman - Chairman & Chief Executive Officer John Kimble - Chief Financial Officer Conference Call Participants Eric Beder - Small Cap Consumer Research Tom Forte - The Maxim Group Operator Good afternoon, everyone. Welcome to the JAKKS Pacific Fourth Quarter and Full Year 2024 Earnings Conference Call with management, who will review financial results for the quarter ending December 3 ...

Fourth Quarter 2024 Earnings Presentation February 20, 2025 5:00 PM Eastern / 2:00 PM Pacific Registration link 4Q24 Registration Link Webcast link Webcast 1 EXECUTIVE TEAM ON THE CALL STEPHEN BERMAN Chairman & Chief Executive Officer JOHN KIMBLE Executive Vice President & Chief Financial Officer 2 SAFE HARBOR STATEMENT The Company would like to point out that any comments made about JAKKS Pacific's future performance, events or circumstances, including the estimates of sales and/or Adjusted EBITDA in 2025, ...

Jakks Pacific (JAKK) came out with a quarterly loss of $0.67 per share versus the Zacks Consensus Estimate of a loss of $0.05. This compares to loss of $1.04 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -1,240%. A quarter ago, it was expected that this toymaker would post earnings of $3.55 per share when it actually produced earnings of $4.79, delivering a surprise of 34.93%.Over the last four quarters, the company has surp ...

Exhibit 99.1 JAKKS PACIFIC REPORTS FOURTH QUARTER AND FULL-YEAR 2024 FINANCIAL RESULTS Board of Directors approves initiation of quarterly cash dividend program Santa Monica, California, February 20, 2025 – JAKKS Pacific, Inc. (Nasdaq: JAKK) today reported financial results for the fourth quarter and fiscal year ended December 31, 2024. Fourth Quarter 2024 Full-Year 2024 Management Commentary "As we leave 2024, we are pleased with both the financial results we have achieved and the foundation we have establ ...

Board of Directors approves initiation of quarterly cash dividend programSANTA MONICA, Calif., Feb. 20, 2025 (GLOBE NEWSWIRE) -- JAKKS Pacific, Inc. (Nasdaq: JAKK) today reported financial results for the fourth quarter and fiscal year ended December 31, 2024. Fourth Quarter 2024 Net sales were $130.7 million, a year-over-year increase of 3% Toys/Consumer Products net sales were $118.2 million, a year-over-year decrease of 1%Costumes net sales were $12.5 million, a year-over-year increase of 46% Gross marg ...

SANTA MONICA, Calif., Feb. 04, 2025 (GLOBE NEWSWIRE) -- JAKKS Pacific, Inc. (NASDAQ: JAKK) will announce its fourth quarter and full year 2024 financial results on Thursday, February 20, 2025 after the close of the stock market. The Company will hold a teleconference and webcast to discuss the results, and may also discuss future plans and prospects. JAKKS Pacific, Inc. invites analysts, investors and media to listen to the teleconference scheduled for 5:00 p.m. ET / 2:00 p.m. PT on February 20, 2025. A liv ...