The Zacks Consensus Estimate for JAKKS Pacific, Inc.'s (JAKK) 2024 and 2025 earnings per share (EPS) has dropped by 14.3% and 10.3%, respectively, in the past 60 days. The downward revision in earnings estimates indicates analysts' decreasing confidence in the stock. The toy and consumer products company also missed the Zacks Earnings Estimates in the trailing three quarters. Shares of JAKKS Pacific have declined 28.8% so far this year against the Zacks Toys - Games – Hobbies industry's 5.4% gain. The compa ...

Financial Performance - Net sales for Q2 2024 were $148.6 million, a decrease of 11% from $166.9 million in Q2 2023[9] - Gross profit for Q2 2024 was $47.6 million, down from $51.2 million in Q2 2023, resulting in a gross margin of 32%[9] - Net income for Q2 2024 was $5.3 million, compared to $6.2 million in Q2 2023, reflecting a decrease of 14.8%[9] - The company reported a basic earnings per share of $0.49 for Q2 2024, down from $0.62 in Q2 2023[9] - Net income attributable to common stockholders for the three months ended June 30, 2024, was $5.266 million, a decrease from $6.455 million for the same period in 2023, representing a decline of 18.3%[52] - Basic earnings per share available to common stockholders for the three months ended June 30, 2024, was $0.49, down from $0.62 in the prior year, reflecting a decrease of 20.97%[52] - The company reported a net loss attributable to common stockholders of $7.909 million for the six months ended June 30, 2024, compared to a profit of $402,000 for the same period in 2023[52] - For the three months ended June 30, 2024, the net income was $5.266 million, a decrease of 14.8% compared to $6.182 million in the same period of 2023[70] - The comprehensive income for the three months ended June 30, 2024, was $5.150 million, down 29.5% from $7.311 million in the same period of 2023[70] Assets and Liabilities - Total current assets decreased to $235.7 million as of June 30, 2024, from $255.4 million at the end of 2023[5] - Total liabilities decreased to $182.4 million as of June 30, 2024, from $202.8 million at the end of 2023[6] - Accounts receivable increased to $140.0 million as of June 30, 2024, from $123.8 million at the end of 2023[5] - The accumulated deficit increased to $(82.9) million as of June 30, 2024, compared to $(73.6) million at the end of 2023[10] - Total stockholders' equity increased to $195.9 million as of June 30, 2024, from $190.1 million at the end of 2023[7] - The company’s long-lived assets in the United States were valued at $19.24 million as of June 30, 2024, down from $21.21 million as of December 31, 2023[25] - The Company’s net accounts receivable increased to $140.0 million as of June 30, 2024, from $123.8 million as of December 31, 2023, representing a growth of 13.3%[35] Cash Flow and Financing - Cash flows from operating activities for the six months ended June 30, 2024, resulted in a net cash used of $27.7 million, compared to a net cash provided of $20.8 million for the same period in 2023[12] - The company reported a total adjustment of $(18.7) million in operating activities for the six months ended June 30, 2024[12] - The company incurred share-based compensation expenses of $5.1 million for the six months ended June 30, 2024, up from $3.9 million for the same period in 2023[12] - The company repurchased common stock for employee tax withholding amounting to $5.1 million during the six months ended June 30, 2024[12] - The cash, cash equivalents, and restricted cash at the end of the period were $17.9 million, down from $32.4 million at the end of June 30, 2023[12] - Working capital decreased by $32.2 million to $73.9 million as of June 30, 2024, primarily due to a $20.0 million cash payment for the redemption of outstanding preferred stock[106] - Financing activities used net cash of $20.1 million for the six months ended June 30, 2024, significantly lower than $70.4 million in the prior year, primarily due to preferred stock redemption[109] Segment Performance - Net sales for the Toys/Consumer Products segment decreased to $104.57 million in Q2 2024 from $117.93 million in Q2 2023, representing a decline of 11.5%[22] - Net sales for the Costumes segment decreased to $44.05 million in Q2 2024 from $48.99 million in Q2 2023, a decline of 10.0%[22] - Operating income from the Toys/Consumer Products segment fell to $9.71 million in Q2 2024 from $15.69 million in Q2 2023, a decrease of 38.1%[22] - The company reported a loss of $2.07 million from the Costumes segment in Q2 2024, compared to an income of $0.76 million in Q2 2023[22] - Net sales for the Toys/Consumer Products segment decreased by $28.3 million, or 13.1%, to $187.5 million for the six months ended June 30, 2024, compared to $215.8 million in the prior year[100] - Cost of sales for the Toys/Consumer Products segment was $132.6 million, or 70.7% of related net sales, for the six months ended June 30, 2024, compared to $146.3 million, or 67.8%, in the prior year[100] Tax and Compliance - The Company’s income tax expense for the three months ended June 30, 2024, was $2.3 million, reflecting an effective tax rate of 30.2%, up from $1.5 million and 19.3% in the same period of 2023[50] - The Company reported an income tax benefit of $4.4 million for the six months ended June 30, 2024, with an effective tax (benefit) rate of 33.2%[51] - The effective tax rate increased to 30.2% for the three months ended June 30, 2024, up from 19.3% in the prior year, primarily due to non-deductible compensation and foreign inclusions[99] - As of June 30, 2024, the Company was in compliance with the financial covenants under the JPMorgan ABL Credit Agreement[49] Strategic Initiatives - The company plans to continue focusing on new product development and market expansion strategies in the upcoming quarters[9] - The company plans to adopt ASU 2023-07 in the fourth quarter of 2024, which will enhance reportable segment disclosures[18] - The company is currently evaluating the impact of ASU 2023-09 on its financial statements, effective for fiscal years beginning after December 15, 2024[19] Other Notable Events - The company redeemed all outstanding shares of Series A Senior Preferred Stock on March 11, 2024, for a total of $20 million in cash and 571,295 common shares valued at $15 million[58] - The company dissolved its joint venture with Meisheng Culture & Creative Corp. Ltd. on May 10, 2023, which previously accounted for 51% ownership[68] - There were no goodwill impairments reported for the six months ended June 30, 2024, as the fair values of the reporting units were determined to be above their carrying amounts[69] - The company has not entered into foreign currency hedging transactions, exposing it to exchange rate fluctuations[118]

JAKKS Pacific, Inc. (JAKK) reported second-quarter 2024 results, with earnings and revenues missing the Zacks Consensus Estimate. Both top and bottom lines missed the consensus estimate for the third straight quarter. Stephen Berman, CEO of JAKKS Pacific, expressed satisfaction with the company's progress and readiness for new product launches in the latter half of the year. Key releases, Moana 2 in November and Sonic the Hedgehog 3 in December, are set to be major highlights, backed by strong retail partne ...

Nurhajar Izzah Azkiya/iStock via Getty Images JAKKS Pacific, Inc. (NASDAQ:JAKK) reported the company's Q2 results on the 31st of July in post-market hours. They beat Wall Street analysts' estimates by a wide margin despite a year-on-year revenue decline led by the expected lack of new movie releases. The report was taken positively by the market as well, as the stock has risen 9% in post-market hours at the time of writing. I previously wrote an article on JAKKS' Q1 results, titled "JAKKS Pacific Q1: A Caut ...

Jakks Pacific (JAKK) came out with quarterly earnings of $0.65 per share, missing the Zacks Consensus Estimate of $0.86 per share. This compares to earnings of $1.26 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -24.42%. A quarter ago, it was expected that this toymaker would post a loss of $0.32 per share when it actually produced a loss of $1.09, delivering a surprise of -240.63%. Over the last four quarters, the company ...

SANTA MONICA, Calif., July 23, 2024 (GLOBE NEWSWIRE) -- JAKKS Pacific, Inc. (NASDAQ:JAKK), a world-leading toy and consumer products manufacturer, announced today the launch of a new line of branded lifestyle products. This exciting collection will feature Element, Roxy and Quiksilver skateboards, helmets and knee pads, alongside Juicy Couture & Roxy roller skates. "This new line in our seasonal division marks a significant step in JAKKS' strategy to develop products for Millennials and Gen Z expanding into ...

SANTA MONICA, Calif., July 12, 2024 (GLOBE NEWSWIRE) -- JAKKS Pacific, Inc. (NASDAQ: JAKK) will announce its second quarter 2024 financial results on Wednesday, July 31, 2024 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. is a leading designer, manufacturer and marketer of toys and consumer products sold throughout the world, with its headquarters in Santa Monica, California. ...

SANTA MONICA, Calif., July 12, 2024 (GLOBE NEWSWIRE) -- JAKKS Pacific, Inc. (NASDAQ: JAKK) will announce its second quarter 2024 financial results on Wednesday, July 31, 2024 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 July 31, 2024. A live webcast of the call ...

The consensus estimate for SKX's 2024 sales and EPS indicates a rise of 10.6% and 16.9%, respectively, from year-ago levels. JAKKS Pacific, Inc.'s (JAKK) global costume division, Disguise, Inc., entered into a multi-year licensing agreement with Aniplex of America. This agreement covers rights for the manga series-based Demon Slayer: Kimetsu no Yaiba in North America, Australia, New Zealand, LATAM, Ireland and the U.K. Per the contract, Disguise will design, develop and manufacture costume accessories inspi ...

About Demon Slayer; Kimetsu no Yaiba Demon Slayer: Kimetsu no Yaiba is based on the manga series by Koyoharu Gotoge published under SHUEISHA's JUMP COMICS, which consists of 23 volumes and over 150 million copies in publication. The animation production is by ufotable. In April 2019, the TV anime series Demon Slayer first premiered with the Tanjiro Kamado, Unwavering Resolve Arc, followed by the release of the feature film Mugen Train in October 2020, and the TV series Mugen Train Arc and Entertainment Dist ...