Shares of Mattel MAT, +2.12% traded higher late on Thursday after The Wall Street Journal reported activist investor Barington Capital had built an undisclosed stake in the company. The stock rose 4.3% to $19.05 in after-hours trading. Shares are down 14% in the last year. On Thursday, the WSJ reported that Barington sent a letter to Mattel Chief Executive Ynon Kreiz telling him the company should pursue strategic alternatives for its Fisher-Price and American Girl businesses. Barington founder James Mit ...

Mattel (MAT) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended December 2023. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on February 7. On ...

EL SEGUNDO, Calif.--(BUSINESS WIRE)--Mattel, Inc. (NASDAQ: MAT) and Netflix announced today that Hot Wheels Let’s Race, Mattel Television Studios’ all-new animated children’s series, will debut on Netflix globally on March 4. Released today alongside series key art, the official trailer for Hot Wheels Let’s Race features the show’s theme song performed by Patrick Stump, award-winning musician, singer-songwriter, and lead vocalist for Fall Out Boy. Stump composed, recorded, and produced the theme song for Ho ...

EL SEGUNDO, Calif.--(BUSINESS WIRE)--With the Super Bowl fast approaching, Mattel Creations is kicking off the competition with three NFL and NFL Players Association officially licensed Super Bowl LVIII collectibles to celebrate this year’s championship team. Starting today, fans of the San Francisco 49ers and Kansas City Chiefs have a chance to score big by pre-ordering the Fisher-Price Little People Collector™ Super Bowl set featuring detailed NFL player figures to honor this year’s champions; the first-e ...

EL SEGUNDO, Calif.--(BUSINESS WIRE)--Mattel, Inc. (NASDAQ: MAT), ShadowMachine, Nuyorican Productions, and Anthony Ramos today announced plans to develop an animated, feature-length film based on Bob the Builder, the long-running and beloved animated children’s series. Imagined as an inventive international story for today’s audiences, the film will star Grammy-winning and Golden Globe and Emmy-nominated actor and recording artist Anthony Ramos (Hamilton, In the Heights), who also produces alongside Alex ...

EL SEGUNDO, Calif.--(BUSINESS WIRE)--Rizzoli and Mattel, Inc. (NASDAQ: MAT) announced today BARBIE™: THE WORLD TOUR (ISBN: 9780789345578, $55.00 US, Rizzoli New York), a new illustrated book capturing all the glamour and high style of the most popular doll in the world. For the press tour following the record-breaking release of Greta Gerwig’s award-winning, acclaimed Barbie movie, producer and star Margot Robbie and her stylist Andrew Mukamal immersed themselves in some of Barbie’s most iconic outfits and ...

EL SEGUNDO, Calif.--(BUSINESS WIRE)--Mattel, Inc. (NASDAQ: MAT) today announced that it plans to release its fourth quarter and full year 2023 financial results on Wednesday, February 7, 2024, at approximately 4:05 p.m. Eastern Time. Following this, Mattel will host a webcast conference call at 5:00 p.m. Eastern Time. The webcast and accompanying slides will be available under the Events and Presentations section of Mattel's Investor Relations website, https://investors.mattel.com. To listen to the webcast ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ___________________________________________________________ FORM 10-Q ___________________________________________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 333 Continental Blvd. El Segundo, CA 90245 (Address of principal executive offices) (Zip Code) For the quarterly period ended September 30, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SE ...

Call Start: 17:00 January 1, 0000 6:01 PM ET Mattel, Inc. (NASDAQ:MAT) Q3 2023 Earnings Conference Call October 25, 2023 17:00 ET Company Participants David Zbojniewicz - Head of Investor Relations Ynon Kreiz - Chairman & Chief Executive Officer Anthony DiSilvestro - Chief Financial Officer Conference Call Participants Arpine Kocharyan - UBS Stephen Laszczyk - Goldman Sachs James Hardiman - Citi Linda Bolton-Weiser - D.A. Davidson Drew Crum - Stifel Eric Handler - ROTH MKM Chris Horvers - JPMorgan Jason Haa ...

Net Sales and Gross Billings - Net sales in Q2 2023 decreased by $148.5 million (12%) to $1.09 billion compared to $1.24 billion in Q2 2022, primarily due to lower gross billings[93] - Gross billings in Q2 2023 decreased by $148.8 million (11%) to $1.23 billion compared to $1.38 billion in Q2 2022, with a 1% favorable currency exchange rate impact[96] - Consolidated net sales for the first half of 2023 were $1.90 billion, a 16% decrease compared to $2.28 billion in the first half of 2022[116] - Gross billings decreased by 16% to $2.14 billion in the first half of 2023 compared to $2.54 billion in the first half of 2022, primarily due to lower billings in Action Figures, Building Sets, Games, and Other (-39%), Infant, Toddler, and Preschool (-28%), and Dolls (-6%), partially offset by higher billings in Vehicles (+6%)[119] Product Category Performance - Dolls gross billings increased by 10% in Q2 2023, driven by a 13% increase in Disney Princess and Disney Frozen products and a 9% increase in Monster High products, partially offset by a 5% decrease in Barbie products[96] - Infant, Toddler, and Preschool gross billings decreased by 28% in Q2 2023, with a 23% decline in Fisher-Price products and a 2% decline in Fisher-Price Friends products[96] - Vehicles gross billings increased by 11% in Q2 2023, driven by a 9% increase in Hot Wheels products and a 2% increase in Matchbox products[96] - Action Figures, Building Sets, Games, and Other gross billings decreased by 39% in Q2 2023, with a 20% decline in Jurassic World products and a 14% decline in Lightyear products[96] - Dolls gross billings in North America increased 11% in Q2 2023, driven by higher sales of Disney Princess, Disney Frozen, and Monster High products, partially offset by a 5% decline in Barbie sales[106] - Dolls gross billings increased by 14% to $201.4 million in Q2 2023, driven by higher sales of Disney Princess, Disney Frozen, and Monster High products, partially offset by a 6% decline in Barbie products[110] - Vehicles gross billings rose by 26% to $190.2 million in Q2 2023, primarily due to a 23% increase in Hot Wheels products and a 3% increase in Matchbox products[111] - Action Figures, Building Sets, Games, and Other gross billings declined by 35% to $92.9 million in Q2 2023, mainly due to lower sales of Jurassic World and Lightyear products[111] - Barbie gross billings decreased by 23% to $459.6 million, while Hot Wheels increased by 6% to $560.1 million, and Fisher-Price decreased by 27% to $290.3 million[119] - Vehicles gross billings increased by 16%, primarily due to higher billings of Hot Wheels products[135] Operating and Net Income - Operating income in Q2 2023 decreased by $62.3 million (50%) to $62.8 million compared to $125.1 million in Q2 2022[92] - Net income in Q2 2023 decreased by $39.2 million (59%) to $27.2 million compared to $66.4 million in Q2 2022[92] - Operating loss for the first half of 2023 was $52.3 million, compared to an operating income of $205.1 million in the first half of 2022[115] - Net loss for the first half of 2023 was $79.3 million, compared to a net income of $87.9 million in the first half of 2022[115] Gross Margin and Cost of Sales - Gross margin increased to 45.1% in Q2 2023 from 44.4% in Q2 2022, supported by favorable pricing actions (170 bps), cost savings from the Optimizing for Growth program (150 bps), and favorable currency exchange (90 bps)[98] - Cost of sales decreased by $89.4 million (13%) to $597.4 million in Q2 2023, driven by reductions in product and other costs ($79.2 million, 14%) and royalty expenses ($9.2 million, 15%)[97] - Gross margin decreased to 42.7% in Q2 2023 from 45.2% in Q2 2022, impacted by unfavorable currency exchange, inventory management efforts, and cost inflation[111] - Gross profit for the first half of 2023 was $815.6 million, a 21% decrease from $1,031.8 million in the first half of 2022, with gross margin declining by 240 basis points to 42.9%[115] - Cost of sales decreased by 13% to $1.09 billion in the first half of 2023, driven by a 14% decrease in product and other costs to $860.6 million and a 17% decrease in royalty expense to $87.3 million[120] - Gross margin decreased to 42.9% in the first half of 2023 from 45.3% in the first half of 2022, primarily due to inventory management efforts (-220 basis points) and cost inflation (-170 basis points), partially offset by favorable pricing actions (+160 basis points)[121] - Gross margin decreased to 42.1% in the first half of 2023 from 45.3% in the first half of 2022, primarily due to inventory management efforts and cost inflation[137] Advertising and Promotion Expenses - Advertising and promotion expenses as a percentage of net sales increased to 8.3% in Q2 2023 from 7.3% in Q2 2022, primarily due to a 12% decrease in net sales[99] - Advertising and promotion expenses increased to 8.7% of net sales in the first half of 2023, up from 7.2% in the first half of 2022, due to a 16% decrease in net sales[122] Regional Performance - North America segment net sales decreased by $129.7 million (18%) to $596.8 million in Q2 2023, with gross billings down $137.5 million (18%) to $637.4 million[105][106] - International segment net sales decreased by $13.7 million (3%) to $462.7 million in Q2 2023, with gross billings down $6.2 million and sales adjustments increasing by $7.5 million[109] - North America segment operating income decreased by $58.9 million (30%) to $140.0 million in Q2 2023, primarily due to lower gross profit[107] - Gross billings for the International segment decreased by 1% to $561.8 million in Q2 2023, compared to $568.0 million in Q2 2022, with a favorable currency exchange impact of 2 percentage points[110] - North America segment net sales decreased by 22% to $1.03 billion in the first half of 2023, with gross billings down 22% to $1.11 billion, primarily due to lower billings across all categories[126][127] - North America segment operating income decreased by 50% to $184.0 million in the first half of 2023, driven by lower gross profit[131] - Net sales for the International segment decreased by 8% to $806.8 million in the first half of 2023 compared to $880.2 million in the same period of 2022[133] - Gross billings for the International segment decreased by 8% to $970.4 million in the first half of 2023 compared to $1.05 billion in the first half of 2022[134] - Sales adjustments decreased to $163.6 million in the first half of 2023 from $174.1 million in the first half of 2022, with sales adjustments as a percentage of net sales increasing to 20.3%[136] - Net sales for the American Girl segment decreased by 16% to $27.6 million in Q2 2023, primarily due to lower billings of Girl of the Year dolls[113] - Net sales for the American Girl segment decreased by 10% to $61.1 million in the first half of 2023 compared to $68.1 million in the same period of 2022[139] Cash Flow and Financial Position - Cash flows used for operating activities improved by $99.4 million to $325.6 million in the first half of 2023 compared to the first half of 2022[89] - Mattel executed approximately $50 million in share repurchases in the first half of 2023, with $153.2 million remaining under the share repurchase program as of June 30, 2023[89] - Cash and equivalents decreased by $461.3 million to $299.9 million at June 30, 2023, from $761.2 million at December 31, 2022, primarily due to operating activities, capital expenditures, and share repurchases[149] - Cash flows used for operating activities were $325.6 million in the first half of 2023, compared to $425.0 million in the first half of 2022, driven by lower working capital usage[147] - Accounts receivable increased by $30.7 million to $890.9 million at June 30, 2023, from $860.2 million at December 31, 2022, due to timing of sales and collections[150] - Inventories increased by $77.6 million to $971.6 million at June 30, 2023, from $894.1 million at December 31, 2022, primarily due to seasonal inventory build[150] - Total debt, including short-term borrowings, was $2.33 billion at June 30, 2023, flat compared to December 31, 2022, but decreased from $2.58 billion at June 30, 2022, due to repayment of $250.0 million in senior notes[153] - Stockholders' equity decreased by $93.9 million to $1.96 billion at June 30, 2023, from $2.06 billion at December 31, 2022, primarily due to net loss and share repurchases[154] - Mattel's cash and equivalents at June 30, 2023, were $299.9 million, with $211.7 million held by foreign subsidiaries, including $56.2 million in Russia[144] Taxes and Provisions - Provision for income taxes decreased to $14.4 million in Q2 2023 from $26.6 million in Q2 2022, driven by lower income before taxes[102] - Provision for income taxes was a benefit of $12.6 million in the first half of 2023, compared to an expense of $50.5 million in the first half of 2022, driven by lower income before taxes and lower discrete taxes[125] Optimizing for Growth Program - Mattel expanded the Optimizing for Growth program, increasing targeted annual gross cost savings from $250 million to $300 million, with estimated total cash expenditures of $155 to $185 million[140] - Mattel recorded cumulative severance and other restructuring charges related to the Program of approximately $193 million, with cumulative cost savings of approximately $330 million as of June 30, 2023[142] Currency and Financial Risks - Mattel is exposed to financial market risk resulting from changes in interest and foreign currency exchange rates[145] - Mattel estimates that a 1% change in the U.S. dollar would impact second-quarter net sales by approximately 0.4% and have less than a $0.01 impact on net income per share[164] - Mattel uses foreign currency forward exchange contracts to hedge exposure, with maturity dates of up to 24 months, primarily for inventory and intercompany transactions[163] - The company monitors counterparties in hedging transactions to manage credit risks, with risks considered in the fair value measurements of foreign currency forward exchange contracts[146] - Mattel's cash and equivalents are diversified among counterparties and securities to minimize risks, with an emphasis on safety and liquidity of principal[146] - Mattel designated the U.S. dollar as the functional currency for its Turkey subsidiary starting April 1, 2022, due to the projected three-year cumulative inflation rate exceeding 100%[165] - Mattel recorded $45.4 million of currency translation adjustments in accumulated other comprehensive loss related to its Argentina subsidiary liquidation[166] - The liquidation of Mattel's Argentina subsidiary was substantially completed during the fourth quarter of 2022[166] - Cumulative currency translation adjustments from the Argentina liquidation were recognized as a loss in other non-operating expense in Q4 2022[166]