JAKKS Pacific(JAKK) - 2025 Q1 - Quarterly Results

Financial Performance - Net sales for Q1 2025 were $113.3 million, a 26% increase from $90.1 million in Q1 2024[8] - Gross profit reached $39.0 million, up $17.9 million compared to $21.1 million in Q1 2024, with a gross margin of 34.4% versus 23.4% in the prior year[6] - Operating loss improved to $3.8 million from an operating loss of $21.3 million in Q1 2024[6] - Adjusted net loss attributable to common stockholders was $0.4 million (or $0.03 per share), significantly better than an adjusted net loss of $11.3 million (or $1.09 per share) in Q1 2024[6] - Adjusted EBITDA for Q1 2025 was $354,000, a substantial improvement from $(17,235,000) in Q1 2024, reflecting a 1940 basis points increase[26] - Net loss attributable to common stockholders decreased to $(2,382,000) from $(13,175,000), an 82% improvement[26] - Loss per share improved to $(0.21) from $(1.27) in the previous year[23] Sales Growth - International sales increased to $21.0 million, up from $16.3 million last year, with Europe showing over 100% growth from $5.7 million to $11.8 million[8] - Sales in the United States grew by 26.3% to $88,944,000 compared to $70,430,000 in Q1 2024[28] - The Dolls, Role-Play/Dress Up division saw a 36.7% increase in sales to $55,463,000 from $40,574,000[28] - Europe experienced a significant sales increase of 105.9% to $11,810,000 from $5,735,000[28] Financial Stability - Cash and cash equivalents totaled $59.4 million as of March 31, 2025, compared to $35.5 million a year earlier[9] - Inventory was $53.2 million, up from $46.3 million in Q1 2024[9] - The company eliminated all long-term debt in 2023, enhancing its financial stability[4] Dividend Declaration - The company declared a quarterly dividend of $0.25 per share, payable on June 27, 2025[7] Strategic Focus - JAKKS Pacific is focusing on growth opportunities in Europe and Latin America, which are currently delivering real growth[5] Cost Management - The overall cost of sales as a percentage of net sales decreased to 65.6% from 76.6% year-over-year[24]