Mattel Gears Up to Report Q3 Earnings: Things to Keep in Mind

Core Insights - Mattel, Inc. (MAT) is set to report its third-quarter 2025 results on October 21, with previous earnings exceeding estimates by 18.8% while revenues fell short by 3.8% [1] - The Zacks Consensus Estimate for Q3 earnings per share (EPS) is $1.05, reflecting a 7.9% decline from $1.14 in the same quarter last year, while revenues are projected at approximately $1.81 billion, down 1.9% year over year [2] Group 1: Performance Expectations - Mattel's Q3 performance is anticipated to be impacted by global trade dynamics, shifts in retailer ordering patterns, and uncertainty surrounding tariffs, which may limit growth potential [3] - The company has revised its full-year net sales guidance to a growth range of 1% to 3% in constant currency, a broader range than the previous estimate of 2% to 3%, due to increased market volatility and macroeconomic challenges [4] Group 2: Strategic Initiatives and Brand Strength - Despite challenges, Mattel is expected to benefit from strong franchise and licensing partnerships, robust e-commerce sales, and brand strength in action figures, vehicles, and games [5] - Key brands like Hot Wheels and UNO are likely to enhance shelf presence and consumer engagement, while the Girls category is projected to rebound through upcoming innovations and strategic partnerships [6] Group 3: Earnings Prediction Model - The current model does not predict an earnings beat for Mattel, as the company has an Earnings ESP of -0.19% and a Zacks Rank of 3 (Hold) [7][8]