Overview
- Mattel reported first‑quarter net sales of $862.2 million that topped Wall Street estimates and raised its full‑year adjusted EPS target to $1.27–$1.39 from $1.18–$1.30.
- Brand performance split sharply, with Hot Wheels up 17% and Barbie down 16%, making vehicles and action figures the company’s main growth engines.
- Adjusted gross margin fell to 45.1% because of U.S. import tariffs, higher supply‑chain costs, and a stronger dollar.
- Despite higher revenue, the quarter posted an adjusted operating loss of about $70 million and a 20‑cent adjusted loss per share, slightly better than forecasts.
- Mattel advanced an IP‑led shift into films and mobile games, completing the Mattel163 purchase and buying the rest of its NetEase venture, while international sales outpaced a weaker North America.