Reuters
Mattel Profit Surges, Barbie Sales Strong
Monday February 3, 8:01 am ET
EL SEGUNDO, Calif. (Reuters) - Toy maker Mattel Inc., maker of Barbie dolls and
Matchbox cars, on Monday said fourth-quarter earnings rose 35 percent, led by strong
sales of Barbie products and Fisher-Price infant and toddler toys.
The No. 1 U.S. toy maker reported
net income of $186.1 million, or 42
cents per share, up from $138
million, or 31 cents a share, a year
earlier. Net sales rose 7 percent to
$1.67 billion.
Excluding nonrecurring items, Mattel
(NYSE:MAT - News) earned $190.3
million, or 43 cents per share,
compared with $154.9 million, or 35
cents per share, the year before.
The average earnings estimate
among analysts polled by Thomson
First Call was 38 cents per share
before special items, with estimates
ranging from 35 cents to 42 cents.
Mattel took a pre-tax charge of $25.4 million in the fourth quarter for the settlement of
shareholder litigation related to the company's ill-fated 1999 acquisition of The
Learning Co.
"While we clearly had a strong year, we see more opportunities to improve our
performance as we look ahead, but we also see a continuation of the challenging
business environment," Robert Eckert, chairman and chief executive, said in a
statement.
Mattel repeated its long-term forecast, saying it still expects revenue to grow
"moderately" in the mid-single-digit range. It expects earnings per share to grow by a
percentage ranging from the low double-digits to the mid-teens.
Last fall, a lockout at West Coast ports slowed shipments of toys for the key holiday
season, leading to fears that late deliveries could miss peak shopping periods.
Mattel's girls division had worldwide gross sales of $838.4 million in the fourth quarter,
up 10 percent from a year earlier, driven by sales of Barbie, which jumped 17 percent.
Sales in the American Girl doll line slipped 1 percent.
Worldwide gross sales for the boys entertainment unit fell 3 percent in the quarter to
$418.1 million as a drop in sales of Tyco and Harry Potter items more than offset gains
in Hot Wheels and Matchbox toys.
Sales in the infant and preschool division rose 14 percent to $548.7 million, with core
Fisher-Price brands up 8 percent.
Mattel Profit Surges, Barbie Sales Strong
Monday February 3, 8:01 am ET
EL SEGUNDO, Calif. (Reuters) - Toy maker Mattel Inc., maker of Barbie dolls and
Matchbox cars, on Monday said fourth-quarter earnings rose 35 percent, led by strong
sales of Barbie products and Fisher-Price infant and toddler toys.
The No. 1 U.S. toy maker reported
net income of $186.1 million, or 42
cents per share, up from $138
million, or 31 cents a share, a year
earlier. Net sales rose 7 percent to
$1.67 billion.
Excluding nonrecurring items, Mattel
(NYSE:MAT - News) earned $190.3
million, or 43 cents per share,
compared with $154.9 million, or 35
cents per share, the year before.
The average earnings estimate
among analysts polled by Thomson
First Call was 38 cents per share
before special items, with estimates
ranging from 35 cents to 42 cents.
Mattel took a pre-tax charge of $25.4 million in the fourth quarter for the settlement of
shareholder litigation related to the company's ill-fated 1999 acquisition of The
Learning Co.
"While we clearly had a strong year, we see more opportunities to improve our
performance as we look ahead, but we also see a continuation of the challenging
business environment," Robert Eckert, chairman and chief executive, said in a
statement.
Mattel repeated its long-term forecast, saying it still expects revenue to grow
"moderately" in the mid-single-digit range. It expects earnings per share to grow by a
percentage ranging from the low double-digits to the mid-teens.
Last fall, a lockout at West Coast ports slowed shipments of toys for the key holiday
season, leading to fears that late deliveries could miss peak shopping periods.
Mattel's girls division had worldwide gross sales of $838.4 million in the fourth quarter,
up 10 percent from a year earlier, driven by sales of Barbie, which jumped 17 percent.
Sales in the American Girl doll line slipped 1 percent.
Worldwide gross sales for the boys entertainment unit fell 3 percent in the quarter to
$418.1 million as a drop in sales of Tyco and Harry Potter items more than offset gains
in Hot Wheels and Matchbox toys.
Sales in the infant and preschool division rose 14 percent to $548.7 million, with core
Fisher-Price brands up 8 percent.
