(New York) Toymaker Mattel beat expectations in the fourth quarter thanks to strong sales of its dolls, led by Barbie, as well as its Hot Wheels toy cars, during the holiday season.
Posted on February 9, 2021 at 6:21 p.m.
The total turnover of the toy maker rose 10% between October and December, to 1.63 billion dollars, details a statement Tuesday.
Its net profit was $ 130.5 million, where the group had earned only $ 200,000 the previous year.
The stock took about 3% in electronic exchanges following the close of the official session.
Sales of Barbie, Mattel’s most popular brand, jumped 19% while sales of Hot Wheels cars climbed 13%.
By category, sales of dolls increased by 13%, those of toys for babies and young children by 6%, those of small cars by 11%.
Sales for the division including figures, Baby Yoda plush, construction, card games, such as Uno, and board games increased 9%.
This is “our best performance in years,” company CEO Ynon Kreiz said in the statement.
“In the midst of a pandemic and with very difficult market conditions, our results have exceeded expectations, again with sales exceeding expectations and improving profitability,” he added. .
The company’s fourth quarter and full-year results “demonstrated the resilience of the toy industry and the priority parents place on quality toys, trusted brands and games with a goal ”, also noted Mr. Kreiz.
The first half of the year had been difficult for the toy maker, between the closure of numerous outlets and logistical problems.
But over the year as a whole, the group still managed to increase its turnover by 2%, to 4.59 billion dollars.
Its net profit was $ 126.6 million while Mattel lost $ 213.5 million in 2019.
For 2021, the group expects an increase in its turnover of around 5%.
The company also announced a new cost reduction program aimed at saving about $ 250 million by 2023, but did not specify what expenses were targeted or whether there will be job cuts.