Mattel kicked off 2021 in a big way with net sales spiking 47% over last year. Net sales hit $874 million in Q1.
“This was another record quarter for the company, with truly exceptional results reflecting the success of the turnaround, as we continue to drive transformational improvements and acceleration in our business,” says Mattel Chairman and CEO Ynon Kreiz. “Following the third consecutive quarter of growing market share, we are strengthening our position as a consistent leader in the toy industry. We believe we are very well-positioned to improve profitability and accelerate topline growth in 2021 and beyond.”
In Q1, Mattel experienced a 67% spike in overall North American net sales and gross billings. Global gross billings for dolls, including Barbie and Spirit was up 68%; the company charted a 31% gain in infant, toddler, and preschool, including Fisher-Price and Thomas & Friends; 16% growth in vehicles, including Hot Wheels and Matchbox; and 69% growth in the combined action figures, building sets, games, other categories led by Masters of the Universe, Jurassic World, plush, MEGA Brands, and games, including UNO. American Girl increased by 22% in gross billings and net sales.
Net Sales in the International segment increased 30%.
Mattel says that sales of Hot Wheels were up 16% across all segments and that Barbie spiked a massive 86% with POS showing a 66% increase. The Fisher-Price core business was up 36% with a 24% boom in infant and newborn. Thomas & Friends was up 8%. Action figures are up 101%, driven by sales of Jurassic World, WWE, and Masters of the Universe. Games are up 25% year-over-year with strong growth in UNO. Building and construction sets are up 46% due to increased distribution for MEGA Construx products, particularly Pokémon and Halo.
E-commerce sales grew 58% in Q1.
On the quarterly earnings call with investors and analysts, Kreiz noted that net sales in Q1 increased 27% over 2019, a strong showing against the pre-COVID-19 era. Kreiz also says that Mattel updated its 2021 guidance to reflect an anticipated 6-8% growth in sales.
The company notes that its operating income was $31 million, an increase of $181 million and the first positive Q1 since 2014.
Entertainment continues to be a big focus for Mattel looking ahead.
Mattel Films has 12 features in various stages of development, including titles based on American Girl, Barbie, Barney, Hot Wheels, Magic 8 Ball, Major Matt Mason, Masters of the Universe, Rock ‘Em Sock ‘Em Robots, Thomas & Friends, UNO, View-Master, and Wishbone. Additionally, Mattel Television has nearly 20 shows and specials in production with more than 25 in development, including The UNO Game Show and the recently announced Barbie Fashion Battle and Whac-A-Mole.
