Spin Master Corp. reported financial results for the fourth quarter ended Dec. 31, 2017. Highlights for Q4 include revenue of $440.9 million, an increase of 30.3 percent from $338.4 million compared to the same period last year. Gross Product Sales increased 28.6 percent to $483.9 million, compared to $376.2 million, driven by sales of Hatchimals, Luvabella, and Cardinal games, which more than offset declines in Air Hogs and Zoomer.
Gross profit increased 33.1 percent to $228.9 million, representing 51.9 percent of revenue, compared with $172.0 million, or 50.8 percent of revenue.
Net income was $20.0 million, compared with $2.7 million. Adjusted Net Income was $25.5 million compared to $9.3 million. Adjusted EBITDA was $47.3 million compared with $22.9 million in Q4 2016; Adjusted EBITDA Margin increased to 10.7 percent compared to 6.8 percent, reflecting the increase in gross profit and lower SG&A.
For the full year 2017, compared to 2016, revenue of $1,551.3 million increased 34.4 percent from $1,154.5 million. Gross Product Sales increased 32.1 percent to $1,657 million, compared to $1,254.6 million, driven by sales of Hatchimals, PAW Patrol, Luvabella, and the games portfolio, which included Cardinal and Marbles, offsetting declines in Zoomer, Air Hogs, and Secret Life of Pets and Angry Birds licensed products. Gross profit increased 34.1 percent to $800.5 million, representing 51.6 percent of revenue, compared with $596.7 million, or 51.7 percent of revenue.
Net income was $161.1 million, or $1.58 per share, an increase of 61.9 percent from $99.5 million, or $0.99 per share. Adjusted Net Income was $173.0 million, or $1.70 per share, an increase of 44 percent from $120.1 million, or $1.19 per share. Adjusted EBITDA was $292.2 million, up 42.2 percent from $205.5 million, driven by higher gross profit and increases in other revenue.