Toy industry earnings season continues with JAKKS Pacific following Mattel and Hasbro in reporting fourth quarter and full-year 2024 earnings.
For the year, net sales slid 3% to $691 million, down from $711.6 million in 2023. Net sales of Toys/Consumer Products decreased 2% to $570 million, while the Disguise Costumes business saw net sales dip 8% to $121 million. Additionally, the company saw declines in gross margin, gross profit, and operating income.
In Q4, business picked up, with Disguise scoring a 46% year-over-year increase in costume sales. Toys/Consumer Products net sales declines slowed to just 1% while overall net sales grew 3%. The company says results were “roughly in line with expectations” and that the timing of Sonic the Hedgehog 3 and Moana 2 powered sales in Q4.
On an earnings call this evening, CEO Stephen Berman noted the international growth for JAKKS Pacific in 2024, with more than 300 new customers across Europe, the Middle East, and Africa. Looking ahead, he hailed last month’s Spielwarenmesse as a success.
“The team also had another strong showing at the Nuremberg Toy Fair [Spielwarenmesse]. We continue to feel this is the most important show for us globally, given the wide breadth of customers we can reach in one location who are otherwise unable to visit our showrooms in Southern California,” he said.
This year, JAKKS will release a number of new lines, including an expanded range of outdoor products for the entire family.
