Dec 31, 2024

Mattel Q4 2024 Earnings Report

Mattel reported strong operational excellence with topline growth in Q4 2024, achieving profitability, gross margin expansion, and strong free cash flow.

Key Takeaways

Mattel's Q4 2024 results showed a 2% increase in net sales, reaching $1,646 million. The company's gross margin improved to 50.7%, and operating income rose to $158 million. Earnings per share were reported at $0.42, with adjusted EPS at $0.35. Mattel is targeting $600 million of share repurchases in 2025.

Net sales increased by 2% as reported, and 3% in constant currency.

Gross margin increased to 50.7%, an increase of 190 basis points.

Operating income increased by $18 million to $158 million.

Adjusted Earnings per Share of $0.35 compared to $0.29 per share.

Total Revenue
$1.65B
Previous year: $1.62B
+1.6%
EPS
$0.35
Previous year: $0.29
+20.7%
Barbie Gross Billings
$406M
Previous year: $473M
-14.2%
Hot Wheels Gross Billings
$481M
Previous year: $418M
+15.3%
Fisher-Price Gross Billings
$206M
Previous year: $245M
-16.0%
Gross Profit
$836M
Previous year: $790M
+5.7%
Cash and Equivalents
$1.39B
Previous year: $1.26B
+10.0%
Free Cash Flow
$598M
Previous year: $710M
-15.7%
Total Assets
$6.54B
Previous year: $6.44B
+1.7%

Mattel

Mattel

Mattel Revenue by Segment

Mattel Revenue by Geographic Location

Forward Guidance

Mattel's full year 2025 guidance includes net sales growth of 2-3% in constant currency, comparable adjusted gross margin, adjusted operating income between $740 - $765 million, adjusted EPS between $1.66 - $1.72, and free cash flow of approximately $600 million.

Positive Outlook

  • Net Sales (Constant Currency) +2% to 3%
  • Adjusted Gross Margin Comparable to 50.9%
  • Adjusted Operating Income $740 - $765 million
  • Adjusted Tax Rate 23% - 24%
  • Adjusted EPS $1.66 - $1.72

Challenges Ahead

  • Guidance includes the anticipated impact of new U.S. tariffs on China, Mexico and Canada imports announced on February 1st.
  • We are operating in a macro-economic environment that may impact consumer demand.
  • The guidance considers what the company is aware of today, but remains subject to market volatility.
  • Unexpected disruptions including additional regulatory actions impacting international trade such as tariffs.
  • Other macroeconomic risks and uncertainties.

Revenue & Expenses

Visualization of income flow from segment revenue to net income