Mattel has two goals for this year. The Barbie firm wants to increase its market share for this year, in addition to maintaining the momentum in sales registered in recent years.
The company, which ranks 11th in the ranking of the 50 most important brands prepared by Brand Finance, projects that it will grow in market share. In the same report, Fisher-Price, Barbie and Hot Wheels, are in seats three, four and eight, respectively.
The company also projects to close the year with an increase in net sales of between 8 and 10%, in constant currency (according to the reference exchange rate), driven by growth in the categories in which they lead with brands such as Barbie. .
In the midst of the logistical challenges that are experienced worldwide, the company explained that the plants operate at full capacity and that it works with its commercial partners to ensure that the products are available on the shelves and in distribution centers. Meanwhile, they have managed to strengthen their commercial strategy to expand their presence at points of sale.
First quarter progress
For the first quarter of the year, the company reported a growth of 19% to 11,041 million dollars, in net sales and 22% in constant currency (according to the reference exchange rate, versus the first quarter of 2021). Mattel highlighted that its adjusted EBITDA was 152 million dollars from January to March of this year, which represents an increase of 60 million dollars compared to the same period in 2021.
“These results are in line with our strategy to grow the toy business with Mattel’s intellectual property. We completed our refocus in 2021, entered growth mode, and today operate as a high-performance, intellectual property-driven toy company,” said Ynon Kreiz, chairman and CEO of Mattel, quoted in the document.
Net sales in the North America region increased 26%, both in the report and by constant currency (according to the reference exchange rate, versus the same period of 2021). Net sales in the International segment increased 16% and 24% in constant currency.
Gross global revenue for the doll category was $396 million, up 8% in constant currency (according to the benchmark exchange rate), compared to the first quarter of 2021, mainly due to growth in Barbie and Polly Pocket .
Gross global revenue for the Infant, Toddler and Preschool categories was 206 million, 15% higher in constant currency (according to the reference exchange rate), derived mainly from the growth of Fisher-Price and Tomas & Friends.
Gross global revenue for the vehicle category was $282 million, up 36% in constant currency (according to the benchmark exchange rate), derived mainly from the growth of Hot Wheels.
The gross global turnover of the categories Action Figures, Construction Sets, Board Games and other products was 281 million dollars, higher by 44% in constant currency (according to the reference exchange rate), mainly derived from growth of Action Figures (including Jurassic World and Lightyear), as well as Construction Sets (including MEGA).
Reported earnings per share were $0.06, representing a boost of $0.38 per share. Adjusted earnings per share were 0.08, meaning growth of 0.18 per share.
