Mattel unveils strong first quarter results

Published on: 23rd April 2021

Mattel has posted significant double digit gains in North America and EMEA, showing strong results in the company’s two largest regions.

Ynon Kreiz, Mattel’s chairman and CEO, said this was ‘another record quarter for the company, with truly exceptional results reflecting the success of the turnaround’.

For the first quarter of 2021, Mattel’s net sales increased by 47% as reported (46% in constant currency) versus 2020. There were significant double-digit gains in both North America and EMEA, the company’s two largest regions – EMEA year-on-year growth was 32% in constant currency.

As a result, Mattel outpaced the industry during the first quarter of 2021, growing approximately twice as fast as the market (Source: The NPD Group Retail Tracking Service / EU5 (UK FR GE IT SP) / Projected euros). Here in the UK, Mattel grew at over three times the rate of toy industry growth during the first three months of the year (Source: The NPD Group Retail Tracking Service).

Overall, net sales in the international segment increased 30% as reported (27% in constant currency), driven by growth in Dolls (including Barbie), Infant, Toddler and Pre-school (including Fisher-Price and Thomas & Friends), Vehicles (including Hot Wheels), Action Figures, Building Sets, Games and Other (including Jurassic World, Masters of the Universe, Games, Plush and Mega).

Commenting on the strong first quarter ’21 results, Ynon Kreiz, chairman and CEO, said: “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. 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.”

Ynon added: “Even as markets gradually reopen, we remain focused on protecting the health and safety of our employees. I am proud of the outstanding performance of the entire Mattel global team and the significant progress we are making on our strategy to transform into an IP-driven, high-performing toy company. While growth this quarter was partially driven by year-over-year Covid-related comparisons, we believe our outstanding results, overall, are attributable to the strength of our brands, quality and breadth of our product, world-class supply chain, global commercial capabilities, and very effective demand creation in close collaboration with our retail partners.”

Drilling down into the global sales numbers for each brand, Worldwide Gross Billings for Dolls were $381m, up 68% in constant currency, primarily driven by growth in Barbie and American Girl. Worldwide Gross Billings for Infant, Toddler, and Pre-school were $183m, up 29% in constant currency, driven by growth in Fisher-Price and Thomas & Friends. Worldwide Gross Billings for Vehicles were $215m, up 15% in constant currency, primarily driven by strong growth in Hot Wheels.

Worldwide Gross Billings for Action Figures, Building Sets, Games and Other were $199m, up 66% in constant currency, primarily driven by growth in Masters of the Universe, Jurassic World, Plush, Mega and Games.

Anthony DiSilvestro, CFO of Mattel, commented: “We believe we are well-positioned to gain momentum for the full year. We are revising 2021 guidance to reflect our stronger-than-anticipated first quarter performance and updated outlook for cost inflation.”

Mattel’s shares jumped to an almost four year high after the results were announced.


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