Spin Master reports company revenue increased by 34% in the first three months of 2022, with toys and digital games both performing well.
Spin Master’s total revenue for the three months to 31st March was $424.2m, up from $316.6m in the prior-year quarter. Toy revenue increased 37% to $350.9m, digital games was up 49% to $51.1m, while entertainment dropped 17% to $22.2m.
Toy Gross Product Sales increased by $102.8m, led by growth from Gabby’s Dollhouse, DC Comics and Wizarding World, reflecting strong customer demand and the company’s continued successful management of global supply chain volatility.
The company now anticipates 2022 revenue to increase by low double digits from 2021, excluding Paw Patrol: The Movie numbers, which represents an increase from its initial forecast of mid- to high single digits.
Commenting on the results, Global president and CEO Max Rangel said: “Following our very strong performance in 2021, we are extremely pleased with the positive momentum we saw across all three of our creative centres in the first quarter of 2022. The Toy creative centre benefited from strong customer demand for our innovative toy line and our global commercial team continued to manage supply chain volatility to ensure we delivered product on time. The Digital Games creative centre, led by Toca Life World, continued to generate strong engagement and momentum. Our performance this quarter reflects Spin Master’s potential to create magical play experiences for children wherever they are – from the strength of our diversified toy portfolio anchored in franchise brands, partner licenses and exciting innovation, to our engaging multi-platform entertainment content and our open-ended digital playgrounds.”
Mark Segal, Spin Master’s chief financial officer, added: “In the first quarter of 2022, we delivered very strong financial and operating performance across our Toys, Entertainment and Digital Games creative centres. We are pleased to increase our revenue outlook for 2022. We introduced our new segment reporting structure this quarter, providing an enhanced view of the drivers of our revenue and profit margins and providing shareholders with increased visibility into our performance. We remain committed to our financial framework for value creation, underpinned by our formula for innovation and disciplined global growth across all our creative centres. Our solid financial position provides opportunities to leverage our global platform for organic growth and acquisitions.”