The Q3 results reveal that revenue has increased by 25%, driven by growth across Toys, Entertainment and Digital Games.
Spin Master has announced its financial results for the quarter which ended on 30th September. The company posted total revenue of $714.5m, which represented an increase of 25%. Gross Product Sales increased by 16% to $681.2m, primarily driven by higher sales in Pre-school & Girls and Boys. Gross Product Sales increased by 20.5% in Europe, 16.7% in the Rest of the World and 13.8% in North America.
Other Revenue grew by $58.4m, driven by higher entertainment and licensing revenue and digital games revenue. Entertainment and Licensing revenue was $53m, primarily driven by distribution revenue related to Paw Patrol: The Movie.
Max Rangel, Spin Master’s Global president and CEO, commented: “It’s rewarding to see our strategic approach to toy innovation, engaging storytelling and open-ended digital play drive strong revenue growth across our three creative centres. Our global supply chain team expertly managed the market disruptions to ensure steady inventory flow, which allowed us to grow our market share in the US and build momentum ahead of the holiday season. Our first feature film, Paw Patrol: The Movie, helped recruit new fans to the franchise through increased awareness globally, which drove demand for our toys. Within digital games, Toca Life World continues to drive exceptional consumer engagement and revenue growth. With a continued focus on innovation and operational execution, we believe we are well positioned to bring magical play experiences to kids and their families.”
Mark Segal, Spin Master’s CFO, added: “We delivered very strong financial and operating results this quarter. Our Gross Product Sales and Total Revenue were higher than in any quarter in our history. The combination of strong sales, diligent cost management and our continued efforts to refine our operational capability led to record profitability levels. We are pleased to raise our Gross Product Sales and Total Revenue outlook for 2021 and for the balance of the year we will continue to take a disciplined approach to manage costs and maximize profitability and cash flow. With a diversified portfolio of brands, entertainment franchises and digital games across our global platform and a very solid financial base, we remain focused on investing to create long term value.”