Mattel Narrows Q1 Loss

Mattel narrowed its first-quarter loss to $28.3 million from last year’s $106.5 million, with revenues that were down slightly to $810 million.

“We are off to a good start to the year with significant gross margin expansion, positive adjusted EBITDA and very strong improvement in free cash flow,” said Ynon Kreiz, chairman and CEO of Mattel. “Trends in consumer demand for our product improved through the quarter, and we expect to outpace the industry and gain market share in 2024. We are executing our strategy to grow our IP-driven toy business and expand our entertainment offering.”

Gross billings in North America were up by 1 percent, driven by Hot Wheels in the vehicles segment, action figures, building sets and games, with declines in the infants and preschool segment and dolls. International gross billings slipped by 4 percent with decreases in dolls—primarily Disney Princess and Disney Frozen—Fisher-Price and preschool entertainment, action figures and games. Hot Wheels continued to drive gains in vehicles.