Mattel Reports Surprise LossThursday, April 17, 2014
Mattel Inc. on Thursday reported its first quarterly loss in five years, blaming it on weaker Barbie sales and excess inventory marked down due to a lackluster holiday season.
The El Segundo toymaker reported a first quarter net loss of $11.2 million (3 cents a share) compared with net income of $38.5 million (11 cents) in the same period a year earlier.
Revenue fell 5 percent to $946 million, with Barbie sales down 14 percent and Fisher-Price preschooler products off 6 percent. American Girl sales were a bright spot, with sales up 5 percent.
Excluding one-time items, the company earned 1 cent a share. Analysts surveyed by Thomson Reuters on average had expected adjusted net income of 7 cents a share on revenue of more than $947 million.
“Revenues were consistent with our expectations as we worked through inventories in a challenging global retail environment,” Chief Executive Bryan Stockton said in a statement.
Shares closed down 41 cents, or 1 percent, to $37.47 on the Nasdaq.