Topline Growth and Gross Margin Expansion
Net sales grew 2% as reported and 4% in constant currency, and adjusted gross margin increased 130 basis points to 49.6%.
Strong Balance Sheet and Share Repurchase
Mattel ended the quarter with $1.24 billion in cash after repurchasing $160 million of shares.
Diversified Supply Chain
Less than 40% of Mattel's global production comes from China, compared to an industry average of 80%.
Entertainment Strategy Progress
Masters of the Universe movie is in production, new TV content for Hot Wheels and Barbie premiered on Netflix, and significant progress in digital games.
Category Performance
Dolls grew with Disney Princess and Wicked, vehicles driven by Hot Wheels, and games led by UNO achieving record first quarter.