Mattel Q2 results show slump in Barbie sales, growth in American Girl
A 12% drop in global Barbie sales helped Mattel achieve weaker-than-expected second quarter profits of US$73.3 million, which represents a 24% drop from the same period last year. American Girl sales, meanwhile, were up 14% for the quarter.
Overall North American sales were down 2% for the world’s largest toy company. This was offset by a 4% rise in global sales for the period that reached US$1.17 billion, up 1% over last year. Cash flows used for investing activities were roughly US$132 million, a decrease of US$683 million, which was driven primarily by last year’s acquisition of HIT Entertainment.
By category, Mattel Girls & Boys Brands drew US$792.4 million in sales, which is 1% more than last year. And while Barbie was down, global gross sales for Other Girls brands were up 23%, thanks to Monster High brand, which helped drive an overall 7% sales uptick for Mattel during the first quarter of this year. The Wheels category saw sales drop 6%. Second quarter sales for Fisher-Price Brands were US$396.7 million, or 3% less than last year.
The company says the second half of the year – and the crucial holiday season – will be propelled by more innovative product, entertainment and retail programs.