JAKKS Pacific Reports Fourth Quarter and Full-Year 2023 Financial Results
JAKKS Pacific, Inc. reports a 3% decrease in net sales for the fourth quarter of 2023 but sees an 18% increase in gross profit. Full-year 2023 net sales declined by 11%, with gross profit up by 6%. The company achieved its key financial targets despite challenges in revenue comparisons, generating over $66 million in operating cash flow for the year.
Positive
Gross profit dollars increased by 6% compared to 2022, marking the third consecutive annual increase.
Fourth Quarter 2023 net sales were $127.4 million, a 3% decrease year-over-year.
Gross margin improved to 26.5%, up 480 basis points from Q4 2022.
Net loss attributable to common stockholders was $11.3 million, compared to net income of $37.6 million in Q4 2022.
Full-year 2023 net sales were $711.6 million, an 11% decrease from the previous year.
Gross profit for the full year was $223.4 million, up 6% from last year.
Operating income decreased by 3% to $59.1 million compared to $61.0 million in 2022.
Cash flows from operating activities were $66.4 million, down from $86.1 million in 2022.
Total debt was eliminated in the first half of 2023, with cash and cash equivalents at $72.6 million.
The Toys/Consumer Products segment saw a 1% increase in sales globally, while Costumes segment sales were down 40% in Q4 2023.
Inventory decreased by 35% to $52.6 million compared to $80.6 million in 2022.
Negative
Net loss attributable to common stockholders in Q4 2023 was $11.3 million, a significant decrease from the net income of $37.6 million in Q4 2022.
Full-year 2023 net sales decreased by 11% compared to the previous year.
Operating income declined by 3% to $59.1 million in 2023.
Cash flows from operating activities decreased to $66.4 million in 2023 from $86.1 million in 2022.
The reported financial results of JAKKS Pacific, Inc. indicate a mixed performance for the fourth quarter and full-year 2023. A key highlight is the increase in gross profit dollars by 6% , marking the third consecutive annual increase. This suggests a strengthening of the company's profitability despite a decrease in net sales by 11% compared to the previous year. However, the company's net income has significantly decreased , from $90.0 million in 2022 to $36.9 million in 2023, which may concern investors regarding the company's bottom line performance.
Another significant development is the elimination of all long-term debt in the first half of 2023, which is a positive indicator of the company's financial health and may contribute to reduced financial risk. The reduction in inventory by 35% is also noteworthy, as it could imply better inventory management and potentially lower carrying costs. However, the decrease in cash flows from operating activities and a reduction in cash and cash equivalents could raise questions about the company's liquidity and cash management strategies.
From an investment perspective, stakeholders may need to weigh the improved gross margins against the backdrop of declining sales and net income. The improved landed product cost and reduced inventory obsolescence expense are positive indicators for operational efficiency, yet the overall profitability and revenue generation capacity of the company need careful monitoring.
The financial results of JAKKS Pacific, Inc. also provide insights into consumer behavior and market trends. The 40% decrease in sales of Costumes and a 10% decrease in Toys/Consumer Products sales year-over-year suggest a shift in consumer demand or market saturation. However, the company's performance in Costumes was 22% higher than in 2021 , indicating recovery from the pandemic-era demand fluctuations.
The late holiday toy season and the company's ability to achieve positive year-over-year retail sales results in Q4 with two of their top three US Toys/Consumer Products customers reveal resilience in consumer spending in this segment. Nonetheless, the cautious approach of customers moving into the new year could signal a potential slowdown in the market.
Understanding the dynamics of the post-COVID recalibration in the Costumes segment and the flat performance in North America for the Toys/Consumer Products segment is critical for forecasting future trends and adjusting business strategies. The company's inventory reduction at retail accounts suggests a strategic move to align with current market demands and reduce overstock risks.
The financial results of JAKKS Pacific, Inc. reflect broader economic conditions, such as consumer confidence, disposable income levels and retail industry trends. The downward trend in net sales might be indicative of macroeconomic pressures affecting discretionary spending. However, the increase in gross margin suggests that the company has been successful in implementing cost-saving measures and possibly benefiting from a normalized supply chain .
The company's decision to eliminate long-term debt is a prudent fiscal move, particularly in an environment where interest rates may be rising and it could shield the company from higher interest expenses in the future. This strategic financial management is crucial for maintaining competitiveness and ensuring long-term sustainability.
Additionally, the late holiday toy season and its impact on Q4 results may reflect changing consumer behaviors and the need for retailers to adapt to a more dynamic sales calendar. The company's acknowledgment of a tentative market outlook suggests that they are aware of potential economic headwinds and are preparing accordingly.
02/29/2024 - 04:05 PM
Full-year Gross Profit Dollars up 6% vs. 2022; Third Consecutive Annual Increase
SANTA MONICA, Calif., Feb. 29, 2024 (GLOBE NEWSWIRE) -- JAKKS Pacific, Inc. (NASDAQ: JAKK) today reported financial results for the fourth quarter ended December 31, 2023.
Fourth Quarter 2023
Net sales were $127.4 million , a year-over-year decrease of 3% Gross margin of 26.5% , up 480 basis points vs. Q4 2022, led by improved landed product cost and reduced inventory obsolescence expense Gross profit of $33.7 million , up 18% compared to $28.6 million in Q4 2022 Net loss attributable to common stockholders of $11.3 million (or $1.12 per diluted share), compared to net income attributable to common stockholders of $37.6 million or ($3.66 per diluted share) in Q4 2022 Adjusted net loss attributable to common stockholders (a non-GAAP measure) of $10.5 million (or $1.04 per diluted share), compared to adjusted net loss attributable to common stockholders of $13.9 million (or $1.42 per diluted share) in Q4 2022 Adjusted EBITDA (a non-GAAP measure) of $(10.9) million vs. $(12.1) million in Q4 2022 Full-Year 2023
Net sales were $711.6 million compared to $796.2 million last year, an 11% decrease Gross margin of 31.4% compared to 26.5% last year Gross profit of $223.4 million , up 6% compared to $211.3 million last year, and the highest dollar level since 2015 Operating income of $59.1 million compared to $61.0 million last year; a 3% decrease Net income attributable to common stockholders of $36.9 million , down from a net income attributable to common stockholders of $90.0 million in 2022 Adjusted net income attributable to common stockholders of $48.9 million ($4.62 per diluted share), up from adjusted net income attributable to common stockholders of $43.6 million ($4.29 per diluted share) in 2022 Adjusted EBITDA of $75.7 million , down 1% versus $76.4 million in 2022 Cash flows provided by operating activities of $66.4 million , down from $86.1 million in 2022 Cash used in financing activities of $70.4 million , eliminating all long-term debt in the first half of 2023 End of year cash and cash equivalents of $72.6 million , down from $85.5 million in 2022 Management Commentary “For the third consecutive year we have met or exceeded our key financial full-year targets,” said Stephen Berman, CEO of JAKKS Pacific. “The year began with the challenge of revenue comparisons with a 2022 hit-driven blockbuster product line, but we also saw opportunities for gross margin improvements with a normalized supply chain. Gross and operating margins improved year-over-year despite a $80 + million decline in Net Sales, generating over $66 million in operating cash flow for the year.
“The holiday toy season came late this year, but we were pleased with the results. Two of our top three US Toys/Consumer Products customers achieved positive year-over-year retail sales results in Q4 despite challenging comparisons from the prior year. Our aggregate end-of-year inventory at retail at those three accounts is also down by a high single digit percentage compared to last year. Although customers are tentatively moving into the new year, we believe our core businesses remain on solid footing.”
Fourth Quarter and Full-Year 2023 Results Net sales for the fourth quarter of 2023 were $127.4 million , down 3% versus $131.9 million last year. The Toys/Consumer Products segment sales were up 1% globally (flat in North America; 7% International) and sales of Costumes were down 40% compared to last year (-54% North America; -20% International).
Full-year Toys/Consumer Products sales were down 10% compared to 2022. The Costumes segment was down 12% vs. 2022, as customers continue to recalibrate to post-COVID levels. Our 2023 Costumes performance was nonetheless 22% higher than 2021.
Balance Sheet Highlights The Company’s cash and cash equivalents (including restricted cash) totaled $72.6 million as of December 31, 2023, compared to $85.5 million as of December 31, 2022.
Total debt was zero, compared to $67.2 million as of December 31, 2022. Total debt as of December 31, 2022, included the amount outstanding under the Company's term loan, net of unamortized discounts and issuance costs.
Inventory was $52.6 million , compared to $80.6 million as of December 31, 2022, a reduction of 35% .
Use of Non-GAAP Financial Information In addition to the preliminary results reported in accordance with U.S. GAAP included in this release, the Company has provided certain non-GAAP financial information including Adjusted EBITDA which is a non-GAAP metric that excludes various items that are detailed in the financial tables and accompanying footnotes reconciling GAAP to non-GAAP results contained in this release. Management believes that the presentation of these non-GAAP financial measures provides useful information to investors because the information may allow investors to better evaluate ongoing business performance and certain components of the Company’s results. In addition, the Company believes that the presentation of these financial measures enhances an investor’s ability to make period-to-period comparisons of the Company’s operating results. This information should be considered in addition to the results presented in accordance with GAAP and should not be considered a substitute for the GAAP results. The Company has reconciled the non-GAAP financial information included in this release to the nearest GAAP measures. See the attached “Reconciliation of Non-GAAP Financial Information.” “Total liquidity” is calculated as cash and cash equivalents, plus availability under the Company’s $67.5 million revolving credit facility.
Conference Call Live Webcast JAKKS Pacific, Inc. invites analysts, investors and media to listen to the teleconference scheduled for 5:00 p.m. ET / 2:00 p.m. PT on February 29, 2024. A live webcast of the call will be available on the “Investor Relations” page of the Company’s website at www.jakks.com/investors . To access the call by phone, please go to this link (4Q23 Registration link ) , and you will be provided with dial in details. To avoid delays, we encourage participants to dial into the conference call five minutes ahead of the scheduled start time. A replay of the webcast will also be available for a limited time at (www.jakks.com/investors ) .
About JAKKS Pacific, Inc. JAKKS Pacific, Inc. is a leading designer, manufacturer and marketer of toys and consumer products sold throughout the world, with its headquarters in Santa Monica, California. JAKKS Pacific’s popular proprietary brands include: AirTitans®, Ami Amis™, Disguise®, Fly Wheels®, JAKKS Wild Games™, Moose Mountain®, Maui®, Perfectly Cute®, ReDo® Skateboard Co., Sky Ball®, SportsZone™, Xtreme Power Dozer®, and WeeeDo®, as well as a wide range of entertainment-inspired products featuring premier licensed properties. Through our products and our charitable donations, JAKKS is helping to make a positive impact on the lives of children. Visit us at www.jakks.com and follow us on Instagram (@jakkspacific.toys), Twitter (@jakkstoys) and Facebook (@jakkspacific.toys).
Forward Looking Statements This press release may contain “forward-looking statements” (within the meaning of the Private Securities Litigation Reform Act of 1995) that are based on current expectations, estimates and projections about JAKKS Pacific's business based partly on assumptions made by its management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such statements due to numerous factors, including, but not limited to, those described above, changes in demand for JAKKS Pacific's products, product mix, the timing of customer orders and deliveries, the impact of competitive products and pricing, or that the Recapitalization transaction or any future transactions will result in future growth or success of JAKKS. The “forward-looking statements” contained herein speak only as of the date on which they are made, and JAKKS undertakes no obligation to update any of them to reflect events or circumstances after the date of this release.
JAKKS Pacific, Inc. and Subsidiaries Condensed Consolidated Balance Sheets (Unaudited) December 31, 2023 2022 (In thousands) Assets Current assets: Cash and cash equivalents $ 72,350 $ 85,297 Restricted cash 204 193 Accounts receivable, net 123,797 102,771 Inventory 52,647 80,619 Prepaid expenses and other assets 6,374 6,331 Total current assets 255,372 275,211 Property and equipment 135,956 130,437 Less accumulated depreciation and amortization 121,357 115,575 Property and equipment, net 14,599 14,862 Operating lease right-of-use assets, net 23,592 19,913 Deferred income tax assets, net 68,143 57,804 Goodwill 35,083 35,083 Intangibles and other assets, net 2,162 2,469 Total assets $ 398,951 $ 405,342 Liabilities, Preferred Stock and Stockholders' Equity Current liabilities: Accounts payable $ 42,177 $ 33,687 Accounts payable - Meisheng (related party) 12,259 9,820 Accrued expenses 45,102 37,998 Reserve for sales returns and allowances 38,531 51,877 Income taxes payable 3,785 8,165 Short term operating lease liabilities 7,380 10,746 Short term debt, net - 25,529 Total current liabilities 149,234 177,822 Long term operating lease liabilities 16,666 9,863 Accrued expenses - long term 3,746 - Debt, non-current portion, net - 41,622 Preferred stock derivative liability 29,947 21,918 Income taxes payable 3,245 2,929 Deferred income tax liabilities, net - - Total liabilities 202,838 254,154 Preferred stock accrued dividends 5,992 4,490 Stockholders' equity: Common stock, $.001 par value 10 10 Additional paid-in capital 278,642 275,187 Accumulated deficit (73,612 ) (112,018 ) Accumulated other comprehensive loss (15,627 ) (17,482 ) Total JAKKS Pacific, Inc. stockholders' equity 189,413 145,697 Non-controlling interests 708 1,001 Total stockholders' equity 190,121 146,698 Total liabilities, preferred stock and stockholders' equity $ 398,951 $ 405,342 Supplemental Balance Sheet and Cash Flow Data (Unaudited) December 31, Key Balance Sheet Data: 2023 2022 Accounts receivable days sales outstanding (DSO) 89 72 Inventory turnover (DSI) 52 72 Twelve Months Ended December 31, Condensed Cash Flow Data: 2023 2022 Cash flows provided by operating activities $ 66,404 $ 86,099 Cash flows used in investing activities (8,907 ) (10,387 ) Cash flows used in financing activities and other (70,433 ) (35,554 ) Increase (Decrease) in cash, cash equivalents and restricted cash $ (12,936 ) $ 40,158 Capital expenditures $ (8,906 ) $ (10,389 )
JAKKS Pacific, Inc. and Subsidiaries Condensed Consolidated Statements of Operations (Unaudited) Three Months Ended December 31, Twelve Months Ended December 31, 2023 2022 Δ (%) 2023 2022 Δ (%) (In thousands, except per share data) (In thousands, except per share data) Net sales $ 127,396 $ 131,886 (3 )% $ 711,557 $ 796,187 (11 )% Less: Cost of sales Cost of goods 68,866 81,355 (15 ) 362,378 449,597 (19 ) Royalty expense 22,533 20,371 11 117,607 126,633 (7 ) Amortization of tools and molds 2,264 1,592 42 8,219 8,671 (5 ) Cost of sales 93,663 103,318 (9 ) 488,204 584,901 (17 ) Gross profit 33,733 28,568 18 223,353 211,286 6 Direct selling expenses 14,582 13,153 11 36,987 33,290 11 General and administrative expenses 34,401 30,752 12 126,893 114,819 11 Depreciation and amortization 90 360 (75 ) 366 1,907 (81 ) Selling, general and administrative expenses 49,073 44,265 11 164,246 150,016 9 Intangibles impairment - - - - 300 nm Income from operations (15,340 ) (15,697 ) (2 ) 59,107 60,970 (3 ) Other income (expense): Loss from joint ventures - - - (565 ) - nm Other income (expense), net 139 277 (50 ) 563 797 (29 ) Change in fair value of preferred stock derivative liability (1,361 ) 1,429 nm (8,029 ) (636 ) nm Loss on debt extinguishment - - - (1,023 ) - nm Interest income 757 63 nm 1,344 127 nm Interest expense (710 ) (2,294 ) (69 ) (6,451 ) (11,183 ) (42 ) Income (loss) before provision for (benefit from) income taxes (16,515 ) (16,222 ) 2 44,946 50,075 (10 ) Provision for (benefit from) income taxes (5,643 ) (54,331 ) (90 ) 6,833 (41,008 ) nm Net income (loss) (10,872 ) 38,109 nm 38,113 91,083 (58 ) Net income (loss) loss attributable to non-controlling interests (4 ) 140 nm (293 ) (330 ) (11 ) Net income (loss) attributable to JAKKS Pacific, Inc. $ (10,868 ) $ 37,969 nm % $ 38,406 $ 91,413 (58 )% Net income (loss) attributable to common stockholders $ (11,252 ) $ 37,607 nm % $ 36,904 $ 89,997 (59 )% Earnings (loss) per share - basic $ (1.12 ) $ 3.86 $ 3.70 $ 9.33 Shares used in earnings (loss) per share - basic 10,084 9,732 9,962 9,651 Earnings (loss) per share - diluted $ (1.12 ) $ 3.66 $ 3.48 $ 8.86 Shares used in earnings (loss) per share - diluted 10,084 10,263 10,590 10,155 Three Months Ended December 31, Twelve Months Ended December 31, 2023 2022 Δ bps 2023 2022 Δ bps Fav/(Unfav) Fav/(Unfav) Net sales 100.0 % 100.0 % - 100.0 % 100.0 % - Less: Cost of sales Cost of goods 54.0 61.7 770 50.9 56.5 560 Royalty expense 17.7 15.4 (230 ) 16.5 15.9 (60 ) Amortization of tools and molds 1.8 1.2 (60 ) 1.2 1.1 (10 ) Cost of sales 73.5 78.3 480 68.6 73.5 490 Gross profit 26.5 21.7 480 31.4 26.5 490 Direct selling expenses 11.4 10.0 (140 ) 5.2 4.2 (100 ) General and administrative expenses 27.0 23.3 (370 ) 17.8 14.4 (340 ) Depreciation and amortization 0.1 0.3 20 0.1 0.2 10 Selling, general and administrative expenses 38.5 33.6 (490 ) 23.1 18.8 (430 ) Intangibles impairment - - - - - - Income from operations (12.0 ) (11.9 ) (10 ) 8.3 7.7 60 Other income (expense): Loss from joint ventures - - (0.1 ) - Other income (expense), net 0.1 0.2 0.1 0.1 Change in fair value of preferred stock derivative liability (1.1 ) 1.1 (1.1 ) (0.1 ) Loss on debt extinguishment - - (0.1 ) - Interest income 0.6 - 0.2 - Interest expense (0.6 ) (1.7 ) (0.9 ) (1.4 ) Income (loss) before provision for (benefit from) income taxes (13.0 ) (12.3 ) 6.4 6.3 Provision for (benefit from) income taxes (4.5 ) (41.2 ) 1.0 (5.2 ) Net income (loss) (8.5 ) 28.9 5.4 11.5 Net income (loss) loss attributable to non-controlling interests - 0.1 - - Net income (loss) attributable to JAKKS Pacific, Inc. (8.5 )% 28.8 % 5.4 % 11.5 % Net income (loss) attributable to common stockholders (8.8 )% 28.5 % 5.2 % 11.3 %
JAKKS Pacific, Inc. and Subsidiaries Reconciliation of Non-GAAP Financial Information (Unaudited)
Reconciliation of GAAP to Non-GAAP measures:
This press release and accompanying schedules provide certain information regarding Adjusted EBITDA and Adjusted Net Income (Loss), which may be considered non-GAAP financial measures under the rules of the Securities and Exchange Commission. The non-GAAP financial measures included in the press release are reconciled to the corresponding GAAP financial measures below, as required under the rules of the Securities and Exchange Commission regarding the use of non-GAAP financial measures. We define Adjusted EBITDA as income (loss) from operations before depreciation, amortization and adjusted for certain non-recurring and non-cash charges, such as reorganization expenses and restricted stock compensation expense. Net income (loss) is similarly adjusted and tax-effected to arrive at Adjusted Net Income (Loss). Adjusted EBITDA and Adjusted Net Income (Loss) are not recognized financial measures under GAAP, but we believe that they are useful in measuring our operating performance. We believe that the use of the non-GAAP financial measures enhances an overall understanding of the Company’s past financial performance, and provides useful information to the investor by comparing our performance across reporting periods on a consistent basis.
Investors should not consider these measures in isolation or as a substitute for net income, operating income, or any other measure for determining the Company’s operating performance that is calculated in accordance with GAAP. In addition, because these measures are not calculated in accordance with GAAP, they may not necessarily be comparable to similarly titled measures employed by other companies.
Three Months Ended December 31, Twelve Months Ended December 31, 2023 2022 Δ ($) 2023 2022 Δ ($) (In thousands) (In thousands) EBITDA and Adjusted EBITDA Net income $ (10,872 ) $ 38,109 $ (48,981 ) $ 38,113 $ 91,083 $ (52,970 ) Interest expense 710 2,294 (1,584 ) 6,451 11,183 (4,732 ) Interest income (757 ) (63 ) (694 ) (1,344 ) (127 ) (1,217 ) Provision for income taxes (5,643 ) (54,331 ) 48,688 6,833 (41,008 ) 47,841 Depreciation and amortization 2,354 1,952 402 10,336 10,578 (242 ) EBITDA (14,208 ) (12,039 ) (2,169 ) 60,389 71,709 (11,320 ) Adjustments: Loss from joint ventures (JAKKS Pacific, Inc. - 51% ) - - - 276 - 276 Loss from joint ventures (Meisheng - 49% ) - - - 289 - 289 Other (income) expense, net (139 ) (277 ) 138 (563 ) (797 ) 234 Restricted stock compensation expense 2,057 1,646 411 8,027 5,082 2,945 Change in fair value of preferred stock derivative liability 1,361 (1,429 ) 2,790 8,029 636 7,393 Employee Retention Credit/gov't employment support - - - - (249 ) 249 Molds and tooling capitalization - - - (1,751 ) - (1,751 ) Loss on debt extinguishment - - - 1,023 - 1,023 Adjusted EBITDA $ (10,929 ) $ (12,099 ) $ 1,170 $ 75,719 $ 76,381 $ (662 ) Adjusted EBITDA/Net sales % (8.6 )% (9.2 )% 60 bps 10.6 % 9.6 % 100 bps JAKKS Pacific, Inc. and Subsidiaries Reconciliation of Non-GAAP Financial Information (Unaudited) Three Months Ended December 31, Twelve Months Ended December 31, 2023 2022 Δ ($) 2023 2022 Δ ($) (In thousands, except per share data) (In thousands, except per share data) Adjusted net income (loss) attributable to common stockholders Net income (loss) attributable to common stockholders $ (11,252 ) $ 37,607 $ (48,859 ) $ 36,904 $ 89,997 $ (53,093 ) Restricted stock compensation expense 2,057 1,646 411 8,027 5,082 2,945 Change in fair value of preferred stock derivative liability 1,361 (1,429 ) 2,790 8,029 636 7,393 Loss on debt extinguishment - - - 1,023 - 1,023 Employee Retention Credit/gov't employment support - - - - (249 ) 249 Loss from joint ventures (JAKKS Pacific, Inc. - 51% ) - - - 276 - 276 2021 BSP Term Loan prepayment penalty - - - 150 525 (375 ) Molds and Tooling capitalization - - - (1,751 ) - (1,751 ) Valuation allowance release/adjustments (2,577 ) (51,178 ) 48,601 (2,577 ) (51,178 ) 48,601 Tax impact of additional charges (96 ) (511 ) 415 (1,175 ) (1,208 ) 33 Adjusted net income (loss) attributable to common stockholders $ (10,507 ) $ (13,865 ) $ 3,358 $ 48,906 $ 43,605 $ 5,301 Adjusted earnings (loss) per share - basic $ (1.04 ) $ (1.42 ) $ 0.38 $ 4.91 $ 4.52 $ 0.39 Shares used in adjusted earnings (loss) per share - basic 10,084 9,732 352 9,962 9,651 311 Adjusted earnings (loss) per share - diluted $ (1.04 ) $ (1.42 ) $ 0.38 $ 4.62 $ 4.29 $ 0.32 Shares used in adjusted earnings (loss) per share - diluted 10,084 9,732 352 10,590 10,155 435
JAKKS Pacific, Inc. and Subsidiaries Net Sales by Division and Geographic Region (In thousands) QTD Q4 (In thousands) FY Divisions 2023 2022 2021 % Change 2023 v 2022 % Change 2022 v 2021 Divisions 2023 2022 2021 % Change 2023 v 2022 % Change 2022 v 2021 Toys/Consumer Products $ 118,855 $ 117,727 $ 179,152 1.0 % -34.3 % Toys/Consumer Products $ 580,686 $ 647,317 $ 513,517 -10.3 % 26.1 % Dolls, Role-Play/Dress Up 73,272 68,937 116,877 6.3 % -41.0 % Dolls, Role-Play/Dress Up 319,962 423,581 323,360 -24.5 % 31.0 % Action Play & Collectibles 35,312 38,909 41,164 -9.2 % -5.5 % Action Play & Collectibles 219,446 173,529 114,778 26.5 % 51.2 % Outdoor/Seasonal Toys 10,272 9,881 21,111 4.0 % -53.2 % Outdoor/Seasonal Toys 41,279 50,207 75,379 -17.8 % -33.4 % Costumes $ 8,541 $ 14,159 $ 8,812 -39.7 % 60.7 % Costumes 130,870 148,870 107,599 -12.1 % 38.4 % Total $ 127,396 $ 131,886 $ 187,964 -3.4 % -29.8 % Total $ 711,557 $ 796,187 $ 621,116 -10.6 % 28.2 % (In thousands) QTD Q4 (In thousands) FY Regions 2023 2022 2021 % Change 2023 v 2022 % Change 2022 v 2021 Regions 2023 2022 2021 % Change 2023 v 2022 % Change 2022 v 2021 United States $ 96,304 $ 100,907 $ 148,876 -4.6 % -32.2 % United States $ 557,865 $ 644,295 $ 512,193 -13.4 % 25.8 % Europe 17,988 19,437 22,322 -7.5 % -12.9 % Europe 76,464 85,348 60,425 -10.4 % 41.2 % Latin America 4,434 2,626 4,483 68.8 % -41.4 % Latin America 32,024 18,338 12,606 74.6 % 45.5 % Canada 4,686 4,795 5,596 -2.3 % -14.3 % Canada 26,992 26,515 17,999 1.8 % 47.3 % Asia 2,140 1,698 3,018 26.0 % -43.7 % Asia 8,543 10,431 9,232 -18.1 % 13.0 % Australia & New Zealand 1,486 1,822 2,496 -18.4 % -27.0 % Australia & New Zealand 7,542 8,836 6,423 -14.6 % 37.6 % Middle East & Africa 358 601 1,173 -40.4 % -48.8 % Middle East & Africa 2,127 2,424 2,238 -12.3 % 8.3 % Total $ 127,396 $ 131,886 $ 187,964 -3.4 % -29.8 % Total $ 711,557 $ 796,187 $ 621,116 -10.6 % 28.2 % (In thousands) QTD Q4 (In thousands) FY Regions 2023 2022 2021 % Change 2023 v 2022 % Change 2022 v 2021 Regions 2023 2022 2021 % Change 2023 v 2022 % Change 2022 v 2021 North America $ 100,990 $ 105,702 $ 154,472 -4.5 % -31.6 % North America $ 584,857 $ 670,810 $ 530,192 -12.8 % 26.5 % International 26,406 26,184 33,492 0.8 % -21.8 % International 126,700 125,377 90,924 1.1 % 37.9 % Total $ 127,396 $ 131,886 $ 187,964 -3.4 % -29.8 % Total $ 711,557 $ 796,187 $ 621,116 -10.6 % 28.2 %
CONTACT: JAKKS Pacific Investor Relations (424) 268-9567 Lucas Natalini
What was the percentage change in gross profit dollars compared to 2022?
Gross profit dollars increased by 6% compared to 2022.
How much were the net sales for the fourth quarter of 2023?
Fourth Quarter 2023 net sales were $127.4 million, a 3% decrease year-over-year.
What was the gross margin in Q4 2023 compared to Q4 2022?
Gross margin improved to 26.5%, up 480 basis points from Q4 2022.
What was the net loss attributable to common stockholders in Q4 2023?
Net loss attributable to common stockholders was $11.3 million, compared to net income of $37.6 million in Q4 2022.
How did full-year 2023 net sales compare to the previous year?
Full-year 2023 net sales were $711.6 million, an 11% decrease from the previous year.
What was the operating income in 2023 compared to 2022?
Operating income decreased by 3% to $59.1 million compared to $61.0 million in 2022.
What was the cash flows from operating activities in 2023?
Cash flows from operating activities were $66.4 million, down from $86.1 million in 2022.
How much was the total debt as of December 31, 2023?
Total debt was zero, compared to $67.2 million as of December 31, 2022.
What was the change in inventory from 2022 to 2023?
Inventory decreased by 35% to $52.6 million compared to $80.6 million in 2022.