Jakks Pacific enjoys net income increases in Q2/17 results

Jade Burke

By Jade Burke

July 26th 2017 at 10:05AM
UPDATED July 26th 2017 at 12:30PM
Jakks Pacific enjoys net income increases in Q2/17 results

The toy company has revealed its results for the second quarter ended June 30th, 2017, which has witnessed lower sales.

Jakks Pacific has detailed its results for the second quarter ended June 30th, 2017, citing increases in full year net income despite lower sales.

Net sales for Q2 2017 reached $119.6 million compared to $141.0 million reported in the period a year ago.

Reported net loss for the second quarter was $16.7 million, or $0.77 loss per diluted share, which included a non-cash charge of $2.3 million related to the write-down of accounts receivable from 2014/2015 sales to an online retailer that is no longer in business.

Meanwhile, adjusted EBITDA was negative $5.4 million, compared to adjusted EBITDA of $4.0 million in Q2 2016.

Gross margin reached 28.2 per cent, which was down from 31.8 per cent last year due to closeout sales, fixed costs and changes to product mix.

Lastly, operating loss for Q2 2017 was $14.1 million, including the $2.3 million non-cash charge related to the accounts receivable write-down due to an online retailer no longer in business, compared to an operating loss of $1.1 million during Q2 2016.