Jakks reports Q3 sales dip

Sales fall five per cent for the period to $332.4m, from $348.7m in 2010.
Publish date:
Social count:
60_Jakks Logo 300.jpg

Jakks Pacific has reported results for the third quarter and first nine months ended September 30th, 2011.

Net profit for the third quarter was $34.8 million, which included a $0.7 million, related to legal and financial advising fees and expenses in conjunction with the unsolicited indication of interest to acquire the company. The profit compares to $40.4 million, which included a tax benefit of $5.9 million, in the comparable period in 2010.

Excluding the legal and financial advising fees in 2011 and tax benefit in 2010, third quarter earnings in 2011 would have been $35.3 million, compared to $34.5 million in 2010.

Net sales for the nine months fell to $536.7 million, from $549.3 million in 2010. Net income reported for the nine month period was $28.5 million, which includes fees and expenses related to the unsolicited indication of interest of $1.8 million. This compares to net income for the first nine months of 2010 of $38.2 million, which includes a one-time pre-tax charge relating to the benefit payment of $2.8 million, to the estate of Jack Friedman pursuant to his employment agreement and tax benefits of $10.8 million.

Excluding the legal and financial advising fees in 2011 and the tax benefit and one-time charge in 2010, the nine month earnings would have been $29.9 million, or $1.01 per diluted share, compared to $29.3 million, or $0.97 per diluted share in 2010.

Stephen Berman, CEO and president, commented: "I am pleased to report that sales in the third quarter were in line with our expectations and several new toys from our portfolio are already garnering industry and retailer accolades.

"Our Spy Net electronics, I Am T-Pain Mic, Cabbage Patch Kids, Singing and Storytelling Belle, Disney Princess Dress-Up and Role Play, to name just a few, have earned coveted positions on many retailer and media Hot Holiday Toy Lists both in the US and abroad. We are also excited to expand our portfolio with our recently completed acquisition of Moose Mountain Toymakers.

"In addition, we are wrapping up Fall Toy Fair meetings with retailers, licensors and other industry partners and are pleased with the enthusiastic response to our 2012 lines including Monsuno, Winx Club, Spy Net and others.

"We remain committed to delivering value to our stockholders," said Joel Bennett, executive vice president and CFO. "During the quarter, we declared the Company's first ever cash dividend and we completed our previously announced $30.0 million stock buy-back program with the repurchase of 1,206,000 shares of our common stock for a total of $19.3 million."


Featured Jobs

Vivid Job Logo 620 x 349

Digital Marketing Executive - Toys & Games

Vivid is Britain’s biggest toy company and the 20 largest in the world. With offices across the globe, they sell an amazing portfolio of toys and games to over 60 countries. Vivid is best known for its association with blockbuster brands and is very excited about future opportunities around the world.


UK Sales Agents

Liberty House Toys have been appointed as the exclusive UK distributor for the BiOBUDDi brand, and we are pleased to introduce this new unique, innovative and exciting range of 100% environmentally-friendly toy building blocks. We are seeking experienced sales agents with existing network in the toy retail market.

Gameplan Job Logo 620 x 349

Head of Product Development & Marketing

Our client is a privately owned French toy and games manufacturer which sells through distributors in forty countries. The company develops and sells innovative electronic interactive toys and games for the educational and gaming markets, and also takes suitable licenses. To progress its successful business development a Head of Product Development & Marketing is to to recruited.

HIT Entertainment Job Logo 620 x 349

Licensing Systems Administrator

The Contract System Coordinator is a newly created role to support the deal term entry process into Mattel’s new Contract Management System for its Licensing business. The role will support the Business Teams at the Deal & Amendment phase of the contracting process and act in conjunction with the System Administration team.