Spin Master is celebrating an ‘excellent fourth quarter performance,’ with revenue increases of 30 per cent for the end of 2017.
The firm achieved a revenue of $440.9 million for the period, an increase of 30.3 per cent on the same period for 2016 which rang in at $338.4 million.
Hatchimals, Luvabella and Cardinal games have been cited as the biggest growth drivers that resulted in gross product sales increasing 28.6 per cent to $483.9 million, which according to the firm’s financial report ‘more than offset declines in Air Hogs and Zoomer.’
Gross Product Sales increased just under 17 per cent in North America, 34 per cent in Europe and 94 per cent in the rest of the world. International gross product sales on a combined basis were 40.8 per cent of total gross product sales, increasing from 34.8 per cent in 2016.
“Our excellent performance in the fourth quarter capped off another year of significant revenue and profitability growth for Spin Master,” said Anton Rabie, Spin Master’s chairman and co-CEO.
“Our Spin Master team performed exceptionally well globally and our investments in talent are driving positive results. We continue to be active on the acquisition front. In Q4 we acquired the Perplexus brand, an innovative game we have distributed since 2013.
“On March 5, we agreed to acquire Gund, a plush toy business that is best known for its iconic teddy bears. Gund has a 120-year history as a market leader and toy industry pioneer widely known for its high quality and innovative design. We are excited about our expansion into the infant toy and specialty gift categories.”
Ben Gadbois, Spin master’s president and COO, added: “We are very pleased with our execution in 2017 against Spin Master’s four growth strategies.
“Anchored by our global, collaborative innovation capabilities and the discipline of our 36 month brand innovation pipeline, we delivered breakthrough, category-defining products with global appeal such as Hatchimals Surprise, Soggy Doggy and Luvabella.
“We are seeing the results of our efforts to increase sales in existing and new markets. International sales continued to grow and our new direct markets in Australia, China and Central and Eastern Europe, exceeded our expectations.”
Spin Master has continued to build its entertainment team and has signalled that it is now poised to further develop its core franchises including PAW Patrol and Rusty Rivets, as well as introduce new content in 2018 and 2019, including Abby Hatcher: Fuzzly Catcher and the relaunch of Bakugan.