Q4 2025 Mattel Inc Earnings Call Transcript
Key Points
- Mattel Inc (MAT) achieved 6% growth in gross billings for the fourth quarter, with 7% growth in North America and 4% internationally.
- The company gained market share in key categories such as Vehicles, Dolls, Action Figures, and traditional games.
- Mattel Inc (MAT) ended the year with over $1.2 billion in cash after repurchasing $600 million of shares, demonstrating strong financial health.
- The acquisition of full ownership of Mattel163 Mobile Games Studio is expected to be immediately accretive both strategically and financially.
- Mattel Inc (MAT) announced a new $1.5 billion share repurchase program, reflecting confidence in its strategic plan and financial position.
- US gross billings in December grew less than anticipated, impacting full-year results relative to expectations.
- The Dolls and Infant, Toddler, and Preschool categories declined, with Barbie declining for the year.
- Adjusted gross margin declined by 480 basis points in the fourth quarter due to higher discounting, inflation, and foreign exchange impacts.
- Free cash flow generation decreased to $411 million for the year, down from $598 million in the prior year.
- Mattel Inc (MAT) expects a low single-digit decline in first-quarter revenue for 2026 due to shifts from direct import to domestic orders in the US.
Hello, and thank you for standing by. My name is Tiffany, and I will be your conference operator today. At this time, I would like to welcome everyone to the Mattel, Inc. fourth-quarter 2025 earnings conference call. (Operator Instructions)
I would now like to turn the call over to Greg Gilbert, Investor Relations. Greg, please go ahead.
Thank you, operator, and good afternoon, everyone. Joining me today are Ynon Kreiz, Mattel's Chairman and Chief Executive Officer; and Paul Ruh, Mattel's Chief Financial Officer.
This afternoon we reported Mattel's fourth-quarter and full-year 2025 financial results. We will begin today's call with Ynon and Paul providing commentary on our results. After which we will provide some time for questions. (Operator Instructions)
Today's discussion, earnings release, and slide presentation may reference certain non-GAAP financial measures and key performance indicators, which are defined in the slide presentation, and earnings release appendices.
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
