Q3 2024 Spin Master Corp Earnings Call Transcript

Oct 31, 2024 / 01:30PM GMT

Release Date Price: $21.09 (-8.75%)

Transcript

Key Points

Positve

Spin Master Corp (SNMSF) reported a 25% increase in total revenue for the third quarter, driven by strong performance in the toy segment and Melissa and Doug.
The company maintained its position as the number four corporate manufacturer in the toy industry, with several new products landing on retailers' most wanted toy lists for the holidays.
Melissa and Doug achieved double-digit growth in gross product sales for the second consecutive quarter, demonstrating the brand's strength.
The Miss Rachel toy line exceeded expectations, becoming the number one new license in the US toy industry in Q3.
Spin Master Corp (SNMSF) successfully integrated Melissa and Doug, achieving significant milestones and positive revenue growth in Canada and Mexico.

Negative

Entertainment and digital games revenue declined, with a notable decrease in in-game purchases within Toca Boca World.
Adjusted EBITDA margin excluding Melissa and Doug decreased due to a higher proportion of revenue from toys and a lower proportion from digital games.
The company faced challenges in digital games, with a 16.8% revenue decline in Toca Boca World due to lower in-app purchases.
Gross margin declined to 53% from 54.5%, primarily due to the impact of the Melissa and Doug inventory fair market value adjustment.
Spin Master Corp (SNMSF) anticipates continued volatility in consumer behavior in Q4, influenced by the US election and a shorter shopping period between Thanksgiving and Christmas.

Operator

Good morning, ladies and gentlemen and welcome to the Spinmaster Corp third quarter, 2024 results conference call at this time.

All lines are in a listen-only mode. Following the presentation, we will conduct a question-and-answer session. If at any time during this call, you need assistance. Please press star zero for the operator. This call is being recorded on Thursday, October 31st, 2024.

I would now like to turn the conference over to Sophia Bisoukis. Please go ahead.

Sophia Bisoukis

Spin Master Corp - Vice President, Investor Relations

Thank you and good morning. Welcome to Spin Master's Financial Results conference call for the third quarter of 2024. I'm joined this morning by Max Rangel, Spin Master's Global President and CEO, and Mark Segal, Spin Master's Chief Financial Officer.

For your convenience. The press release MD&A and interim consolidated financial statements are available on the Investor Relations section of our website at Spinmaster.com and on SEDAR plus.

Before we begin, please note that remarks

Already have an account? Log in

Get the full story

Subscribe Now

	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...

30-Day 100% money back guarantee

Subscription fee may be tax deductible.

Excellent

4.6 out of 5

Trustpilot

Research Tools

All-In-One Screener Stock Ideas Stock List Guru List Guru Real-Time Picks Insider List Insider Trades Economic Indicators Sector & Industry Performance DCF Calculator Calculators Discussion Board

Product

Pricing Plans Excel Add-In Google Sheets Add-on Data API Stock Comparison Table Manual of Stocks Instant Alerts Mobile App Newsletters Signup 中文

Education

Financial Glossary Tutorials FAQ Buffett Indicator Shiller P/E Yield Curve Today U.S. Inflation Rate Global Market Valuation Fed Net Liquidity Buffett Assets Allocation

Company

About GuruFocus Career Contact Us Advertise Term of Use Privacy Policy Referral Program Partner Program

Survey

We'd love to learn more about your experiences on GuruFocus.com and how we can improve!

Take Survey

Disclaimers

GuruFocus.com is not operated by a broker or a dealer. Under no circumstances does any information posted on GuruFocus.com represent a recommendation to buy or sell a security. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. The individuals or entities selected as "gurus" may buy and sell securities before and after any particular article and report and information herein is published, with respect to the securities discussed in any article and report posted herein. Gurus may be added or dropped from the GuruFocus site at any time. In no event shall GuruFocus.com be liable to any member, guest or third party for any damages of any kind arising out of the use of any content or other material published or available on GuruFocus.com, or relating to the use of, or inability to use, GuruFocus.com or any content, including, without limitation, any investment losses, lost profits, lost opportunity, special, incidental, indirect, consequential or punitive damages. Past performance is a poor indicator of future performance. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. The information on this site is in no way guaranteed for completeness, accuracy or in any other way. The gurus listed in this website are not affiliated with GuruFocus.com, LLC. Stock quotes are provided by QuoteMedia, Inc. (CSI). Company fundamental data is provided by Morningstar. Analyst estimates data is sourced from both Refinitiv and Morningstar, with priority given to Refinitiv data. Data is updated daily.