Jakks Pacific ( (JAKK) ) has released its Q1 earnings. Here is a breakdown of the information Jakks Pacific presented to its investors.
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JAKKS Pacific, Inc. is a prominent designer, manufacturer, and marketer of toys and consumer products, headquartered in Santa Monica, California, known for its wide range of entertainment-inspired products and proprietary brands.
In its latest earnings report for the first quarter of 2025, JAKKS Pacific announced a significant increase in net sales, up 26% year-over-year to $113.3 million, driven by strong demand for products related to recent film releases. The company also reported a substantial improvement in gross margin, rising to 34.4% from 23.4% in the previous year, and a reduced operating loss of $3.8 million compared to $21.3 million in Q1 2024.
Key financial highlights include a gross profit of $39.0 million, an adjusted net loss of $0.4 million, and an adjusted EBITDA of $0.4 million, marking a notable recovery from the previous year’s losses. The Toys/Consumer Products segment saw a 30% global sales increase, while international sales, particularly in Europe, experienced over 100% growth. The company’s cash position also improved, with cash and cash equivalents totaling $59.4 million as of March 31, 2025.
Looking ahead, JAKKS Pacific’s management expresses confidence in its strategic positioning and financial stability, emphasizing its strong liquidity and capital structure. The company is optimistic about its growth prospects, particularly in Europe and Latin America, and remains committed to navigating the challenges in the U.S. market while pursuing new opportunities and maintaining its focus on core business growth.