Strong Quarterly Sales Growth
Sales were up 26% in the quarter, with significant contributions from toys related to films like Sonic the Hedgehog 3 and Disney Moana 2. The Dolls, Role Play/Dress-Up business grew by 37%, and Action Play & Collectibles increased by 30%.
International Growth
International sales were up 29%, with notable growth in Latin America and EMEA regions. The company is focusing on expanding its international market to offset U.S. tariff impacts.
Improved Financial Metrics
Gross margin was 34.4%, with adjusted EBITDA improving to $400,000 from a $17.2 million loss last year. The unrestricted cash balance increased to $59.2 million from $35.3 million last year.
Dividend Announcement
The Board approved a $0.25 per share dividend for the second quarter, indicating a strong financial position.