Benzinga - Mattel Inc. (NASDAQ: MAT) is expected to report a year-over-year decline in earnings when it issues its results for the quarter ending March 2023, according to analyst expectations.
By The Numbers: The toymaker is expected to post a quarterly loss of 25 cents per share on revenues of $740.74 million.
If Mattel reports earnings in line with expectations, it would represent a 412.5% decline compared to the previous year and a 28% drop in revenues from the year-ago quarter.
While the anticipated decline in earnings and revenues may dampen investor sentiment, the company has been making moves to expand its product offerings and partnerships.
New Business: On Monday, Mattel announced a multi-year licensing agreement with Hasbro, Inc. (NASDAQ: HAS) to create co-branded toys and games for their major theatrical releases this summer.
As part of the deal, Mattel will produce Transformers-branded UNO games, set to release later this year, and Transformers-branded Hot Wheels vehicles, which will debut in early 2024.
Hasbro, which is expected to report earnings on Thursday before market open, on the other hand, will create Barbie-branded Monopoly games to launch in fall 2023.
The partnership comes as both companies prepare for major theatrical releases this summer, with Hasbro's "Transformers: Rise of the Beasts" from Paramount Global (NASDAQ: PARA) (NASDAQ: PARAA) set to hit theaters on June 9, and Mattel's "Barbie" from Warner Bros Discovery Inc (NASDAQ: WBD) slated for release on July 21.
New Products: Separately, Mattel recently introduced the first Barbie doll with Down Syndrome, part of its ongoing efforts to offer more diverse dolls that better reflect the world around us.
The company unveiled its "most diverse doll line" in its 2023 Fashionistas lineup, according to the Hollywood Reporter, which includes Barbie and Ken dolls with wheelchairs, vitiligo, hearing aids, and prosthetic limbs.
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