Mattel stock rallies after Q1 sales surge 47%

Mattel stock rallies after Q1 sales surge 47%

Growth spurred by 69% boost in doll sales

Mattel Inc. stock rallied late Thursday after the toy maker reported a narrower-than-expected quarterly loss and said its sales surged nearly 50%.

Mattel MAT, +0.81% said it lost $115 million, or 33 cents a share, in the first quarter, compared with a loss of $211 million, or 61 cents a share, in the year-ago quarter.

Adjusted for one-time items, the company lost 10 cents a share, compared with 56 cents a share a year ago.

Sales rose 47% to $874 million, from $594 million a year ago, Mattel said. Worldwide gross billings for dolls rose 69% to $381 million, mostly thanks to growth in Barbie and American Girl, Mattel said.

Analysts polled by FactSet expected Mattel to report an adjusted loss of 35 cents a share on sales of $684 million.

“While growth this quarter was partially driven by year-over-year COVID-related comparisons, we believe our outstanding results, overall, are attributable to the strength of our brands, quality and breadth of our product, world-class supply chain, global commercial capabilities, and very effective demand creation in close collaboration with our retail partners,” Chief Executive Ynon Kreiz said in a statement.

The stock ended the regular trading day up 0.1%.

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