Toy maker JAKKS Pacific miss Q2 sales estimates

JAKKS Pacific

24/07/2025 21:20

Overview

JAKKS Pacific Q2 sales down 20% yr/yr, missing analyst expectations

Adjusted EPS, net income, and EBITDA beat analyst estimates, per LSEG data

Rest of World sales up 41%, offsetting US sales decline of 31%

Outlook

Company focuses on financial resilience amid market challenges

JAKKS sees opportunities despite external uncertainties

Result Drivers

HIGHER IMPORT COSTS - US sales decline attributed to increased importation costs

INTERNATIONAL SALES GROWTH - Rest of World sales up 41% driven by strong performance in Europe and Latin America

NEW PRODUCT LAUNCHES - Improved gross margin due to better margins and volume from new product launches

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Miss
$119.10 mln
$124.10 mln (2 Analysts)
Q2 Adjusted EPS
Beat
$0.03
-$0.17 (2 Analysts)
Q2 Adjusted Net Income
Beat
$400,000
-$1.87 mln (2 Analysts)
Q2 Adjusted EBITDA
Beat
$2.30 mln
-$1.46 mln (2 Analysts)
Q2 Gross Margin
32.8%
Q2 Gross Profit
$39 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the toys & children's products peer group is "buy"

Wall Street's median 12-month price target for JAKKS Pacific Inc is $36.50, about 43.1% above its July 23 closing price of $20.78

The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 7 three months ago

Press Release: ID:nGNX97Lkfv

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)