Toymaker Mattel falls on forecasting 2023 profit below estimates

Marr SpA

08/02/2023 22:03

** Shares of Uno playing cards maker Mattel Inc  MAT.O  down
10.3% at $18.38 in extended trading
    ** Mattel forecasts 2023 earnings below estimates, joining
rival Hasbro Inc  HAS.O  in feeling the brunt of persistently
high inflation that has hit demand for its toys and games
    ** MAT projects 2023 adjusted profit between $1.10 and $1.20
per share, below analysts' expectations of $1.66 - Refinitiv
    ** Co's gross margin falls 630 bps to 43% in fourth quarter
ended Dec. 31
    ** MAT also misses Q4 estimates for revenue and profit 
    ** "Our fourth quarter results were below our expectations,
as the macro-economic environment was more challenging than
anticipated," says CEO Ynon Kreiz
    ** "Overall, not a good quarter and weak guidance to top it
all off," says CFRA Analyst Zachary Warring
    ** In January, Hasbro also projected its holiday-quarter
results below Wall Street expectations and said it would cut 15%
of its global workforce
    ** Up to Wednesday's close, MAT's stock had fallen 6.4% in
the past 12 months, while HAS dropped ~36% during the same
period
 (Reporting by Granth Vanaik in Bengaluru)
 ((Granth.Vanaik@thomsonreuters.com; Twitter: https://twitter.com/Vanaik_Granth))