UPDATED with extra Barbie feedback from earnings name: Mattel CEO Ynon Kreiz didn’t precisely verify a Barbie film sequel however indicated it’s coming – no shock – together with TV and different model extensions for the never-been-more-iconic doll.
“We haven’t announced anything, and it’s probably a bit early to talk about sequels, but obviously, with the success of the film…that would invite more opportunities,” he mentioned on a convention name after the toymaker’s quarterly earnings. “We operate in an industry where everyone is looking for these moments, for these brands, for these cultural events. And they happen, but they don’t happen that often. [So] we expect the brand to continue to grow, we expect to have more opportunities in content — and this in not just film, this is television and other areas.”
Kreiz mentioned there’s been a giant shift in Mattel’s “strategy and our DNA” with the large success of the Warner Bros. movie. That’s, realizing “that the people who buy our products are not just consumers, they are fans…And once you have an audience, more opportunities open up to engage with your fans in many ways and to create value from that engagement.”
Mattel’s different prime properties embody Sizzling Wheels and Fisher-Worth.
Requested concerning the impression of Hollywood labor motion on its leisure plans, the chief govt mentioned the strikes are “delaying some projects that are in development.” However, he added, “We’d made significant progress before the strike, and expect to continue to make progress after the strike. We are watching the space and will manage according.” He didn’t talked about particular initiatives however spme initiatives it’s engaged on embody a Barney film, a Polly Pocket film, a Sizzling Wheels film and an American Woman film.
Quarterly gross sales and earnings for the three months led to June have been down from the yr earlier with a elevate from Barbie anticipated within the second half. How large isn’t clear. Executives, though pressed by analysts, declined to shell out any particulars of what the field workplace blockbuster (at greater than $470 million worldwide) might do for Mattel’s funds. They famous that Barbie-themed merchandise with 165 model companions at hundreds of retail places is promoting out quick. Gross sales of conventional Barbie doll gross sales, which have been down 7% within the second quarter, have been additionally experiencing a “halo effect” from the movie.
The film skews older, and extra male, than followers of the particular doll.
PREVIOUSLY: Mattel CEO Ynon Kreiz mentioned final weekend’s blockbuster launch of Barbie – the toymaker’s first-ever main theatrical movie – is a second that “will be remembered as a key milestone in our company’s history.” His feedback got here amid second-quarter numbers in step with Wall Avenue forecasts.
“The Barbie movie is a showcase for the cultural resonance of our IP, our ability to attract and collaborate with top creative talent, and the capabilities of our franchise management organization. This also speaks to the potential of Mattel Films and the significant progress of our strategy to capture the full value of our IP,” Kreiz mentioned.
His feedback got here amid second-quarter numbers in step with Wall Avenue forecasts. At a convention name after the numbers, Matell executives — together with its extremely regarded COO who’s leaving to develop into chief govt of Hole — continued to extol the resurgence of its iconic dol,
Mattel noticed income fall 12% to $1.087 billion. Web earnings dropped practically 60% to $27 million, or 8 cents a share, from $66 million, or 18 cents within the year-earlier quarter. The enterprise has been scuffling with basic softness, and as retailers continued to handle stock ranges, mentioned CFO Anthony DiSilvestro. The Barbie impression — movie and toy — received’t actually hit till the present third and fourth quarters of the yr.