9:16 h / 2022/02/18
Jakks Pacific is flying high on its strongest earnings in five years
The company reported its fourth quarter and full-year earnings for 2021 yesterday, beating estimates despite continued supply chain challenges. The strong performance was bolstered by demand and sell-through for Jakks’ Disney ily 4Ever doll collection at Target, Super Mario and Sonic the Hedgehog products, ReDo and Heart Supply skateboards, and toys inspired by Disney’s Encanto.
The company says it’s net sales grew to $621 million last year, a 20% increase up from $515.9 million in 2020. At 29.5%, Jakks’ gross margin reached its highest level since 2016 while operating income of $38.8 million reached its highest level in more than a decade. The company’s Q4 sales spiked 47%.
For the year, net sales for toys and consumer products were up 48% while sales in the Disguise costumes business grew 21%.
In the months ahead, Jakks will debut a fresh wave of Encanto-inspired products as well as a robust collection of toys inspired by Paramount Pictures’ Sonic the Hedgehog 2.