Mattel Shares Plummet 25% After Disappointing Holiday Earnings Report
Mattel's stock suffered a significant blow, dropping nearly 25% following a lackluster fourth-quarter earnings report. The toy Maker reported adjusted earnings of 39 cents per share on $1.77 billion in revenue, both falling short of analyst expectations. CEO Ynon Kreiz attributed the shortfall to slower-than-expected December order growth in the U.S., while international business performed as anticipated.
The company's forecast for declining profits this year further rattled investors, who had been anticipating growth. Retailers' hesitation around orders, partly due to tariff uncertainties during the TRUMP administration, exacerbated the situation. Mattel and rival Hasbro had previously raised prices to offset tariff impacts, but retailers remained cautious.
