JAKKS Pacific Earnings: Here’s Why Investors are Happy Now
JAKKS Pacific, Inc. (NASDAQ:JAKK) had a loss and missed Wall Street’s expectations, BUT beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 6.71%.
JAKKS Pacific, Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased to $-1.26 in the quarter versus EPS of $-0.59 in the year-earlier quarter.
Revenue: Rose 6.39% to $78.1 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: JAKKS Pacific, Inc. reported adjusted EPS loss of $1.26 per share. By that measure, the company missed the mean analyst estimate of $-0.84. It beat the average revenue estimate of $71.24 million.
Quoting Management: Stephen Berman, President and CEO, JAKKS Pacific, Inc. stated, “Our first quarter represents approximately 10% of our projected sales for the 2013 calendar year and we believe we are on track to achieve our previously announced sales and earnings forecast for the year. During the first quarter, sales of our broad array of core product lines got off to a good start and we are optimistic that they will continue to perform as projected. Top contributors were centered on our evergreen, core brands including our JAKKS-owned Fly Wheels, Disney Princess dolls and dress-up, Fisher-Price ride-ons, outdoor and indoor preschool furniture, and outdoor activity items from our Maui division. While our costs were somewhat higher, including the deferral of the $5.3 million tax benefit, which is expected to be recognized in the third quarter based on our forecast, we believe that operating efficiencies and continued cost reductions for the balance of the year will also deliver the projected earnings.”
Key Stats (on next page)…