Oct 22, 2026 earnings call — Holiday product momentum and international expansion
Q3 net sales were $254 million, a 20% increase versus prior year.
Revenue $0.3B (est $0.2B) · EPS $2.68 (est $2.34)
Key quotes
"Retail buyers were energized after last year's disruption, while also being optimistic about a robust film slate and Halloween falling on the weekend."
"We have opened up warehouses and further deepen our reach and further in Italy, Spain, Germany, UK, Rotterdam."
"Lastly, the board has approved the quarterly cash dividend of $0.25 per share."
Analyst Q&A 2
International expansion and regions
Q (Eric Beder · SmallCap Consumer): The analyst asked how JAKKS is adding accounts overseas and which regions offer the most expansion potential. He also asked if the international business is FOB like the U.S., and what that means for margins and smoothing quarterly results.
A: Management said expansion is happening aggressively, with a strong footprint in MEA and growth focused in EMEA, Latin America, and Southeast Asia. They are staffing up, opening warehouses and distribution centers, and adding rights and distribution in new territories. On structure, they said international is largely FOB but requires backup inventory due to longer lead times, and margins are comparable to the U.S. per management.
"The main opportunities are obviously in EMEA, and then it grows in Latin America and Southeast Asia." — Stephen G. Berman (CEO·CHAIR)
New content timing, Q3 comparison, tariffs, Toys R Us
Q (Thomas Forte · Maxim Group): The analyst asked why JAKKS is not supporting new entertainment in Q4 (timing or selectivity). He also asked what it would take to match 3Q24 results, whether tariff refunds are done, and about Toys R Us.
A: Management said the lack of new entertainment this year is timing, not pickiness, and that they expect bigger content in 2027 (Sonic, Frozen, Harry Potter show). They said the company grew via private label and evergreen Disney lines this year; John noted 3Q24 benefited from big entertainment tent poles like Moana 2 and Sonic 3. John confirmed tariffs refunds are done, and Stephen said Toys R Us is reopening about 120 stores now, mostly pop-ups so far.
"In the back half of 24, we had kind of some meaningful entertainment tent poles that we were rallying behind." — John L. Kimble (CFO)