Mattel Inc.’s shares were up 5% in after-hours trading on Oct. 21 after the El Segundo-based toy manufacturer surpassed Wall Street expectations with $1.76 billion in revenue for the third quarter of 2021 — an increase of 8% from the same period a year ago and a 19% uptick from 2019.
 
Mattel also posted a net income of $812 million, or $2.29 a share. The figure includes “a noncash benefit of $510 million resulting from the release of valuation allowances on deferred tax assets,” according to the company. Analysts anticipated earnings of 39 cents a share on $1.68 billion in revenue for the quarter.

“This was another strong quarter for Mattel, with increased consumer demand for our products and results exceeding expectations,” Chief Executive Ynon Kreiz said in a statement. “We successfully navigated ongoing global supply chain disruption, achieved sales growth and, per the NPD Group, continued to gain market share. We expect to grow for the balance of the year and have a strong holiday season.”

Mattel adjusted its outlook for full-year net sales to surpass 2020 results by 15%, up from prior guidance range of 12% to 14%.

The company’s net sales in North America were $1.04 billion, a 12% increase from third quarter sales in 2020. International markets contributed $673 million, a 2% jump year over year.

The toy-maker’s top brand, Barbie, brought in $555 million in gross revenue for the quarter and $1.12 billion for the first nine months of 2021.
 
Mattel recently introduced Barbie Music Producer — a “doll designed to introduce girls to an underrepresented career where women make up less than 3% of music producers,” according to the company.
 
It also partnered with New York-based Warner Music Group’s Arts Music division — the distributor of Mattel’s song catalog — and iHeartMedia Inc. in Texas to launch Barbie Radio. The digital station, featuring DJ Barbie, airs songs from the franchise’s latest musical, “Barbie: Big City, Big Dreams,” which is streaming on Netflix, among others.
 
“Barbie has been inspiring, empowering and entertaining kids for over 60 years, and we are always looking to reach fans in new ways,” Andrea Carpenter, Mattel’s senior director for content distribution and partnerships, said in a statement. “Leveraging Barbie’s music catalog of hundreds of original songs is one way for us to do that.

Partnering with iHeartMedia gives us the opportunity to engage fans and bring Barbie’s original music to more families than ever before.”