Mattel misses quarterly estimates and forecasts 2026 profit below expectations

Mattel missed fourth-quarter revenue and earnings estimates and forecast 2026 adjusted EPS below analysts' expectations; shares fell about 21% after hours.

Mattel reported fourth-quarter results and issued a 2026 profit forecast that fell below Wall Street expectations. The company missed quarterly sales and earnings estimates, and its shares fell sharply after trading hours. Company executives said softer discretionary spending and heavy promotional activity weighed on toy demand during the holiday season. Key facts: - Fourth-quarter net sales rose 7% to US$1.77 billion, below expectations of US$1.84 billion. - Adjusted fourth-quarter earnings were US$0.39 per share, missing the US$0.54 estimate; Mattel forecast 2026 adjusted EPS of US$1.18–1.30 versus analysts' average of US$1.75. - Shares fell about 21% after the bell following the results and outlook. - The company announced a US$1.5 billion share buyback, will acquire the remaining 50% of Mattel163 for US$159 million, and has a multi-year licensing deal with Paramount Skydance starting in 2027. Summary: The reported miss and lower profit outlook reflect weaker holiday demand and margin pressure, according to company comments, while management is pursuing media and digital growth avenues alongside capital-return plans. Undetermined at this time.