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JAKKS Pacific Q1 Earnings and Revenues Surpass Estimates, Stock Up

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JAKKS Pacific, Inc. (JAKK - Free Report) reported first-quarter 2025 results, with earnings and revenues beating the Zacks Consensus Estimate. The top and bottom lines increased on a year-over-year basis.

For the quarter, the company reported solid consumer demand across major markets and key retail channels. While U.S. market conditions posed some challenges in April, the company reported growth in Europe and Latin America, supported by strategic investments.

Following the results, JAKK stock jumped 15.6% in Tuesday’s after-hours trading session.

JAKK’s Q1 Earnings and Revenues

For the quarter, the company reported an adjusted loss per share of 3 cents, narrower than the Zacks Consensus Estimate of a loss of 72 cents. In the prior-year quarter, JAKK reported an adjusted loss of $1.09 per share. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)

JAKKS Pacific, Inc. Price, Consensus and EPS Surprise

JAKKS Pacific, Inc. Price, Consensus and EPS Surprise

JAKKS Pacific, Inc. price-consensus-eps-surprise-chart | JAKKS Pacific, Inc. Quote

Quarterly revenues of $113.3 million topped the consensus mark of $92 million by 22.8%. The top line increased 26% on a year-over-year basis.

Net sales in the Toys/Consumer Products segment increased 29.6% year over year to $107.4 million. Our estimate was $85 million.

Costumes’ net sales decreased 18.9% year over year to $5.8 million. Our prediction was $7.2 million.

Operating Highlights of JAKK

In the reported quarter, the gross margin reached 34.4%, compared with 23.4% reported in the prior-year quarter. The upside was backed by higher margins on new product launches, along with a reduction in inventory obsolescence expenses and retailer markdowns. We predicted the metric to be 21.8%.

Adjusted EBITDA during the quarter amounted to $0.4 million against $17.2 million reported a year ago. We predicted the metric to be $8.7 million.

Balance Sheet of JAKK

As of March 31, 2025, the company’s cash and cash equivalents were $59.2 million compared with $35.3 million as of March 31, 2024.

JAKK’s Zacks Rank

JAKKS Pacific currently carries a Zacks Rank #3 (Hold).

Stocks to Consider

Some better-ranked stocks from the Zacks Consumer Discretionary sector are TEGNA Inc. (TGNA - Free Report) , Bally's Corporation (BALY - Free Report) and American Outdoor Brands, Inc. (AOUT - Free Report) .
 
TEGNA presently sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
 
TEGNA delivered a trailing four-quarter earnings surprise of 6.3%, on average. The stock has gained 19.8% in the past year. The consensus estimate for TGNA 2026 sales and earnings per share (EPS) implies growth of 11.3% and 93.8%, respectively, from the year-ago levels.
 
Bally's presently sports a Zacks Rank #1. The company delivered a trailing four-quarter earnings surprise of negative 166.2%, on average. The stock has declined 16.9% in the past year.
 
The consensus estimate for Bally's 2025 sales and EPS implies growth of 4.4% and 76.3%, respectively, from the year-ago levels.
 
American Outdoor carries a Zacks Rank #2 (Buy) at present. The company delivered a trailing four-quarter earnings surprise of 79.6%, on average. The stock has gained 45.2% in the past year.
 
The Zacks Consensus Estimate for American Outdoor’s fiscal 2025 sales and EPS indicates growth of 3.7% and 93.8%, respectively, from the year-ago levels.

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