Toy company, Mattel, Inc.(MAT) reported a drop in profits for their fourth quarter, missing analysts estimates on Friday.
The El Segundo, CA based company reported fourth quarter earnings of $306.5 million, or 87 cents per share, down from $370.6 million, or $1.07 per share last year. Excluding special items, EPS came in at $1.12 per share, missing the average analyst estimate of $1.15 per share.
MAT took a hit of $87.1 million in legal fees during the quarter, which involved copyright claims against the company.
There was a 5% upside in revenue for the quarter, coming in at $2.26 billion, from $2.15 billion last year.
Included in the quarterly sales was a 5% increase for the Mattel Girls & Boys Brands, which reported sales of $1.41 billion. The Barbie brand saw a -4% decline in sales, while other Girls Brands surged 55%.
Additionally, the company reported that the board have approved a dividend increase. The dividend will increase from 31 cents to 36 cents per share.
Mattel shares were down 87 cents, or -2.31% during premarket trading Friday. The stock has increased 28% in the past year.
The Bottom Line
Shares of Mattel, Inc.(MAT) will now have a 3.83% yield, based on the higher dividend payout and last night’s closing price of $37.63.
Mattel, Inc.(MAT) is a “Recommended” dividend stock at this time, holding a Dividend.com DARS™ Rating of 3.5 out of 5 stars.
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