LeapFrog Announces Q3 Results
LeapFrog Enterprises, Inc., announced financial results for the third quarter ended September 30, 2012. Highlights of third quarter 2012 results compared to third quarter 2011 were displayed as follows:
• Consolidated net sales were $193.1 million, up 28 percent.
• Income from operations was $36.9 million, up 48 percent.
• Net income per diluted share was $0.60, up 71 percent or $0.25 per share.
• Cash and cash equivalents were $49.4 million as of September 30, 2012, up 93 percent or $23.8 million compared to the balance as of September 30, 2011.
Highlights of nine month 2012 results compared to nine month 2011 were displayed as follows:
• Consolidated net sales were $336.6 million, up $91.6 million or 37 percent.
• Income from operations was $20.8 million, an improvement of $30.8 million.
• Net income per diluted share was $0.35, an improvement of $0.55 per share.
Third quarter 2012 net sales were $193.1 million, up 28 percent compared to $150.8 million last year, and included a 1 percent negative impact from changes in currency exchange rates. Net sales growth was primarily driven by the introduction of new products, continued high consumer demand for the LeapPad line, and strong content sales. In the U.S. segment, net sales were $145.7 million, up 26 percent compared to $116 million last year. In the International segment, net sales were $47.4 million, up 36 percent compared to $34.9 million last year, and included a 3 percent negative impact from changes in currency exchange rates.
Income from operations was $36.9 million for the third quarter of 2012, up 48 percent compared to $24.9 million a year ago. Net income was $41.7 million, up 81 percent compared to $23 million a year ago. Net income included non-recurring tax benefits of $6.4 million in the third quarter of 2012 and $2.9 million in the third quarter of 2011.
Net income per diluted share was $0.60 for the third quarter of 2012, up 71 percent or $0.25 per share compared to $0.35 a year ago. Excluding the impact of non-recurring tax benefits, net income per diluted share increased $0.20 per share compared to the prior year.
Guidance for the full year 2012 is now expected to be:
• Net sales between $535 million and $550 million, an increase of $80 million to $95 million, or 18 percent to 21 percent, compared to $455 million in 2011.
• Net income per diluted share in the range of $0.75 to $0.81 compared to $0.30 in 2011.
MEGA Brands Reports Q3 Results
MEGA Brands, Inc., announced its financial results for the third quarter ended September 30, 2012. Consolidated net sales in the third quarter increased 5 percent to $140.1 million compared to $133.4 million in the corresponding 2011 period.
Toy sales increased 5 percent compared to the third quarter of 2011, with higher product shipments in the Preschool and Boys construction categories. Toy sales have increased year-over-year in 11 of the last 12 quarters.
Sales of Stationery & Activities products were up 3 percent, the sixth consecutive quarter of year-over-year growth in this segment.
North American sales rose 19 percent, which offset lower international shipments. Gross margin improved to 40 percent of net sales compared to 39.2 percent in the third quarter of 2011, mainly as a result of favorable product mix and proactive measures by the company, including investments in new equipment to increase efficiency at its Montreal production facility.
Earnings before interest, taxes, depreciation, and amortization (“EBITDA”) increased 13 percent to $28.2 million compared to $25 million in the third quarter of 2011. For the nine-month period ended September 30, 2012, EBITDA was up 22 percent to $35.2 million compared to $28.8 million in the corresponding period in 2011.
Net earnings were $19.5 million or $1.19 per basic share ($0.65 per diluted share) compared to $17.1 million or $1.04 per basic share ($0.51 per diluted share) in the third quarter of 2011. For the nine-month period ended September 30, 2012, net earnings were $12.6 million or $0.77 per basic share ($0.60 per diluted share) compared to $8.1 million or $0.49 per basic share ($0.40 per diluted share) in the same period of 2011.
“MEGA Brands achieved higher sales and earnings, improved gross margin and stronger cash flow in the third quarter,” said Marc Bertrand, president and CEO. “After nine months, we are well ahead of 2011 and well-positioned for the fourth quarter with higher listings at North American retailers compared to the same period last year, including the launch of the MEGA Bloks Skylanders Giants and MEGA Bloks Barbie collections, which will soon be appearing in stores.”
Uglydoll Offices Destroyed in Storm; New Contact Info Here
PrettyUgly LLC, home of Uglydoll, sent out a message at the end of last week explaining that its offices and warehouse have been completely destroyed by Hurricane Sandy. PrettyUgly did report that everyone on the team is safe. Alita Friedman is currently using her cell phone as the main company contact: (732) 319–0502. The company can also be reached by email at: firstname.lastname@example.org or email@example.com
Immediate new location is:
Pretty Ugly, LLC
290 Highway 22 West
Green Brook, New Jersey 08812
General email: firstname.lastname@example.org
Phone: (908) 620-0931 (not currently working as of November 6)
Send all mail/packages to this new location.
Customers needing to place orders of Uglydoll plush can contact its licensee:
Gund Worldwide Headquarters
One Runyons Lane
Edison, NJ 08817
Tel: (800) 448–GUND (4863)
Fax: (732) 248–1968
ASTRA’s Neighborhood Toy Store Day Promotes Shop Local
The American Specialty Toy Retailing Association (ASTRA) is celebrating Neighborhood Toy Store Day on Saturday, November 10 to encourage consumers to shop local.
Participating independent toy stores across the country will host in-store events for families, including activities such as performances, craft projects, snacks, prizes, and special discounts. Here is a sample of some of the upcoming events happening across the country on November 10:
In Boston, all Magic Beans locations are offering 20 percent off all regularly priced toys in-store and online with the code TSD2012.
Chicago’s Play location on 3109 Logan Blvd. is hosting “Made in Chicago” themed-events, including a meet and greet with Jerome Pohlen, creator of Doodle Chicago, and crafting projects led by the founders of Kidzsaw art kits.
Momo’s Special Toys on 2323 Shallowford Road in Marietta, Ga., is offering 10 percent off your entire purchase, snacks, prizes, and more.
Visit www.yourneighborhoodtoystore.org for more events and offers around the country.
LIMA Seeks Speakers for Licensing University
The International Licensing Industry Merchandisers’ Association (LIMA) is now accepting submissions for speakers and presentation topics for next June’s Licensing University educational sessions, held in conjunction with Licensing Expo June 17–20, 2013, in Las Vegas. LIMA plans to offer a full slate of approximately 30 sessions in 13 different categories. The submission deadline is Friday, November 16.
LIMA is currently seeking topic suggestions in the following categories:
• Case studies on new product and property introductions and brand extensions
• Retail strategies and trends
• International licensing
• Mobile and wireless content
• Apps/Video gaming
• Food branding and licensing
• Consumer spending trends
• Corporate branding
• Music and celebrity licensing
• Sports licensing
• Art licensing
• Corporate social responsibility
• Maximizing social media
Submissions in other categories will also be considered.
Applications for moderators and speakers will be accepted via the LIMA website only. Interested candidates should click here to apply. For more information, please contact Marty Brochstein at email@example.com.