Segment Information

3 Months Ended

Mar. 31, 2023

Segment Reporting [Abstract]

Segment Information

Segment Information

Mattel designs, manufactures, and markets a broad variety of toy products worldwide, which are sold to its customers and directly to consumers.

Segment Data

Mattel's reportable segments are: (i) North America, which consists of the United States and Canada; (ii) International; and (iii) American Girl. The North America and International segments sell products across Mattel's categories, although some products are developed and adapted for particular international markets.

The following tables present information regarding Mattel's net sales, operating (loss) income, and assets by reportable segment. The corporate and other expense category includes operating costs not allocated to individual segments, including charges related to incentive and share-based compensation, corporate headquarters functions managed on a worldwide basis, the impact of changes in foreign currency exchange rates on intercompany transactions, and certain severance and other restructuring costs. It is impracticable for Mattel to present net sales by categories, brands, or products, as trade discounts and other allowances are generally recorded in the financial accounting systems by customer.

	For the Three Months Ended
	March 31, 2023		March 31, 2022
	(In thousands)
Net Sales by Segment
North America	$	437,015	$	602,118
International	344,093		403,842
American Girl	33,471		35,341
Net sales	$	814,579	$	1,041,301

	For the Three Months Ended
	March 31, 2023		March 31, 2022
	(In thousands)
Operating (Loss) Income by Segment (a)
North America	$	43,942	$	171,413
International	313		46,833
American Girl	(11,799)		(17,227)
	32,456		201,019
Corporate and other expense (b)	(147,493)		(120,952)
Operating (Loss) Income	(115,037)		80,067
Interest expense	31,128		33,049
Interest (income)	(6,519)		(1,202)
Other non-operating (income) expense, net	(1,439)		9,112
(Loss) Income Before Income Taxes	$	(138,207)	$	39,108

(a)Segment operating (loss) income included severance and other restructuring charges of $2.7 million for the three months ended March 31, 2022, which were allocated to the North America and International segments, and no severance and other restructuring charges were allocated to the segments for the three months ended March 31, 2023.

(b)Corporate and other expense included (i) severance and restructuring charges of $23.9 million and $6.8 million for the three months ended March 31, 2023 and 2022, respectively, (ii) inclined sleeper product recall litigation expense of $4.3 million and $0.6 million for the three months ended March 31, 2023 and 2022, respectively.

Segment assets are comprised of accounts receivable, net and inventories.

	March 31, 2023		March 31, 2022		December 31, 2022
	(In thousands)
Assets by Segment
North America	$	732,004	$	819,929	$	778,897
International	694,469		711,586		756,830
American Girl	61,017		58,040		58,833
	1,487,490		1,589,555		1,594,560
Corporate and other	147,402		241,847		159,725
Accounts receivable, net and inventories	$	1,634,892	$	1,831,402	$	1,754,285

Geographic Information

The table below presents information by geographic area. Net sales are attributed to countries based on location of the customer.

	For the Three Months Ended
	March 31, 2023		March 31, 2022
	(In thousands)
Net Sales by Geographic Area
North America	$	470,486	$	637,459
International
EMEA	209,356		277,742
Latin America	75,531		71,974
Asia Pacific	59,206		54,126
Total International	344,093		403,842
Net sales	$	814,579	$	1,041,301