MATTEL, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
EXHIBIT I
(In millions, except per share and percentage information) Net Sales (a) Cost of sales (a) Gross Profit Advertising and promotion expenses Other selling and administrative expenses Restructuring and other charges Operating Income Interest expense Interest (income) Other non-operating (income), net Income Before Income Taxes Provision for income taxes Net Income EPS - Basic Average Number of Common Shares Outstanding - Basic EPS - Diluted Average Number of Common and Common Equivalent Shares Outstanding - Diluted $ $ $ $
For the Three Months Ended March 31, 2004 2003 $ Amt % Net Sales $ Amt % Net Sales 780.9 429.2 351.7 87.4 251.6 12.7 15.2 (4.9) (10.0) 12.4 3.4 9.0 0.02 428.2 0.02 432.2 $ $ 55.0% 45.0% 11.2% 32.2% 0.0% 1.6% 1.9% -0.6% -1.3% 1.6% 1.2% $ $ 745.3 377.3 368.0 83.8 222.9 8.7 52.6 17.4 (6.4) (3.0) 44.6 11.8 32.8 0.07 438.3 0.07 443.9 50.6% 49.4% 11.3% 29.9% 1.2% 7.0% 2.3% -0.9% -0.4% 6.0% 4.4%
Yr / Yr % Change 5% 14% -4% 4% 13% -100% -76% -13% -23% -72% -73%
(a) Close out sales for the first quarter of 2003, totaling $13.3 million, are classified as a reduction of cost of sales.
MATTEL, INC. AND SUBSIDIARIES WORLDWIDE GROSS SALES INFORMATION (Unaudited) Three Months Ended (In millions, except percentage information) Worldwide Gross Sales (a): Mattel Brands % Change Pos./(Neg.) Impact of Currency (in % pts) Fisher-Price Brands % Change Pos./(Neg.) Impact of Currency (in % pts) American Girl Brands % Change Other Gross Sales % Change Pos./(Neg.) Impact of Currency (in % pts) $ 3/31/2004 $ 532.1 0% 6 264.0 13% 3 54.1 17% 3.3 853.5 5% 5 $ 0.5 812.5 1% 4 46.4 -8% 233.3 3% 3 3/31/2003 $ 532.3 1% 5
EXHIBIT II
Reconciliation of GAAP to Non-GAAP Financial Measure: Gross Sales $ 853.5 Sales Adjustments (72.6) Net Sales (a) % Change Pos./(Neg.) Impact of Currency (in % pts) $ 780.9 5% 5
$ $
812.5 (67.2) 745.3 0% 4
(a) Close out sales for the first quarter of 2003, totaling $13.3 million, are classified as a reduction of cost of sales. Please refer to Mattel's Current Report on Form 8-K dated February 3, 2004, for discussion of annual and quarterly close out sales amounts impacting worldwide gross sales.
MATTEL, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS At March 31, 2004 2003 (Unaudited) (Unaudited) $ 788.0 546.9 402.6 255.6 1,993.1 615.1 1,497.0 4,105.2 $ 768.4 $ 531.0 394.8 236.2 1,930.4 588.4 1,468.1 3,986.9 $
EXHIBIT III
(In millions) Assets Cash and short-term investments Accounts receivable, net Inventories Prepaid expenses and other current assets Total current assets Property, plant and equipment, net Other assets Total Assets Liabilities and Stockholders' Equity Short-term borrowings Current portion of long-term debt Accounts payable and accrued liabilities Income taxes payable Total current liabilities Long-term debt Other long-term liabilities Stockholders' equity Total Liabilities and Stockholders' Equity
At Dec. 31, 2003 1,152.7 543.9 388.7 309.6 2,394.9 625.9 1,490.2 4,511.0
$
$
$
69.7 51.0 725.9 223.3 1,069.9 588.9 238.1 2,208.3 4,105.2
$
17.1 $ 182.1 757.2 172.7 1,129.1 639.9 196.0 2,021.9 3,986.9 $
19.6 52.3 1,142.7 253.2 1,467.8 589.1 237.9 2,216.2 4,511.0
$
$
SUPPLEMENTAL BALANCE SHEET AND CASH FLOW DATA (Unaudited) At March 31, 2003
(In millions, except days and percentage information) Key Balance Sheet Data: Accounts Receivable, Net Days of Sales Outstanding (DSO) Inventories Days of Supply (DOS) Total Debt Outstanding Total Debt-to-Total Capitalization $
2004
63 85 709.6 24.3% $
64 82 839.1 29.3%
(In millions) Preliminary Condensed Cash Flow Data (a): Cash Flows Used For Operating Activities Cash Flows Used For Investing Activities Cash Flows From Financing Activities and Other (Decrease) in Cash and Short-term Investments $ $
Three Months Ended 3/31/2004 3/31/2003 (373) (31) 39 (365) $ $ (481) (32) 14 (499)
(a) Amounts shown are preliminary estimates. Actual amounts will be reported in our Quarterly Report on Form 10-Q for the quarter ended March 31, 2004.