Mattel 2003 Annual Report Download - page 24

Item 6. Selected Financial Data.
For the Year Ended December 31, (a) (b)
2003 2002 2001 2000 1999
(In thousands, except per share and percentage information)
Operating Results:
Net sales (c) .............................. $4,960,100 $4,885,340 $4,687,924 $4,565,489 $4,502,769
Gross profit .............................. 2,429,483 2,360,987 2,148,934 1,993,242 2,067,240
%ofnet sales ........................... 49.0% 48.3% 45.8% 43.7% 45.9%
Operating income ......................... 785,710 733,541 579,320 370,624 288,294
%ofnet sales ........................... 15.8% 15.0% 12.4% 8.1% 6.4%
Income from continuing operations before
income taxes ........................... 740,854 621,497 430,010 225,424 170,164
Provision for income taxes .................. 203,222 166,455 119,090 55,247 61,777
Income from continuing operations ........... 537,632 455,042 310,920 170,177 108,387
Gain (loss) from discontinued operations, net of
tax (a) ................................. — 27,253 — (601,146) (190,760)
Cumulative effect of change in accounting
principles, net of tax ..................... — (252,194) (12,001) — —
Net income (loss) ......................... 537,632 230,101 298,919 (430,969) (82,373)
Income (Loss) Per Common Share (d):
Income (loss) per common share—Basic .......
Income from continuing operations ......... $ 1.23 $ 1.04 $ 0.72 $ 0.40 $ 0.25
Gain (loss) from discontinued operations (a) . . — 0.06 — (1.41) (0.46)
Cumulative effect of change in accounting
principles ............................ — (0.58) (0.03) — —
Net income (loss) ....................... 1.23 0.52 0.69 (1.01) (0.21)
Income (loss) per common share—Diluted .....
Income from continuing operations ......... 1.22 1.03 0.71 0.40 0.25
Gain (loss) from discontinued operations (a) . . — 0.06 — (1.41) (0.45)
Cumulative effect of change in accounting
principles ............................ — (0.57) (0.03) — —
Net income (loss) ....................... 1.22 0.52 0.68 (1.01) (0.20)
Dividends Declared Per Common Share ...... $ 0.40 $ 0.05 $ 0.05 $ 0.27 $ 0.35
As of Year End (a) (b)
2003 2002 2001 2000 1999
(In thousands)
Financial Position:
Total assets .......................... $4,510,950 $4,459,659 $4,509,817 $4,268,279 $4,631,599
Long-term liabilities ................... 826,983 832,194 1,205,122 1,407,892 1,145,856
Stockholders’ equity ................... 2,216,221 1,978,712 1,738,458 1,403,098 1,962,687
(a) Financial data for 1999 reflect the retroactive effect of the merger, accounted for as a pooling of interests,
with The Learning Company, Inc. (“Learning Company”) in May 1999. As more fully described in Note 14
to the consolidated financial statements, the Consumer Software segment, which was comprised primarily of
Learning Company, was reported as a discontinued operation effective March 31, 2000, and the
consolidated financial statements were reclassified to segregate the net investment in, and the liabilities and
operating results of, the Consumer Software segment.
(b) Certain financial information for prior years has been reclassified to conform to the current year’s
presentation.
(c) As discussed in Note 1 to the consolidated financial statements, effective October 1, 2003, close out sales
previously classified as a reduction of cost of sales are now classified as net sales in Mattel’s consolidated
statements of operations. Close out sales for the fourth quarter of 2003, totaling $19.2 million, are included
in reported net sales. This change in classification has no impact on gross profit, operating income, net
income (loss), income (loss) per common share, balance sheets or cash flows. The following table provides
the quantification of close out sales by year (in thousands):
For the Year Ended
2003 2002 2001 2000 1999
$57,328 $112,673 $163,388 $98,378 $95,742
(d) Per share data reflect the retroactive effect of the merger with Learning Company in 1999.
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