Mattel 1998 Annual Report Download - page 27

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Mattel, Inc. and Subsidiaries 25
Five-Year Financial Summary
For the Year Ended December 31 (a)
(In thousands, except per share and percentage information) 1998 1997 1996 1995 1994
Operating Results:
Net sales $4,781,892 $4,834,616 $4,535,332 $4,369,816 $3,971,226
Gross profit 2,362,993 2,400,000 2,219,758 2,067,740 1,881,060
% of net sales 49% 50% 49% 47% 47%
Operating profit (b) 575,896 515,212 636,982 607,651 449,228
% of net sales 12% 11% 14% 14% 11%
Income before income taxes and extraordinary item 465,063 425,082 536,756 504,668 362,157
Provision for income taxes 132,799 135,288 164,532 166,779 137,487
Income before extraordinary item 332,264 289,794 372,224 337,889 224,670
Extraordinary item - loss on early retirement of debt - (4,610) - - -
Net income 332,264 285,184 372,224 337,889 224,670
Income Per Common Share (c):
Income before extraordinary item
Basic 1.11 0.96 1.26 1.13 0.74
Diluted 1.10 0.94 1.23 1.11 0.73
Net income
Basic 1.11 0.95 1.26 1.13 0.74
Diluted 1.10 0.93 1.23 1.11 0.73
Dividends Declared Per Common Share (c) 0.31 0.27 0.24 0.19 0.15
As o
fY
ear End (a)
(In thousands) 1998 1997 1996 1995 1994
Financial Position:
Cash and marketable securities $ 212,454 $ 694,947 $ 550,271 $ 511,061 $ 290,157
Accounts receivable, net 983,050 1,091,416 948,940 886,344 990,346
Inventories 584,358 428,844 444,178 407,551 405,427
Total assets 4,262,165 3,803,791 3,581,142 3,341,370 3,150,438
Short-term borrowings 134,006 17,468 28,924 76,443 57,531
Long-term liabilities 1,124,756 808,297 633,342 721,739 606,430
Stockholders’ equity 1,820,198 1,822,070 1,805,923 1,551,680 1,385,777
(a) Consolidated financial information for 1994-1997 has been restated retroactively for the effects of the March 1997 merger with Tyco Toys, Inc. (“Tyco”), accounted for as a pooling of
interests.
(b) Represents income from operations before interest expense and provision for income taxes. In 1998, operating profit was reduced by a nonrecurring charge of $38.0 million related
to a voluntary recall of certain Power Wheels®‚ ride-on vehicles and a one-time charge of $6.0 million in connection with the proposed Toys R Us-related antitrust litigation settle-
ment. In 1997, operating profit was reduced by a nonrecurring charge of $275.0 million for transaction, integration and restructuring costs related to the merger with Tyco. In 1996,
operating profit was reduced by a nonrecurring charge of $21.8 million related to the accounting for certain royalties and participation fees in prior periods. In 1995, operating profit
was reduced by a nonrecurring charge of $8.9 million related to a restructuring program implemented to reduce operating expenses at certain of Tyco’s business units. In 1994,
operating profit was reduced by a nonrecurring charge of $76.7 million principally related to the consolidation of manufacturing operations and the reduction of headquarters
expense and support functions worldwide.
(c) Per share data reflect the retroactive effect of stock splits distributed to stockholders in March 1996, January 1995 and January 1994, and the 1997 merger with Tyco.