YK and his crew did a good job of spinning the numbers, but let's be clear: there was no topline growth. The "growth" CNBC refers to is operating income, and the growth there is driven by aggressive cost cutting. Improved OI is definitely a good thing, but it's not the same as revenue growth. In fact, overall Mattel's revenue was down 8%, and every brand (except Barbie) was down year-over-year. This is against a very bad Q3 2017(TRU). Accordingly, the company's stock temporarily surged in after-hours trading, but is down significantly following the Q3 earnings report.
This is so TRUE. I think the biggest concerns are 1) $388M to go in Q4 to meet $500M cost savings in 2018.. Q3 crazy layoffs & NY office, Mexico plant shutdown was ~$119M cost saving. what will happen in Q4 2) Low cash - how long are we able to pay the bills including 6.7% interest on the $1~2.85 billion debt.