Spin Master (TSE:TOY) Posts Quarterly Earnings Results

Spin Master (TSE:TOY) announced its quarterly earnings results on Thursday. The company reported C$1.47 earnings per share (EPS) for the quarter, FiscalAI reports. The business had revenue of C$1.04 billion during the quarter. Spin Master had a negative return on equity of 6.74% and a negative net margin of 4.01%.

Here are the key takeaways from Spin Master’s conference call:

• Spin Master reiterated its 2026 guidance for stable to low-single-digit revenue growth and mid- to high-single-digit adjusted EBITDA growth, supported by year-to-date adjusted EBITDA growth of 7%.
• Core brands continued to perform well, including PAW Patrol revenue growth of 26%, Melissa & Doug growth of 10%, and Toca Boca World growth of 13%; Piknik revenue increased 6%.
• Operating cash flow rose $40 million in the quarter and more than doubled year to date, enabling continued investment, debt repayment, dividends, and share repurchases while net leverage declined to approximately 0.8 turns.
• Management expects approximately $25 million of movie-related revenue and EBITDA from PAW Patrol: The Dino Movie to be nonrecurring in 2027, while toy and digital-game margins declined and operating income was pressured by higher amortization and non-cash impairments.
• The company continues to face uncertainty around holiday replenishment timing, tariffs, and commodity costs; management cited an approximately $30 million tariff headwind in 2026 and said roughly half of annual point-of-sale activity remains concentrated in the fourth quarter.

Spin Master Stock Down 2.4%

Shares of TSE TOY opened at C$20.44 on Friday. The stock has a market cap of C$2.03 billion, a PE ratio of -26.21, a PEG ratio of 0.57 and a beta of 0.66. The business has a fifty day moving average of C$20.35 and a two-hundred day moving average of C$19.69. Spin Master has a 52-week low of C$17.13 and a 52-week high of C$24.13. The company has a debt-to-equity ratio of 30.48, a quick ratio of 2.06 and a current ratio of 1.09.

Spin Master Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, October 9th. Shareholders of record on Friday, October 9th were issued a dividend of $0.12 per share. The ex-dividend date of this dividend was Friday, September 25th. This represents a $0.48 dividend on an annualized basis and a dividend yield of 2.3%. Spin Master’s dividend payout ratio (DPR) is presently -44.16%.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on TOY. Canaccord Genuity Group dropped their target price on shares of Spin Master from C$23.00 to C$21.00 and set a “hold” rating on the stock in a research report on Friday. Stifel Nicolaus upped their target price on shares of Spin Master from C$21.00 to C$21.50 and gave the company a “hold” rating in a research note on Friday. Finally, TD upped their target price on shares of Spin Master from C$26.00 to C$27.00 and gave the company a “buy” rating in a research note on Friday, July 3rd. Six research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat, Spin Master presently has a consensus rating of “Moderate Buy” and an average target price of C$26.19.

Trending Headlines about Spin Master

Here are the key news stories impacting Spin Master this week:

• Positive Sentiment: Core brands provided support. PAW Patrol helped drive third-quarter performance, while Spin Master said its core brands continued to gain ground. PAW Patrol Powers Spin Master Q3 as Core Brands Gain Ground
• Positive Sentiment: Management reiterated its 2026 full-year outlook. Maintaining guidance may reassure investors that the quarterly softness is not expected to derail the company’s annual targets. Spin Master Reports Q3 2026 Financial Results and Reiterates 2026 Full Year Outlook
• Neutral Sentiment: Analyst views remain cautious but imply limited upside. Canaccord Genuity lowered its price target to C$21.00 from C$23.00 and maintained a “hold” rating, while Stifel raised its target to C$21.50 from C$21.00 and also kept a “hold” rating. The mixed revisions suggest limited near-term conviction.
• Neutral Sentiment: Spin Master appointed Kate Rouch to its board of directors. The leadership addition may strengthen the board’s expertise, but it is not expected to materially change near-term earnings. Spin Master Announces Appointment of Kate Rouch to Board of Directors
• Negative Sentiment: Third-quarter revenue and adjusted net income declined year over year. Spin Master reported C$1.04 billion in revenue and C$1.47 in quarterly EPS, while coverage highlighted lower adjusted net income and slipping revenue. The company also reported a negative net margin, increasing concerns about profitability. Spin Master Posts Lower Q3 Adjusted Net Income YoY
• Negative Sentiment: Tariffs and higher costs could pressure holiday-season margins. Spin Master plans to keep toy prices steady despite rising costs, potentially limiting its ability to pass inflation and tariff expenses on to consumers. Spin Master Holds Toy Prices Steady Ahead of Holidays Despite Tariffs and Rising Costs

About Spin Master

Spin Master Corp. (TSX:TOY) is a leading global children’s entertainment company, creating exceptional play experiences across its three creative centres: Toys, Entertainment and Digital Games. With worldwide toy distribution, Spin Master is best known for award-winning brands including PAW Patrol ®, Melissa & Doug ®, Bakugan ® and Rubik’s ® Cube, and is the global toy licensee for other iconic properties. Through its in-house entertainment studio, the company creates and produces captivating multiplatform content including powerhouse preschool franchise PAW Patrol, along with other original shows, short-form series and feature films.