Mattel : 2024-Q1 Presentation

First Quarter 2024 Earnings

(Unaudited Results)

April 23, 2024

Cautionary Note Regarding Forward-Looking Statements / Presentation Information

Mattel cautions the viewer that this presentation contains a number of forward-looking statements, which are statements that relate to the future and are, by their nature, uncertain. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts and include statements regarding Mattel's guidance and goals for future periods and other future events. The use of words such as "anticipates," "expects," "intends," "plans," "projects," "look forward," "confident that," "believes," and "targeted," among others, generally identify forward-looking statements. These forward-looking statements are based on currently available operating, financial, economic, and other information and assumptions, and are subject to a number of significant risks and uncertainties. A variety of factors, many of which are beyond Mattel's control, could cause actual future results to differ materially from those projected in the forward-looking statements. Specific factors that might cause such a difference include, but are not limited to: (i) Mattel's ability to design, develop, produce, manufacture, source, ship, and distribute products on a timely and cost-effective basis; (ii) sufficient interest in and demand for the products and entertainment Mattel offers by retail customers and consumers to profitably recover Mattel's costs; (iii) downturns in economic conditions affecting Mattel's markets which can negatively impact retail customers and consumers, and which can result in lower employment levels and lower consumer disposable income and spending, including lower spending on purchases of Mattel's products; (iv) other factors which can lower discretionary consumer spending, such as higher costs for fuel and food, drops in the value of homes or other consumer assets, and high levels of consumer debt;

1. potential difficulties or delays Mattel may experience in implementing cost savings and efficiency enhancing initiatives; (vi) other economic and public health conditions or regulatory changes in the markets in which Mattel and its customers and suppliers operate, which could create delays or increase Mattel's costs, such as higher commodity prices, labor costs or transportation costs, or outbreaks of disease; (vii) the effect of inflation on Mattel's business, including cost inflation in supply chain inputs and increased labor costs, as well as pricing actions taken in an effort to mitigate the effects of inflation; (viii) currency fluctuations, including movements in foreign exchange rates, which can lower Mattel's net revenues and earnings, and significantly impact Mattel's costs; (ix) the concentration of Mattel's customers, potentially increasing the negative impact to Mattel of difficulties experienced by any of Mattel's customers, such as bankruptcies or liquidations or a general lack of success, or changes in their purchasing or selling patterns; (x) the inventory policies of Mattel's retail customers, as well as the concentration of Mattel's revenues in the second half of the year, which coupled with reliance by retailers on quick response inventory management techniques increases the risk of underproduction, overproduction, and shipping delays; (xi) legal, reputational, and financial risks related to security breaches or cyberattacks; (xii) work disruptions, including as a result of supply chain disruption such as plant or port closures, which may impact Mattel's ability to manufacture or deliver product in a timely and cost-effective manner; (xiii) the impact of competition on revenues, margins, and other aspects of Mattel's business, including the ability to offer products that consumers choose to buy instead of competitive products, the ability to secure, maintain, and renew popular licenses from licensors of entertainment properties, and the ability to attract and retain talented employees and adapt to evolving workplace models; (xiv) the risk of product recalls or product liability suits and costs associated with product safety regulations; (xv) changes in laws or regulations in the United States and/or in other major markets, such as China, in which Mattel operates, including, without limitation, with respect to taxes, tariffs, trade policies, product safety, or sustainability, which may increase Mattel's product costs and other costs of doing business, and reduce Mattel's earnings and liquidity; (xvi) business disruptions or other unforeseen impacts due to economic instability, political instability, civil unrest, armed hostilities (including the impact of the war in Ukraine and geopolitical developments in the Middle East), natural and manmade disasters, pandemics or other public health crises, or other catastrophic events; (xvii) failure to realize the planned benefits from any investments or acquisitions made by Mattel; (xviii) the impact of other market conditions or third party actions or approvals, including those that result in any significant failure, inadequacy, or interruption from vendors or outsourcers, which could reduce demand for Mattel's products, delay or increase the cost of implementation of Mattel's programs, or alter Mattel's actions and reduce actual results; (xix) changes in financing markets or the inability of Mattel to obtain financing on attractive terms; (xx) the impact of litigation, arbitration, or regulatory decisions or settlement actions; (xxi) Mattel's ability to navigate regulatory frameworks in connection with new areas of investment, product development, or other business activities, such as artificial intelligence, non-fungible tokens, and cryptocurrency; (xxii) an inability to remediate the material weakness in Mattel's internal control over financial reporting, or additional material weaknesses or other deficiencies in the future or the failure to maintain an effective system of internal control; and (xxiii) other risks and uncertainties as may be described in Mattel's filings with the Securities and Exchange Commission, including the "Risk Factors" section of Mattel's Annual Report on Form 10-K for the fiscal year ended December 31, 2023 and subsequent periodic filings, as well as in Mattel's other public statements. Mattel does not update forward-looking statements and expressly disclaims any obligation to do so, except as required by law.

The financial results included herein represent the most current information available to management and are preliminary until Mattel's Form 10-Q is filed with the SEC. Actual results may differ from these preliminary results.

To supplement our financial results presented in accordance with generally accepted accounting principles in the United States ("GAAP"), Mattel presents certain non-GAAP financial measures within the meaning of Regulation G promulgated by the Securities and Exchange Commission. The non-GAAP financial measures that Mattel uses in this presentation may include Adjusted Gross Profit, Adjusted Gross Margin, Adjusted Other Selling and Administrative Expenses, Adjusted Operating Income (Loss), Adjusted Operating Income (Loss) Margin, Adjusted Earnings (Loss) Per Share, earnings before interest expense, taxes, depreciation and amortization ("EBITDA"), Adjusted EBITDA, Free Cash Flow, Free Cash Flow Conversion (Free Cash Flow/Adjusted EBITDA), Leverage Ratio (Total Debt/Adjusted EBITDA), Net Debt, Adjusted Tax Rate, and constant currency. Mattel uses these measures to analyze its continuing operations and to monitor, assess and identify meaningful trends in its operating and financial performance, and each is discussed below. Mattel believes that the disclosure of non-GAAP financial measures provides useful supplemental information to investors to be able to better evaluate ongoing business performance and certain components of Mattel's results. These measures are not, and should not be viewed as, substitutes for GAAP financial measures and may not be comparable to similarly-titled measures used by other companies. Reconciliations of the non-GAAP financial measures to the most directly comparable GAAP financial measures are attached to this presentation as an appendix. In addition, Mattel presents changes in gross billings, a key performance indicator, as a metric for comparing its aggregate, categorical, brand, and geographic results to highlight significant trends in Mattel's business. Changes in gross billings are discussed because, while Mattel records the details of sales adjustments in its financial accounting systems at the time of sale, such sales adjustments are generally not associated with categories, brands, and individual products.

For comparability, point-of-sale ("POS") and consumer demand data exclude the impact related to Mattel's Russia business, due to Mattel's decision to pause all shipments into Russia in 2022.

©2024 Mattel, Inc. All Rights Reserved.

2

Mattel, Inc.

Who We Are

Mattel is a leading global toy and family entertainment company and owner of one of the most iconic brand portfolios in the world. We engage consumers and fans through our franchise brands, including Barbie, Hot Wheels, Fisher-Price, American Girl, Thomas & Friends, UNO, Masters of the Universe, Matchbox, Monster High, MEGA, and Polly Pocket, as well as other popular properties that we own or license in partnership with global entertainment companies. Our offerings include toys, content, consumer products, and digital and live experiences. Our products are sold in collaboration with the world's leading retail and e-commerce companies. Since its founding in 1945, Mattel is proud to be a trusted partner in empowering generations to explore the wonder of childhood and reach their full potential. Visit us at mattel.com.

Our Purpose

We empower generations to explore the wonder of childhood and reach their full potential.

Our Mission

We create innovative products and experiences that inspire fans, entertain audiences, and develop children through play.

©2024 Mattel, Inc. All Rights Reserved.

Chairman and CEO Perspective

Significant Gross Margin expansion, positive Adjusted EBITDA1, and very strong improvement in Free Cash Flow1

Net Sales declined 1% as reported and in constant currency1 Adjusted Gross Margin1 increased 830 basis points to 48.3%

Adjusted EBITDA improved $67 million, from a negative $14 million to a positive $54 million Free Cash Flow improved $254 million

Gross Billings1 increased in North America, Latin America, and Asia Pacific, with a decline in EMEA

POS2 increased low single-digits, with improving trends through the quarter, and growth in Dolls, Vehicles, Games, and Building Sets

Mattel maintained share globally, and gained share in its three leader categories - Dolls, Vehicles, and Infant, Toddler, and Preschool, as well as in Games3

Cash balance of $1.1 billion, after repurchasing $100 million of shares in the quarter

On track to achieve full year guidance

1. Please see Appendix - Reconciliation of Non-GAAP Financial Measures and Glossary of Non-GAAP Financial Measures & Key Performance Indicator
2. POS: Mattel internal analysis, at wholesale; excludes American Girl
3. Source: Circana/Retail Tracking Service/G9/JAN-MAR 2024 US,BR Weekly + AU,EU5,MX Monthly/Total Toys and Dolls, Vehicles, Infant Toddler & Preschool, and Games & Puzzles Supercategories/Projected USD

©2024 Mattel, Inc. All Rights Reserved.

4

Mattel's Strategy

Grow IP-Driven Toy Business and Expand Entertainment Offering

Our mission is to create innovative products and experiences that inspire fans, entertain audiences, and develop children through play

©2024 Mattel, Inc. All Rights Reserved.

5

Mattel's Strategy - Grow IP-driven Toy Business

Recent progress in the toy business

Barbie was #1 Doll property globally and continued to gain share1; 65th anniversary celebrations begun; Mini BarbieLand launched

Hot Wheels led the Vehicles category1, with further expansion of its die-cast line and innovative offerings for Racerverse, RC, and Skate

Fisher-Price is launching its new Wood segment next month and this week we welcomed a new head of Fisher-Price, based at our East Aurora, NY campus

Games performance was strong and Uno was once again the #1 card game property1

Mattel Creations, our rapidly growing DTC channel serving adult collectors, hosted Mattel Creations Revealed, a two-day virtual fan event with multiple same-day sellouts

Executing our strategy to grow Mattel's IP-driven toy business

and expand our entertainment offering

1. Source: Circana/Retail Tracking Service/G9/JAN-MAR 2024 US,BR Weekly + AU,EU5,MX Monthly/Dolls, Vehicles, Infant Toddler & Preschool Supercategories, Card Games Class/Projected USD

©2024 Mattel, Inc. All Rights Reserved.

6

Mattel's Strategy - Expand Entertainment Offering

Recent progress outside the toy aisle

Successful award season for the Barbie movie, highlighted by Grammy, Golden Globe, and Oscar wins

We continue to make meaningful progress advancing our theatrical slate of 15 announced films in development, with more news to share soon

Barbie & Stacie to the Rescue, an animated movie, launched globally on Netflix; Season 2 of Barbie: A Touch of Magic premiered last week

Hot Wheel's Let's Race debuted on Netflix and became a top 10 program in 69 countries

New licensing partnership with Take-Two Interactive to publish a new Barbie mobile game, with release planned later this year

Second Mattel Adventure Park through our licensing partnership with Epic Resort Destinations scheduled to open in Kansas City in 2026

Executing our strategy to grow Mattel's IP-driven toy business

and expand our entertainment offering

©2024 Mattel, Inc. All Rights Reserved.

7

Q1 2024 Earnings

©2024 Mattel, Inc. All Rights Reserved.

8

P&L Highlights

Achieved strong bottom-line results in the quarter

(in millions,

except EPS, percentages, and bps)

Net Sales

Constant Currency1

Adjusted Gross Margin1

Adjusted Operating Loss1

Adjusted EPS1

Adjusted EBITDA1

	Q1 2024	YOY
	Change
	$810	-1%
		-1%
	48.3%	+830 bps
	($23)	+$63
	($0.05)	+$0.19
	$54	+$67

On track to meet full year sales and earnings guidance

1. Please see Appendix - Reconciliation of Non-GAAP Financial Measures and Glossary of Non-GAAP Financial Measures & Key Performance Indicator

©2024 Mattel, Inc. All Rights Reserved.

9

Q1 2024 Gross Billings by Category1

Gross Billings declined 2%

Dolls

Vehicles

Infant, Toddler, and Preschool

Action Figures,

Building Sets,

Games and Other

Worldwide Gross Billings

(as reported; $ in millions)

295

298

135

172

YOY Growth Rate (%)

As Constant

Reported Currency1

-4%-5%

5% 4%

-10%-11%

0% 0%

Total

-1%	-2%

POS2 increased low-single digits with improving trends through the quarter

1. Amounts may not add due to rounding. In constant currency, unless otherwise stated. Please see Appendix - Reconciliation of Non-GAAP Financial Measures and Glossary of Non-GAAP Financial Measures & Key Performance Indicator.
2. POS: Mattel internal analysis, at wholesale; excludes American Girl

©2024 Mattel, Inc. All Rights Reserved.

10