(By Balachander) Toy maker Mattel Inc. (NASDAQ:MAT
) reported a rise in quarterly earnings due to jump in gross margins and sales growth.
Earnings per share increased to $1.04 cents from $0.86 cents, topping market expectations of 99 cents for the quarter ended September.
The El Segundo, California-based company's net sales rose 4 percent to $2.08 billion, coming in better than analysts expectations of a 3.8 percent increase.
Gross profit as percentage of sales improved 590 points to 53.7 percent from 47.8 percent.
Gross sales rose 6 percent in the North American region, while International gross sales gained 2 percent.
Brandwise, gross sales for the Barbie declined 4 percent while Hot Wheels brands were flat. Sales of Fisher-Price rose 6 percent and American Girl jumped 16 percent.
The company declared a fourth quarter cash dividend of $0.31 per share, payable on Dec.14, 2012 to stockholders of record on Nov. 28.
MAT shares ended Monday's regular trading session at $35.42. The stock has been trading in the 52-week range between $26.28 and $36.25.