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Third Quarter 2026 Earnings Presentation October 22, 2026 5:00 PM Eastern / 2:00 PM Pacific 3Q26 Registration link 3Q26 Webcast link 1
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STEPHEN BERMAN Chairman & Chief Executive Officer JOHN KIMBLE Executive Vice President & Chief Financial Officer EXECUTIVE TEAM ON THE CALL 2
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The Company would like to point out that any comments made about JAKKS Pacific's future performance, events or circumstances, including the estimates of sales and/or Adjusted EBITDA in 2026, as well as any other forward-looking statements concerning 2026 and beyond are subject to Safe Harbor protection under Federal securities laws. These statements reflect the Company's best judgment based on current market trends and conditions today, and are subject to certain risks and uncertainties, which could cause actual results to differ materially from those projected in forward-looking statements. For details concerning these and other such risks and uncertainties, you should consult JAKKS' most recent 10-K and 10-Q filings with the SEC, as well as the Company's other reports, subsequently filed with the SEC from time to time. As a reminder, this conference is being recorded. Note: The following presentation includes unaudited information SAFE HARBOR STATEMENT 3
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• Q3 Net sales were $254.2 million, a year-over-year increase of 20% • Gross margin of 32.1%, up 10 basis points vs. Q3 2025 • Gross profit of $81.5 million, up 20% compared to $67.6 million in Q3 2025 • Operating income of $37.4 million in Q3 2026, compared to $29.4 million in Q3 2025 • Adjusted net income attributable to common stockholders (a non-GAAP measure) of $32.3 million or $2.68 per diluted share, compared to adjusted net income attributable to common stockholders of $20.6 million or $1.80 per diluted share in Q3 2025 • Adjusted EBITDA (a non-GAAP measure) of $44.4 million vs. $36.5 million in Q3 2025 • Trailing-twelve-month Adjusted EBITDA of $45.7 million, up from 37.8 million as of Q2 2026 4
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$ Millions YoY % Change: (4)% 2026 Third Quarter Net Sales 4% (34)% 20% 5 $323.0 $309.7 $321.6 $211.2 $254.2 $0 $50 $100 $150 $200 $250 $300 $350 2022 2023 2024 2025 2026
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2026 Third Quarter Toys/Consumer Products Net Sales $ Millions 6 YoY % Change: (9)% 7% (41)% 23% $269.6 $246.0 $264.3 $156.1 $192.0 $0 $50 $100 $150 $200 $250 $300 2022 2023 2024 2025 2026
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2026 Third Quarter Toys/Consumer Products Net Sales $ Millions 7 6%(10)% (45)% 32% YoY % Change 12%(4)% (24)% (1)% YoY % Change $219.1 $197.8 $210.5 $115.1 $151.5 $0 $50 $100 $150 $200 $250 2022 2023 2024 2025 2026 NA TOY/CP $50.5 $48.2 $53.8 $40.9 $40.4 $0 $25 $50 $75 2022 2023 2024 2025 2026 INTL TOY/CP
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2026 Third Quarter Costumes Net Sales $ Millions 8 YoY % Change: 19% (10)% (4)% 13% $53.4 $63.7 $57.3 $55.1 $62.3 $0 $25 $50 $75 2022 2023 2024 2025 2026
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2026 Third Quarter Gross Margin % 9 YoY % Change: 600 bps (70) bps (180) bps 10 bps 28.5% 34.5% 33.8% 32.0% 32.1% 20.0% 25.0% 30.0% 35.0% 2022 2023 2024 2025 2026
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2026 Third Quarter Adj. EBITDA and Adj. Net Income 18.4% 23.1% Adj. EBITDA Margin % $ Millions Adj. Net Income Margin % 10 21.7% 17.3% 17.5% 12.1% 16.8%16.2% 9.7% 12.7% $59.4 $67.1 $74.4 $36.5 $44.4 $0 $20 $40 $60 $80 2022 2023 2024 2025 2026 Q3 ADJ EBITDA $39.0 $50.1 $54.0 $20.6 $32.3 $0 $20 $40 $60 $80 2022 2023 2024 2025 2026 Q3 ADJ NET INCOME
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Third Quarter Inventory - 2026 vs 2025 (Worldwide) $ Millions 11 $62.5 $52.2 $9.0 $11.6 $0 $25 $50 $75 $100 2025 2026 In-Transit Inventory less In-Transit (11)%$71.5M $63.8M
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$ Millions YoY % Change: (12)% 2026 First Nine Months Net Sales (4)% (21)% 13% 12 $664.3 $584.2 $560.3 $443.6 $500.1 $0 $100 $200 $300 $400 $500 $600 $700 2022 2023 2024 2025 2026
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2026 First Nine Months Toys/Consumer Products Net Sales $ Millions 13 YoY % Change: (13)% (2)% (24)% 13% $529.6 $461.8 $451.8 $343.9 $389.6 $0 $100 $200 $300 $400 $500 $600 2022 2023 2024 2025 2026
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2026 First Nine Months Toys/Consumer Products Net Sales $ Millions 14 (1)%(16)% (28)% 14% YoY % Change (8)%2% (5)% 12% YoY % Change $440.9 $371.6 $368.8 $265.1 $301.6 $0 $100 $200 $300 $400 $500 2022 2023 2024 2025 2026 NA TOY/CP $88.7 $90.2 $82.9 $78.7 $88.0 $0 $25 $50 $75 $100 2022 2023 2024 2025 2026 INTL TOY/CP
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2026 First Nine Months Costumes Net Sales $ Millions 15 YoY % Change: (9)% (11)% (8)% 11% $134.7 $122.3 $108.5 $99.7 $110.6 $0 $25 $50 $75 $100 $125 $150 2022 2023 2024 2025 2026
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2026 First Nine Months Gross Margin % 16 YoY % Change: 500 bps (80) bps 110 bps (40) bps 27.5% 32.5% 31.7% 32.8% 32.4% 20.0% 25.0% 30.0% 35.0% 2022 2023 2024 2025 2026
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2026 First Nine Months Adj. EBITDA and Adj. Net Income Adj. EBITDA Margin % $ Millions Adj. Net Income Margin % 17 13.3% 12.4%14.8% 8.8% 9.9% 8.7% 8.9%10.2% 4.6% 6.7% $88.5 $86.6 $69.4 $39.2 $49.5 $0 $20 $40 $60 $80 $100 2022 2023 2024 2025 2026 9MO ADJ EBITDA $57.5 $59.4 $50.0 $20.6 $33.3 $0 $20 $40 $60 $80 $100 2022 2023 2024 2025 2026 9MO ADJ NET INCOME
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International Net Sales Evolution (Trailing Twelve Month) 18 Net Sales ($ Million) $0 $20 $40 $60 $80 $100 $120 $140 $160 2020 Q1 2020 Q2 2020 Q3 2020 Q4 2021 Q1 2021 Q2 2021 Q3 2021 Q4 2022 Q1 2022 Q2 2022 Q3 2022 Q4 2023 Q1 2023 Q2 2023 Q3 2023 Q4 2024 Q1 2024 Q2 2024 Q3 2024 Q4 2025 Q1 2025 Q2 2025 Q3 2025 Q4 2026 Q1 2026 Q2 2026 Q3 ASIA PACIFC LATIN AMERICA EUROPE, MIDDLE EAST & AFRICA $99M $136M Europe, Middle East, Africa Latin America Asia-Pacific
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Q3 evergreen rebounding 19 Note: Content-led sales represent those products branded to support a theatrical, television, streaming film/TV or video game release and reported in either the company’s Action Play or Dolls, Dress-up, Role Play divisions. Net Sales ($ Million) 17 12 9 9 7 10 6 4 4 4 13 13 19 11 10 10 10 8 13 10 10 7 6 7 72 49 44 39 42 53 64 57 55 62 14 9 13 9 62 56 59 62 51 86 76 88 56 69 157 174 177 117 153 69 85 69 64 31 30 15 36 42 53 36 12 20 25 99 59 69 29 29 38 23 41 41 $121 $107 $90 $113 $107 $220 $167 $149 $119 $139 $323 $310 $322 $211 $254 $132 $127 $131 $127 2022 2023 2024 2025 2026 2022 2023 2024 2025 2026 2022 2023 2024 2025 2026 2022 2023 2024 2025 2026 Q1 Q2 Q3 Q4
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Top Entertainment Properties Shipping Impact and (Release Date) 20 Note: Properties are listed in order of chronological product release. 2022 2023 2024 2025 2026 Disney Encanto (Fall 2021) The Super Mario Bros. Movie (Spring 2023) The Simpsons The Simpsons DC x Sonic the Hedgehog (Comic Series) (Spring 2025) Sonic the Hedgehog 2 (Spring 2022) Disney The Little Mermaid (Live Action) (Spring 2023) Disney Moana 2 (Fall 2024) Disney Moana 2 (Fall 2024) The Super Mario Galaxy Movie (Spring 2026) Disney Wish (Fall 2023) Sonic the Hedgehog 3 (Fall 2024) Sonic the Hedgehog 3 (Fall 2024) Sonic the Hedgehog 4 (Spring 2027) Dog Man (Spring 2025) DC x Sonic the Hedgehog (Comic Series) (Spring 2025) The Super Mario Galaxy Movie (Spring 2026)
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25 www.dollhaushq.com
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26 2026 2025 Δ (%) 2026 2025 Δ (%) Net sales 254,222$ 211,210$ 20 % 500,136$ 443,557$ 13 % Less: Cost of sales Cost of goods 127,611 104,846 22 248,571 218,256 14 Royalty expense 41,287 34,099 21 81,272 71,776 13 Amortization of tools and molds 3,824 4,622 (17) 8,226 7,846 5 Cost of sales 172,722 143,567 20 338,069 297,878 13 Gross profit 81,500 67,643 20 162,067 145,679 11 Direct selling expenses 7,561 5,933 27 24,225 21,339 14 General and administrative expenses 36,388 32,200 13 105,694 101,135 5 Depreciation and amortization 178 147 21 491 382 29 Selling, general and administrative expe 44,127 38,280 15 130,410 122,856 6 Income from operations 37,373 29,363 27 31,657 22,823 39 Other income (expense): Other income (expense), net 48 388 (88) 7,049 418 nm Loss on debt extinguishment - (1) nm - (418) nm Interest income 261 75 248 1,529 832 84 Interest expense (60) (102) (41) (175) (402) (56) Income before provision for income taxes 37,622 29,723 27 40,060 23,253 72 Provision for income taxes 7,723 9,831 (21) 8,578 8,062 6 Net income 29,899 19,892 50 31,482 15,191 107 Earnings per share - basic 2.61$ 1.78$ 2.75$ 1.36$ Shares used in earnings per share - basi 11,450 11,185 11,446 11,159 Earnings per share - diluted 2.48$ 1.74$ 2.65$ 1.32$ Shares used in earnings per share - dilu 12,051 11,423 11,869 11,487 2026 2025 Δ bps 2026 2025 Δ bps Fav/(Unfav) Fav/(Unfav) Net sales 100.0 % 100.0 % - 100.0 % 100.0 % - Less: Cost of sales Cost of goods 50.2 49.6 (60) 49.7 49.2 (50) Royalty expense 16.2 16.2 0 16.3 16.2 (10) Amortization of tools and molds 1.5 2.2 70.0 1.6 1.8 20 Cost of sales 67.9 68.0 10 67.6 67.2 (40) Gross profit 32.1 32.0 10 32.4 32.8 (40) Direct selling expenses 3.0 2.8 (20) 4.9 4.8 (10) General and administrative expenses 14.3 15.2 90 21.1 22.8 170 Depreciation and amortization 0.1 0.1 - 0.1 0.1 - Selling, general and administrative expe 17.4 18.1 70 26.1 27.7 160 Income from operations 14.7 13.9 80 6.3 5.1 120 Other income (expense): Other income (expense), net - 0.2 1.4 0.1 Loss on debt extinguishment - - - (0.1) Interest income 0.1 - 0.3 0.2 Interest expense - - - (0.1) Income before provision for income taxes 14.8 14.1 8.0 5.2 Provision for income taxes 3.0 4.7 1.7 1.8 Net income 11.8 % 9.4 % 6.3 % 3.4 % JAKKS Pacific, Inc. and Subsidiaries Condensed Consolidated Statements of Operations (Unaudited) Three Months Ended September 30, Nine Months Ended September 30, (In thousands, except per share data) (In thousands, except per share data) Nine Months Ended September 30,Three Months Ended September 30,
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27 2026 2025 Δ ($) 2026 2025 Δ ($) EBITDA and Adjusted EBITDA Net income 29,899$ 19,892$ 10,007$ 31,482$ 15,191$ 16,291$ Interest expense 60 102 (42) 175 402 (227) Interest income (261) (75) (186) (1,529) (832) (697) Provision for income taxes 7,723 9,831 (2,108) 8,578 8,062 516 Depreciation and amortization 4,002 4,769 (767) 8,717 8,228 489 EBITDA 41,423 34,519 6,904 47,423 31,051 16,372 Adjustments: Loss from joint ventures (JAKKS Pacific, Inc. - 51%) - - - - - - Loss from joint ventures (Meisheng - 49%) - - - - - - Other (income) expense, net (48) (388) 340 (7,049) (418) (6,631) Restricted stock compensation expense 3,043 2,392 651 9,122 8,132 990 Change in fair value of preferred stock derivative liabilit - - - - - - Employee Retention Credit/gov't employment support - - - - - - Molds and tooling capitalization - - - - - - Loss on debt extinguishment - 1 (1) - 418 (418) Adjusted EBITDA 44,418$ 36,524$ 7,894$ 49,496$ 39,183$ 10,313$ Adjusted EBITDA/Net sales % 17.5 % 17.3 % 20 bps 9.9 % 8.8 % 110 bps 2026 2025 Δ ($) TTM EBITDA and TTM Adjusted EBITDA TTM net income 26,162$ 6,078$ 20,084$ Interest expense 244 559 (315) Interest income (1,692) (1,140) (552) Provision for income taxes 5,410 2,616 2,794 Depreciation and amortization 10,722 10,537 185 TTM EBITDA 40,846 18,650 22,196 Adjustments: Other (income) expense, net (7,081) (426) (6,655) Restricted stock compensation expense 11,903 10,387 1,516 Loss on debt extinguishment 9 418 (409) TTM Adjusted EBITDA 45,677$ 29,029$ 16,648$ 57 % TTM Adjusted EBITDA/TTM Net sales % 7.3 % 5.1 % 220 bps (In thousands) JAKKS Pacific, Inc. and Subsidiaries Reconciliation of Non-GAAP Financial Information (Unaudited) (In thousands) Three Months Ended September 30, Nine Months Ended September 30, Trailing Twelve Months Ended September 30, (In thousands)
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28 2026 2025 Δ ($) 2026 2025 Δ ($) Adjusted net income Net income 29,899$ 19,892$ 10,007$ 31,482$ 15,191$ 16,291$ Restricted stock compensation expense 3,043 2,392 651 9,122 8,132 990 Loss on debt extinguishment - 1 (1) - 418 (418) Refunded tariff expenditure (29) - (29) (6,801) - (6,801) Tax impact of additional charges (619) (1,733) 1,114 (477) (3,153) 2,676 Adjusted net income 32,294$ 20,552$ 11,742$ 33,326$ 20,588$ 12,738$ Adjusted earnings per share - basic 2.82$ 1.84$ 0.98$ 2.91$ 1.84$ 1.07$ Shares used in adjusted earnings per share - basic 11,450 11,185 265 11,446 11,159 287 Adjusted earnings per share - diluted 2.68$ 1.80$ 0.88$ 2.81$ 1.79$ 1.02$ Shares used in adjusted earnings per share - diluted 12,051 11,423 628 11,869 11,487 382 JAKKS Pacific, Inc. and Subsidiaries Reconciliation of Non-GAAP Financial Information (Unaudited) Three Months Ended September 30, Nine Months Ended September 30, (In thousands, except per share data) (In thousands, except per share data)
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29 December 31, 2026 2025 2025 Current assets: Cash and cash equivalents 43,999$ 25,887$ 52,197$ Restricted cash 1,133 1,869 1,869 Accounts receivable, net 240,294 195,779 138,341 Inventory, net 63,770 71,497 59,805 Prepaid expenses and other assets 13,359 19,784 16,873 Total current assets 362,555 314,816 269,085 Property and equipment 163,246 147,745 152,224 Less accumulated depreciation and amortization 141,121 131,226 133,216 Property and equipment, net 22,125 16,519 19,008 Operating lease right-of-use assets, net 37,835 49,611 46,776 Deferred income tax assets, net 69,589 67,612 69,569 Goodwill 34,956 35,081 35,077 Other long-term assets 1,729 1,631 2,682 Total assets 528,789$ 485,270$ 442,197$ Current liabilities: Accounts payable 96,507$ 72,338$ 55,558$ Accrued expenses 60,129 52,085 43,076 Reserve for sales returns and allowances 40,810 37,691 33,569 Income taxes payable 4,445 5,389 2,119 Short-term operating lease liabilities 14,707 13,504 13,784 Total current liabilities 216,598 181,007 148,106 Long-term operating lease liabilities 28,405 43,113 39,578 Accrued expenses, long term 5,486 3,503 4,463 Income taxes payable 992 1,732 945 Total liabilities 251,481 229,355 193,092 Stockholders' equity: Common stock, $.001 par value 11 11 11 Additional paid-in capital 310,211 301,098 302,408 Accumulated deficit (18,122) (32,875) (41,021) Accumulated other comprehensive loss (14,792) (12,319) (12,293) Total stockholders' equity 277,308 255,915 249,105 Total liabilities and stockholders' equity 528,789$ 485,270$ 442,197$ JAKKS Pacific, Inc. and Subsidiaries Condensed Consolidated Balance Sheets (Unaudited) Liabilities and Stockholders' Equity September 30, Assets (In thousands)
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30 Key Balance Sheet Data: 2026 2025 Accounts receivable days sales outstanding (DSO) 87 85 Inventory turnover (DSI) 34 46 Condensed Cash Flow Data: 2026 2025 2026 2025 Cash flows from (used in) operating activities 17,430$ (24,753)$ 50,675$ 29,375$ Cash flows used in investing activities (13,817) (9,670) (16,491) (13,570) Cash flows used in financing activities and other (12,547) (7,958) (16,808) (10,333) Net increase (decrease) in cash, cash equivalents and restric (8,934)$ (42,381)$ 17,376$ 5,472$ Capital expenditures (13,226)$ (7,850)$ (14,939)$ (14,469)$ (*) Trailing twelve months (TTM) amounts are calculated as the sum of the most recent four quarters, derived from reported GAAP results. September 30, Nine Months Ended September 30, Trailing Twelve Months (*) Ended September 30, JAKKS Pacific, Inc. and Subsidiaries Condensed Consolidated Balance Sheets (Unaudited) Supplemental Balance Sheet and Cash Flow Data (Unaudited)
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31 (In thousands) (In thousands) Divisions 2024 2025 2026 % Change 2025 v 2026 CAGR% 2024 - 2026 Divisions 2024 2025 2026 % Change 2025 v 2026 CAGR% 2024 - 2026 Toys/Consumer Products $264,306 $156,080 $191,957 23.0% -14.8% Toys/Consumer Products $451,786 $343,897 $389,559 13.3% -7.1% Dolls, Role-Play/Dress-Up 146,893 92,330 119,151 29.0% -9.9% Dolls, Role-Play/Dress-Up 251,075 193,957 208,277 7.4% -8.9% Action Play & Collectibles 98,750 52,950 63,092 19.2% -20.1% Action Play & Collectibles 168,313 125,733 160,424 27.6% -2.4% Outdoor/Seasonal Toys 18,663 10,800 9,714 -10.1% -27.9% Outdoor/Seasonal Toys 32,398 24,207 20,858 -13.8% -19.8% Costumes $57,300 $55,130 $62,265 12.9% 4.2% Costumes $108,515 $99,660 $110,577 11.0% 0.9% Total $321,606 $211,210 $254,222 20.4% -11.1% Total $560,301 $443,557 $500,136 12.8% -5.5% (In thousands) (In thousands) Regions 2024 2025 2026 % Change 2025 v 2026 CAGR% 2024 - 2026 Regions 2024 2025 2026 % Change 2025 v 2026 CAGR% 2024 - 2026 United States $255,278 $154,516 $202,837 31.3% -10.9% United States $451,545 $330,450 $385,724 16.7% -7.6% Europe 30,034 29,408 29,686 0.9% -0.6% Europe 46,033 55,875 63,086 12.9% 17.1% Latin America 22,632 14,066 10,771 -23.4% -31.0% Latin America 33,867 27,572 21,870 -20.7% -19.6% Canada 7,068 9,237 5,960 -35.5% -8.2% Canada 16,726 21,342 16,032 -24.9% -2.1% Asia 2,345 1,526 2,745 79.9% 8.2% Asia 4,578 3,725 6,896 85.1% 22.7% Australia & New Zealand 3,339 2,095 1,616 -22.9% -30.4% Australia & New Zealand 6,292 3,594 5,618 56.3% -5.5% Middle East & Africa 910 362 607 67.7% -18.3% Middle East & Africa 1,260 999 910 -8.9% -15.0% Total $321,606 $211,210 $254,222 20.4% -11.1% Total $560,301 $443,557 $500,136 12.8% -5.5% (In thousands) (In thousands) Regions 2024 2025 2026 % Change 2025 v 2026 CAGR% 2024 - 2026 Regions 2024 2025 2026 % Change 2025 v 2026 CAGR% 2024 - 2026 North America $262,346 $163,753 $208,797 27.5% -10.8% North America $468,271 $351,792 $401,756 14.2% -7.4% International 59,260 47,457 45,425 -4.3% -12.4% International 92,030 91,765 98,380 7.2% 3.4% Total $321,606 $211,210 $254,222 20.4% -11.1% Total $560,301 $443,557 $500,136 12.8% -5.5% (In thousands) (In thousands) Regions 2024 2025 2026 % Change 2025 v 2026 CAGR% 2024 - 2026 Regions 2024 2025 2026 % Change 2025 v 2026 CAGR% 2024 - 2026 United States $255,278 $154,516 $202,837 31.3% -10.9% United States $451,545 $330,450 $385,724 16.7% -7.6% Rest of World 66,328 56,694 51,385 -9.4% -12.0% Rest of World 108,756 113,107 114,412 1.2% 2.6% Total $321,606 $211,210 $254,222 20.4% -11.1% Total $560,301 $443,557 $500,136 12.8% -5.5% QTD Q3 YTD Q3 JAKKS Pacific, Inc. and Subsidiaries Net Sales by Division and Geographic Region QTD Q3 QTD Q3 QTD Q3 YTD Q3 YTD Q3 YTD Q3