An increase in Spin Master’s entertainment revenue helped soften an overall revenue loss of close to 2% for the company’s Q2 in fiscal 2024.

On Tuesday (July 30), the Toronto-headquartered company reported a 7.4% increase in entertainment revenue for the quarter, earning $36.4 million compared to $33.9 in the prior year’s Q2.

The increase was attributed to distribution revenue related to the PAW Patrol series and PAW Patrol: The Mighty Movie (pictured). The company said the revenue increase was partially offset by lower content deliveries compared to the prior quarter, as well as lower licensing and merchandising revenue.

Overall revenue at Spin Master came to $412 million for the quarter, down 2.1% from $420.7 million in Q2 2023.

Max Rangel, Spin Master’s global president and CEO, said the revenue decrease was in line with expectations in a statement, noting that “pressure on consumer spending” had impacted toy sales and in-game purchases for its digital games.

Spin Master also announced that EVP and CFO Mark Segal will retire in the first half of 2025 after two decades at the company.

An external search for his successor is currently underway, with Segal set to continue with the company in an advisory capacity to help with the transition.

Segal joined Spin Master in 2001 and was named EVP and CFO in 2015 when the company went public. During his tenure, he had supported the company’s acquisitions work and its expansion into digital games.

“In his distinguished 20 years as CFO with Spin Master, Mark has steadfastly guided the company forward by applying his exceptional financial leadership to maintain a strong balance sheet and cash flow, which in turn has helped to provide a platform for our growth ambitions,” said Rangel. On behalf of Spin Master’s founders and the company, I want to thank Mark for his incredible contributions that have furthered our leadership within the children’s entertainment industry.”

Image courtesy of Elevation Pictures