v3.26.1
Derivative Instruments
 6 Months Ended
Jun. 30, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments Derivative Instruments
Mattel seeks to mitigate its exposure to foreign currency transaction risk by monitoring its foreign currency transaction exposure for the year and partially hedging such exposure using foreign currency forward exchange contracts. Mattel uses foreign currency forward exchange contracts as cash flow hedges primarily to hedge its purchases and sales of inventory denominated in foreign currencies. These contracts have maturity dates of up to 24 months. These derivative instruments have been designated as effective cash flow hedges, whereby the unsettled hedges are reported in Mattel's consolidated balance sheets at fair value, with changes in the fair value of the hedges reflected in other comprehensive income ("OCI"). Realized gains and losses for these contracts are recorded in the consolidated statements of operations in the period in which the inventory is sold to customers. Mattel uses foreign currency forward exchange contracts to hedge intercompany loans and advances denominated in foreign currencies. Due to the short-term nature of the contracts involved, Mattel does not use hedge accounting for these contracts, and as such, changes in fair value are recorded in the period of change in the consolidated statements of operations. Mattel utilizes derivative contracts to hedge certain purchases of commodities, which were not material. As of June 30, 2026, June 30, 2025, and December 31, 2025, Mattel held foreign currency forward exchange contracts and other commodity derivative instruments, with notional amounts of approximately $929 million, $918 million, and $677 million, respectively.
The following tables present Mattel's derivative assets and liabilities:
Derivative Assets
Balance Sheet ClassificationFair Value
June 30,
2026		June 30,
2025		December 31,
2025
(In thousands)
Derivatives Designated as Hedging Instruments:
Foreign currency forward exchange and other contractsPrepaid expenses and other current assets$9,908 $1,649 $854 
Foreign currency forward exchange and other contractsOther noncurrent assets2,134 289 15 
Total Derivatives Designated as Hedging Instruments$12,042 $1,938 $869 
Derivatives Not Designated as Hedging Instruments:
Foreign currency forward exchange and other contractsPrepaid expenses and other current assets$1,084 $1,347 $469 
Total Derivatives Not Designated as Hedging Instruments$1,084 $1,347 $469 
$13,126 $3,285 $1,338 
Derivative Liabilities
Balance Sheet ClassificationFair Value
June 30,
2026		June 30,
2025		December 31,
2025
(In thousands)
Derivatives Designated as Hedging Instruments:
Foreign currency forward exchange and other contractsAccrued liabilities$11,110 $30,139 $14,781 
Foreign currency forward exchange and other contractsOther noncurrent liabilities1,859 8,574 1,257 
Total Derivatives Designated as Hedging Instruments$12,969 $38,713 $16,038 
Derivatives Not Designated as Hedging Instruments:
Foreign currency forward exchange and other contractsAccrued liabilities$1,583 $936 $295 
Total Derivatives Not Designated as Hedging Instruments$1,583 $936 $295 
$14,552 $39,649 $16,333 
The following tables present the classification and amount of gains and losses, net of tax, from derivatives reported in the consolidated statements of operations:
Derivatives Designated as Hedging Instruments
For the Three Months Ended
June 30,
2026		June 30,
2025		Statements of
Operations
Classification
(In thousands)
Foreign Currency Forward Exchange and Other Contracts:
Amount of (losses) recognized in OCI$(3,150)$(44,639)
Amount of (losses) reclassified from accumulated OCI to the consolidated statements of operations(3,915)(11,091)Cost of sales
Derivatives Designated as Hedging Instruments
For the Six Months Ended
June 30,
2026		June 30,
2025		Statements of
Operations
Classification
(In thousands)
Foreign Currency Forward Exchange and Other Contracts:
Amount of gains (losses) recognized in OCI$3,979 $(53,862)
Amount of (losses) reclassified from accumulated OCI to consolidated statements of operations(5,736)(13,276)Cost of sales
The gains and losses reclassified from accumulated other comprehensive loss to the consolidated statements of operations during the three and six months ended June 30, 2026 and 2025 were offset by the recognition of the underlying hedged transactions.
As of June 30, 2026, approximately $6 million of net losses included in accumulated other comprehensive loss are expected to be reclassified into the consolidated statements of operations within the next twelve months.
Derivatives Not Designated as Hedging Instruments
For the Three Months Ended
June 30,
2026		June 30,
2025		Statements of Operations
Classification
(In thousands)
Amount of Net Gains Recognized in the Statements of Operations:
Foreign currency forward exchange and other contracts$6,198 $6,349 Other non-operating income/expense, net
Derivatives Not Designated as Hedging Instruments
For the Six Months Ended
June 30,
2026		June 30,
2025		Statements of Operations
Classification
(In thousands)
Amount of Net Gains Recognized in the Statements of Operations:
Foreign currency forward exchange and other contracts$1,774 $8,218 Other non-operating income/expense, net
The net gains recognized in the consolidated statements of operations during the three and six months ended June 30, 2026 and June 30, 2025 were offset by foreign currency transaction gains and losses on the related derivative balances.