Income Taxes |
6 Months Ended |
|---|---|
Jun. 30, 2026 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | Income Taxes Mattel's provision for income taxes was an expense of $0.2 million and a benefit from income taxes of $32.2 million for the three and six months ended June 30, 2026, respectively, and an expense of $16.2 million and a benefit from income taxes of $14.4 million for the three and six months ended June 30, 2025, respectively. Mattel recognized a net discrete income tax expense of $4.5 million during the three months ended June 30, 2026, primarily related to interest expense accrued on previously unrecognized tax benefits. Mattel's discrete income tax items had no net impact for the six months ended June 30, 2026, with discrete tax expense related to interest expense accrued on previously unrecognized tax benefits and the acquisition of Mattel163 being largely offset by a discrete tax benefit related to previously unrecognized tax benefits. Mattel recognized a net discrete income tax expense of $1.0 million during the three months ended June 30, 2025. Mattel recognized a net discrete income tax benefit of $10.4 million during the six months ended June 30, 2025, primarily related to a change of its indefinite reinvestment assertion relating to certain foreign subsidiary earnings. Evaluating the need for and the amount of a valuation allowance for deferred tax assets often requires significant judgment and extensive analysis of all available evidence to determine whether it is more-likely-than-not that these assets will be realizable. Mattel routinely assesses the positive and negative evidence for this realizability, including the evaluation of sustained profitability and three years of cumulative pretax income for each tax jurisdiction. For the three and six months ended June 30, 2026 and 2025, there were no material changes to Mattel's valuation allowance. On July 4, 2025, H.R.1 - the One Big Beautiful Bill Act ("OBBBA") was enacted in the United States. The OBBBA contains significant provisions, including the permanent extension or restoration of certain expiring corporate income tax provisions, originally introduced by the Tax Cuts and Jobs Act of 2017, and incremental modifications to the international tax framework. The legislation has multiple effective dates, with certain provisions effective for the tax year beginning after December 31, 2024, and others effective for tax years beginning after December 31, 2025. Mattel has evaluated the OBBBA provisions that have been enacted and has included the related impact in the provision for income taxes for the three and six months ended June 30, 2026.
|