News

Mega Brands loses $7.2 million in opening quarter

MONTREAL – Toymaker Mega Brands Inc. (TSX:MB) reported Thursday that it lost $7.2 million in the first quarter, or 43 cents per diluted share.

That compares to a loss of $8.5 million, or 52 cents per share, in the same three-month period of 2012.

The Montreal-based company says its business is seasonal and the first quarter is the period with the lowest sales of the year and negative profitability.

Consolidated net sales in the quarter grew 11 per cent to $64.5 million, with toy sales up 14 per cent sales of stationery and activities products up three per cent.

The company makes Mega Bloks and other children’s toys, games, puzzles, arts and crafts and stationary products.

”We are pleased with the sustained improvement in our sales and profitability,” said president and CEO Marc Bertrand.

”We continue to build momentum in the marketplace and our new product lines are being well received by retailers around the world.”