Spin Master (TOY) 24th Annual CIBC Eastern Institutional Investor Conference summary

Leadership and strategic vision

• New CEO and CFO appointed in 2023, bringing experience in global brand building and commercial finance.

• Focus on holistic, consumer-first approach and leveraging cross-category expertise.

• Emphasis on executing an existing sound strategy with greater discipline and integration across entertainment, digital games, and toys.

• Priority on building connections between creative centers to maximize IP value, especially for PAW Patrol and Toca Boca.

• Commitment to returning to profitable growth and disciplined capital allocation over the next 18 months.

Key business priorities and growth drivers

• PAW Patrol remains a core growth driver, with a new movie and related products planned for 2026.

• Toca Boca digital platform aims to expand user base and monetization, with new content and partnerships.

• Melissa & Doug acquisition focuses on category protection, innovation, partnerships, and international expansion.

• Exploring brand extensions for Melissa & Doug beyond toys, including publishing and physical spaces.

• Value-focused retail channels (e.g., dollar stores) are growing revenue through tailored products.

Financial execution and capital allocation

• Finance team shifting to a more commercial, decision-support role to drive investment rigor.

• Focus on cost structure, IT investments for supply chain and forecasting, and working capital improvements.

• M&A remains a key growth lever, with emphasis on capturing both cost and revenue synergies.

• Capital allocation prioritizes reinvestment, disciplined M&A, growing dividends, and share buybacks.

• Active share repurchase program underway, reflecting confidence in undervalued shares.