JAKKS Pacific (JAKK) 10-Q 9 Nov 18 2018 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2018	Nov. 09, 2018
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q3
Trading Symbol	JAKK
Entity Registrant Name	JAKKS PACIFIC INC
Entity Central Index Key	1,009,829
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	false
Entity Common Stock, Shares Outstanding		29,169,913

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Current assets
Cash and cash equivalents	$ 52,177	$ 64,977
Restricted cash	4,967
Accounts receivable, net of allowance for doubtful accounts of $22,419 and $10,940 at September 30, 2018 and December 31, 2017, respectively	205,412	142,457
Inventory	64,451	58,432
Prepaid expenses and other assets	26,485	16,803
Total current assets	353,492	282,669
Property and equipment
Office furniture and equipment	15,397	15,043
Molds and tooling	115,816	115,378
Leasehold improvements	10,776	10,936
Total	141,989	141,357
Less accumulated depreciation and amortization	120,802	118,130
Property and equipment, net	21,187	23,227
Intangible assets, net	18,477	22,190
Other long term assets	18,938	6,579
Goodwill	35,197	35,384
Trademarks	300	300
Total assets	447,591	370,349
Current liabilities
Accounts payable	142,612	49,916
Accrued expenses	48,539	42,145
Reserve for sales returns and allowances	30,270	17,622
Short term debt, net	19,365	5,000
Convertible senior notes, net		21,075
Total current liabilities	240,786	135,758
Convertible senior notes, net	145,056	133,497
Other liabilities	4,364	4,537
Income taxes payable	994	1,261
Deferred income taxes, net	787	783
Total liabilities	391,987	275,836
Stockholders' equity
Preferred stock, $.001 par value; 5,000,000 shares authorized; nil outstanding
Common stock, $.001 par value; 100,000,000 shares authorized; 29,169,913 and 26,957,354 shares issued and outstanding at September 30, 2018 and December 31, 2017, respectively	30	27
Treasury stock, at cost; 3,112,840 shares	(24,000)	(24,000)
Additional paid-in capital	217,468	215,809
Accumulated deficit	(124,354)	(85,233)
Accumulated other comprehensive loss	(14,548)	(13,059)
Total JAKKS Pacific, Inc. stockholders' equity	54,596	93,544
Non-controlling interests	1,008	969
Total stockholders' equity	55,604	94,513
Total liabilities and stockholders' equity	$ 447,591	$ 370,349

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Accounts receivable, allowance for doubtful accounts	$ 22,419	$ 10,940
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	29,169,913	26,957,354
Common stock, shares outstanding	29,169,913	26,957,354
Treasury stock, shares	3,112,840	3,112,840

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Net Sales	$ 236,699	$ 262,413	$ 435,484	$ 476,483
Gross profit	64,330	61,781	115,230	125,521
Selling, general and administrative expenses	44,287	55,991	142,985	149,563
Goodwill and other intangibles impairment		13,536		13,536
Income (loss) from operations	20,043	(7,746)	(27,755)	(37,578)
Income from joint ventures			227	105
Other income	223	110	304	292
Loss on extinguishment of convertible senior notes	(453)		(453)	114
Change in fair value of convertible senior notes	917		(2,514)
Write-off of investment in DreamPlay, LLC		(7,000)		(7,000)
Interest income	19	12	47	26
Interest expense	(3,097)	(2,027)	(7,230)	(7,496)
Income (loss) before provision for (benefit from) income taxes	17,652	(16,651)	(37,374)	(51,651)
Provision for (benefit from) income taxes	1,953	918	1,708	890
Net income (loss)	15,699	(17,569)	(39,082)	(52,541)
Net income (loss) attributable to non-controlling interests	17	45	39	131
Net income (loss) attributable to JAKKS Pacific, Inc.	$ 15,682	$ (17,614)	$ (39,121)	$ (52,672)
Income (loss) per share - basic	$ 0.68	$ (0.77)	$ (1.69)	$ (2.53)
Shares used in income (loss) per share - basic	23,106	22,772	23,104	20,848
Income (loss) per share - diluted	$ 0.38	$ (0.77)	$ (1.69)	$ (2.53)
Shares used in income (loss) per share - diluted	45,686	22,772	23,104	20,848
Comprehensive income (loss)	$ 14,550	$ (15,907)	$ (40,571)	$ (48,413)
Comprehensive income (loss) attributable to JAKKS Pacific, Inc.	14,533	(15,952)	(40,610)	(48,544)
Product
Cost of sales	$ 172,369	$ 200,632	$ 320,254	$ 350,962

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Cash flows from operating activities
Net Income (Loss)	$ (39,082)	$ (52,541)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Provision for doubtful accounts	11,530	11,018
Depreciation and amortization	13,991	18,414
Write-off and amortization of debt issuance costs	1,234	1,682
Share-based compensation expense	1,747	2,253
Gain on disposal of property and equipment	(108)	(23)
Intangibles impairment		5,248
Write-off of investment in DreamPlay, LLC		7,000
Goodwill impairment	0	8,288
(Gain) loss on extinguishment of convertible senior notes	453	(114)
Change in fair value of convertible senior notes	2,514
Deferred income taxes	4	(1)
Changes in operating assets and liabilities:
Accounts receivable	(74,485)	(61,522)
Inventory	(6,019)	(4,709)
Prepaid expenses and other assets	(21,767)	(108)
Accounts payable	94,011	47,518
Accrued expenses	6,394	16,279
Reserve for sales returns and allowances	12,648	(3,449)
Income taxes payable	(267)	(1,053)
Other liabilities	(173)	(382)
Total adjustments	41,707	46,339
Net cash provided by (used in) operating activities	2,625	(6,202)
Cash flows from investing activities
Purchases of property and equipment	(9,552)	(10,464)
Proceeds from sale of property and equipment	108	24
Net cash provided by (used in) investing activities	(9,444)	(10,440)
Cash flows from financing activities
Retirement of convertible senior notes	(13,178)
Repayment of credit facility borrowings	(5,000)	(8,000)
Repurchase of convertible senior notes		(35,614)
Deferred issuance costs	(1,449)
Proceeds from term loan facility	20,000
Proceeds from issuance of common stock		19,311
Repurchase of common stock for employee tax withholding	(85)	(12)
Net cash provided by (used in) financing activities	288	(24,315)
Net increase (decrease) in cash, cash equivalents and restricted cash	(6,531)	(40,957)
Effect of foreign currency translation	(1,302)	3,704
Cash, cash equivalents and restricted cash, beginning of period	64,977	86,064
Cash, cash equivalents and restricted cash, end of period	57,144	48,811
Cash paid during the period for:
Income taxes	1,009	1,669
Interest	$ 5,161	$ 5,727

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Millions	9 Months Ended	12 Months Ended
	Sep. 30, 2018	Dec. 31, 2017
Accounts Payable
Purchase of property and equipment incurred	$ 3.9	$ 5.2

Basis of Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2018
Basis of Presentation	Note 1 — Basis of Presentation The accompanying unaudited interim condensed consolidated financial statements included herein have been prepared by the Company, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to such rules and regulations. However, the Company believes that the disclosures are adequate to prevent the information presented from being misleading. These financial statements should be read in conjunction with Management’s Discussion and Analysis of Financial Condition and Results of Operations and the financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K, which contains audited financial information for the three years in the period ended December 31, 2017. The information provided in this report reflects all adjustments (consisting solely of normal recurring items) that are, in the opinion of management, necessary to present fairly the financial position and the results of operations for the periods presented. Interim results are not necessarily, especially given seasonality, indicative of results to be expected for a full year. The condensed consolidated financial statements include the accounts of JAKKS Pacific, Inc. and its wholly-owned subsidiaries (collectively, “the Company”). The condensed consolidated financial statements also include the accounts of DreamPlay Toys, LLC, a joint venture with NantWorks LLC, JAKKS Meisheng Trading (Shanghai) Limited, a joint venture with Meisheng Cultural & Creative Corp., Ltd., and JAKKS Meisheng Animation (HK) Limited, a joint venture with Hong Kong Meisheng Cultural Company Limited. Certain prior period amounts have been reclassified for consistency with the current period presentation. In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606),” which supersedes the revenue recognition requirements in ASC 605, (Topic 605), and most industry-specific guidance. Under the new model, recognition of revenue occurs when a customer obtains control of promised goods or services in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In addition, the new standard requires that reporting companies disclose the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. In August 2015, the FASB issued ASU 2015-14, “Revenue from Contracts with Customers – Deferral of the Effective Date,” which defers the effective date of ASU 2014-09 to annual reporting periods beginning after December 15, 2017, and interim periods therein. In 2016, the FASB issued ASU 2016-08, “Principal versus Agent Considerations (Reporting Revenue Gross versus Net),” ASU 2016-10, “Identifying Performance Obligations and Licensing,” and ASU 2016-12, “Revenue from Contracts with Customers - Narrow-Scope Improvements and Practical Expedients.” Entities have the choice to adopt these updates using either of the following transition methods: (i) a full retrospective approach reflecting the application of the standard in each prior reporting period with the option to elect certain practical expedients, or (ii) a modified retrospective approach with the cumulative effect of these standards recognized at the date of the adoption. On January 1, 2018, the Company adopted the new accounting standard ASC 606, (Topic 606), Revenue from Contracts with Customers and all the related amendments (“new revenue standard”) using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under Topic 606, while prior period amounts are not adjusted and continue to be reported in accordance with the Company’s historic accounting under ASC 605, (Topic 605). There is no impact to the Company’s condensed consolidated financial statements resulting from the adoption of Topic 606 as the timing and measurement of revenue remained consistent with Topic 605, although the Company’s approach to revenue recognition is now based on the transfer of control. Further, there is no difference in the amounts of the revenue and cost of sales reported in the Company’s condensed consolidated statements of operations and comprehensive income (loss) for the quarter ended September 30, 2018 that were recognized pursuant to Topic 606 and those that would have been reported pursuant to Topic 605. In January 2016, the FASB issued ASU 2016-01, “Financial Instruments - Overall: Recognition and Measurement of Financial Assets and Financial Liabilities” (“ASU 2016-01”). The new guidance is intended to improve the recognition and measurement of financial instruments. The ASU is effective for fiscal years and interim periods within those years beginning after December 15, 2017. The adoption of this standard does not have an impact on the Company’s condensed consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, “Leases.” ASU 2016-02 establishes a right-of-use (“ROU”) model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted. A modified retrospective transition approach is required for lessees for capital and operating leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements, with certain practical expedients available. The Company is currently evaluating the impact of the pending adoption of this new standard on its condensed consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, “Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments.” The new guidance is intended to reduce diversity in practice in how transactions are classified in the statement of cash flows. This ASU is effective for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2017. The Company early adopted this standard during the second quarter of 2017. The adoption of this standard does not have an impact on the Company’s condensed consolidated financial statements. In October 2016, the FASB issued ASU 2016-16, “Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other than Inventory.” The amendments in this ASU reduce the complexity in the accounting standards by allowing the recognition of current and deferred income taxes for an intra-entity asset transfer, other than inventory, when the transfer occurs. Historically, recognition of the income tax consequence was not recognized until the asset was sold to an outside party. This ASU is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. The adoption of this standard does not have an impact on the Company’s condensed consolidated financial statements. In November 2016, the FASB issued ASU 2016-18, “Statement of Cash Flows (Topic 230): Restricted Cash.” The update requires that amounts generally described as restricted cash or restricted cash equivalents be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. The new standard is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years, and early adoption is permitted. The Company early adopted this standard during the second quarter of 2017. In May 2017, the FASB issued ASU 2017-09, “Compensation - Stock Compensation (Topic 718): Scope of Modification Accounting,” which clarifies when to account for a change to the terms or conditions of a share-based payment award as a modification. Under the new guidance, modification accounting is required only if the fair value, vesting conditions, or the classification of the award (as equity or liability) changes as a result of the change in terms or conditions. ASU 2017-09 is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The adoption of this standard does not have an impact on the Company’s condensed consolidated financial statements. In January 2018, the FASB issued ASU 2018-02, “Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income,” which gives entities the option to reclassify to retained earnings the tax effects resulting from the Act related to items in Accumulated Other Comprehensive Income (“AOCI”) that the FASB refers to as having been stranded in AOCI. The new guidance may be applied retrospectively to each period in which the effect of the Act is recognized in the period of adoption. The Company could adopt this guidance for fiscal years beginning after December 15, 2018 and interim periods within those fiscal years. Early adoption is permitted for periods for which financial statements have not yet been issued or made available for issuance, including the period the Act was enacted. The guidance, when adopted, will require new disclosures regarding a company’s accounting policy for releasing the tax effects in AOCI and permit the company the option to reclassify to retained earnings the tax effects resulting from the Act that are stranded in AOCI. The Company is not early adopting at this time and does not have plans to adopt this new guidance. In March 2018, the FASB issued ASU 2018-03, “Technical Corrections and Improvements to Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities,” which made targeted improvements to address certain aspects of recognition, measurement, presentation, and disclosure of financial instruments. The ASU is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years beginning after June 15, 2018. The adoption of this standard does not have an impact on the Company’s condensed consolidated financial statements. In June 2018, the FASB issued ASU 2018-07, “Improvements to Nonemployee Share-Based Payment Accounting,” which supersedes most of the prior accounting guidance on nonemployee share-based payments, and instead aligns it with existing guidance on employee share-based payments in Topic 718. The new standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, and early adoption is permitted. The Company is currently evaluating the impact of the pending adoption of this new standard on its condensed consolidated financial statements. In July 2018, the FASB issued ASU 2018-10, “Codification Improvements to Topic 842, Leases,” which affects narrow aspects of the guidance in ASU 2016-02, Leases (Topic 842). The amendments include sixteen narrow amendments to the leases standard resulting from implementation activities, such as discussions between the FASB and stakeholders, technical inquiries, and routine Codification feedback. This ASU is intended to clarify the intended application of certain aspects of the new leases guidance and correct cross-reference inconsistencies. The new standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, and early adoption is permitted. The Company is currently evaluating the impact of the pending adoption of this new standard on its condensed consolidated financial statements. In July 2018, the FASB issued ASU 2018-11, “Leases (Topic 842): Targeted Improvements,” which provides entities with an additional (and optional) transition method to adopt the new leases standard. Under this new transition method, an entity initially applies the new leases standard at the adoption date and recognizes a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. The new standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, and early adoption is permitted. The Company is currently evaluating the impact of the pending adoption of this new standard on its condensed consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, “Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement,” which improves the effectiveness of the disclosures required under ASC 820 and modifies the disclosure requirements on fair value measurements, including the consideration of costs and benefits. The new standard is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, and early adoption is permitted. The Company is currently evaluating the impact of the pending adoption of this new standard on its condensed consolidated financial statements.

Business Segments, Geographic D

Business Segments, Geographic Data, and Sales by Major Customers	9 Months Ended
	Sep. 30, 2018
Business Segments, Geographic Data, and Sales by Major Customers	Note 2 — Business Segments, Geographic Data, and Sales by Major Customers The Company is a worldwide producer and marketer of children’s toys and other consumer products, principally engaged in the design, development, production, marketing and distribution of its diverse portfolio of products. The Company has aligned its operating segments into three reporting segments that reflect the management and operation of the business. The Company’s segments are (i) U.S. and Canada, (ii) International, and (iii) Halloween. The U.S. and Canada segment includes action figures, vehicles, play sets, plush products, dolls, electronic products, construction toys, infant and pre-school toys, role play and everyday costume play, foot to floor ride-on vehicles, wagons, novelty toys, seasonal and outdoor products, kids’ indoor and outdoor furniture, and related products. Within the International segment, the Company markets and sells its toy products in markets outside of the U.S. and Canada, primarily in the European, Asia Pacific, and Latin American regions. Within the Halloween segment, the Company markets and sells Halloween costumes and accessories and everyday costume play products, primarily in the U.S. and Canada. Segment performance is measured at the operating income (loss) level. All sales are made to external customers and general corporate expenses have been attributed to the various segments based upon relative sales volumes. Segment assets are primarily comprised of accounts receivable and inventories, net of applicable reserves and allowances, goodwill and other assets. Certain assets which are not tracked by operating segment and/or that benefit multiple operating segments have been allocated on the same basis. Results are not necessarily those which would be achieved if each segment was an unaffiliated business enterprise. Information by segment and a reconciliation to reported amounts for the three and nine months ended September 30, 2018 and 2017 and as of September 30, 2018 and December 31, 2017 are as follows (in thousands): Three Months Ended Nine Months Ended 2018 2017 2018 2017 Net Sales U.S. and Canada $ 133,481 $ 154,046 $ 263,397 $ 295,098 International 37,902 50,141 77,245 87,583 Halloween 65,316 58,226 94,842 93,802 $ 236,699 $ 262,413 $ 435,484 $ 476,483 Three Months Ended Nine Months Ended 2018 2017 2018 2017 Income (Loss) from Operations U.S. and Canada $ 12,029 $ (6,760 ) $ (17,373 ) $ (24,155 ) International 2,919 (735 ) (6,764 ) (3,986 ) Halloween 5,095 (251 ) (3,618 ) (9,437 ) $ 20,043 $ (7,746 ) $ (27,755 ) $ (37,578 ) Three Months Ended Nine Months Ended 2018 2017 2018 2017 Depreciation and Amortization Expense U.S. and Canada $ 4,823 $ 5,682 $ 10,125 $ 13,107 International 1,312 1,811 2,886 3,693 Halloween 428 808 980 1,614 $ 6,563 $ 8,301 $ 13,991 $ 18,414 September 30, December 31, Assets U.S. and Canada $ 271,100 $ 229,505 International 118,781 106,255 Halloween 57,710 34,589 $ 447,591 $ 370,349 The following tables present information about the Company by geographic area as of September 30, 2018 and December 31, 2017 and for the three and nine months ended September 30, 2018 and 2017 (in thousands): September 30, December 31, 2018 2017 Long-lived Assets China $ 15,867 $ 17,194 United States 5,113 5,755 Hong Kong 207 278 $ 21,187 $ 23,227 Three Months Ended Nine months ended September 30, September 30, 2018 2017 2018 2017 Net Sales by Customer Area United States $ 186,497 $ 199,064 $ 337,543 $ 367,694 Europe 25,606 33,640 49,542 56,537 Canada 11,091 11,062 18,663 18,086 Hong Kong 1,182 397 1,709 784 Other 12,323 18,250 28,027 33,382 $ 236,699 $ 262,413 $ 435,484 $ 476,483 Major Customers Net sales to major customers for the three and nine months ended September 30, 2018 and 2017 were as follows (in thousands, except for percentages): Three Months Ended September 30, Nine months ended September 30, 2018 2017 2018 2017 Amount Percentage of Net Sales Amount Percentage of Net Sales Amount Percentage of Net Sales Amount Percentage of Net Sales Wal-Mart $ 64,133 27.1 % $ 70,768 27.0 % $ 107,344 24.6 % $ 118,819 24.9 % Target 50,797 21.5 44,502 17.0 87,641 20.1 77,674 16.3 Toys ‘R’ Us * * 22,741 8.7 * * 49,760 10.4 * Sales to Toys ‘R’ Us in the applicable periods were less than 10% of total sales At September 30, 2018 and December 31, 2017, the Company’s three largest customers accounted for approximately 46.0% and 60.6%, respectively, of the Company’s gross accounts receivable. The concentration of the Company’s business with a relatively small number of customers may expose the Company to material adverse effects if one or more of its large customers were to experience financial difficulty. The Company performs ongoing credit evaluations of its top customers and maintains an allowance for potential credit losses. On March 15, 2018, Toys “R” Us (“TRU”) filed a motion to conduct an orderly wind down of its operations in the U.S. and commence store closing sales at all 735 U.S. stores. The total TRU worldwide pre and post-petition gross accounts receivable balance of $20.7 million as of September 30, 2018 has been fully reserved by the Company. At September 30, 2018 and December 31, 2017, the Company’s TRU consolidated accounts receivable balance represented 8.7% and 26.4%, respectively, of the Company’s gross accounts receivable.

Inventory

Inventory	9 Months Ended
	Sep. 30, 2018
Inventory	Note 3 — Inventory Inventory, which includes the ex-factory cost of goods, in-bound freight, duty and capitalized warehouse costs, is valued at the lower of cost (first-in, first-out) or net realizable value, net of inventory obsolescence reserve, and consists of the following (in thousands): September 30, December 31, Raw materials $ 1,094 $ 1,596 Finished goods 63,357 56,836 $ 64,451 $ 58,432 During the first quarter of 2017, the Company adopted ASU 2015-11, “Simplifying the Measurement of Inventory (Topic 330).” The amendments, which apply to inventory that is measured using any method other than the last-in, first-out (LIFO) or retail inventory method, require that entities measure inventory at the lower of cost or net realizable value. ASU 2015-11 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2016 and should be applied on a prospective basis. The adoption of ASU 2015-11 did not have an impact to the Company’s condensed consolidated financial statements.

Revenue Recognition and Reserve

Revenue Recognition and Reserve for Sales Returns and Allowances	9 Months Ended
	Sep. 30, 2018
Revenue Recognition and Reserve for Sales Returns and Allowances	Note 4 — Revenue Recognition and Reserve for Sales Returns and Allowances The Company’s contracts with customers only include one performance obligation (i.e., sale of the Company’s products). Revenue is recognized in the gross amount at a point in time when delivery is completed and control of the promised goods is transferred to the customers. Revenue is measured as the amount of consideration the Company expects to be entitled to in exchange for those goods. The Company’s contracts do not involve financing elements as payment terms with customers are less than one year. Further, because revenue is recognized at the point in time goods are sold to customers, there are no contract assets or contract liability balances. The Company disaggregates its revenues from contracts with customers by reporting segment: U.S. and Canada, International, and Halloween. The Company further disaggregates revenues by major geographic region. See Note 2, Business Segments, Geographic Data, and Sales by Major Customers, for further information. The Company offers various discounts, pricing concessions, and other allowances to customers, all of which are considered in determining the transaction price. Certain discounts and allowances are fixed and determinable at the time of sale and are recorded at the time of sale as a reduction to revenue. Other discounts and allowances can vary and are determined at management’s discretion (variable consideration). Specifically, the Company occasionally grants discretionary credits to facilitate markdowns and sales of slow moving merchandise, and consequently accrues an allowance based on historic credits and management estimates. Further, while the Company generally does not allow product returns, the Company does make occasional exceptions to this policy, and consequently records a sales return allowance based upon historic return amounts and management estimates. These allowances (variable consideration) are estimated using the expected value method and are recorded at the time of sale as a reduction to revenue. The Company adjusts its estimate of variable consideration at least quarterly or when facts and circumstances used in the estimation process may change. The variable consideration is not constrained as the Company has sufficient history on the related estimates and does not believe there is a risk of significant revenue reversal. The Company also participates in cooperative advertising arrangements with some customers, whereby it allows a discount from invoiced product amounts in exchange for customer purchased advertising that features the Company’s products. Generally, these allowances range from 1% to 12% of gross sales, and are generally based upon product purchases or specific advertising campaigns. Such allowances are accrued when the related revenue is recognized. These cooperative advertising arrangements provide a distinct benefit at fair value, and are accounted for as direct selling expenses. Sales commissions are expensed when incurred as the related revenue is recognized at a point in time and therefore the amortization period is less than one year. As a result these costs are recorded as direct selling expenses, as incurred. Shipping and handling activities are considered part of the Company’s obligation to transfer the products and therefore are recorded as direct selling expenses, as incurred. The Company’s reserve for sales returns and allowances amounted to $30.3 million as of September 30, 2018, compared to $17.6 million as of December 31, 2017.

Credit Facilities

Credit Facilities	9 Months Ended
	Sep. 30, 2018
Credit Facilities	Note 5 — Credit Facilities Wells Fargo In March 2014, the Company and its domestic subsidiaries entered into a secured credit facility with General Electric Capital Corporation (“GECC”). The Credit Facility, as amended and subsequently assigned to Wells Fargo Bank, N.A. (“Wells Fargo”) pursuant to its acquisition of GECC, provides for a $75.0 million revolving credit facility subject to availability based on prescribed advance rates on certain domestic accounts receivable and inventory amounts used to compute the borrowing base (the “Credit Facility”). The Credit Facility includes a sub-limit of up to $35.0 million for the issuance of letters of credit. The amounts outstanding under the Credit Facility, as amended, are payable in full upon maturity of the facility on March 27, 2019, except that the Credit Facility would mature on June 15, 2018 if the Company does not refinance or extend the maturity of the convertible senior notes that mature in 2018, provided that any such refinancing or extension shall have a maturity date that is no sooner than six months after the stated maturity of the Credit Facility (i.e., on or about September 27, 2019). On June 14, 2018, the Company entered into a Term Loan Agreement with Great American Capital Partners to provide the necessary capital to refinance the 2018 convertible senior notes (see additional details regarding the Term Loan Agreement below). In addition, on June 14, 2018, the Company revised certain of the Credit Facility documents (and entered into new ones) so that certain of our Hong Kong based subsidiaries became additional parties to the Credit Facility. As a result, the receivables of these subsidiaries can now be included in the borrowing base computation, subject to certain limitations, thereby effectively increasing the amount of funds the Company can borrow under the Credit Facility. Any additional borrowings under the Credit Facility will be used for general working capital purposes. The Credit Facility is secured by a security interest in favor of Wells Fargo covering a substantial amount of the consolidated assets and a pledge of the majority of the capital stock of various of the Company’s subsidiaries. As of September 30, 2018, there were no outstanding borrowings and the amount of outstanding stand-by letters of credit totaled $12.8 million; the total excess availability under the Credit Facility was $34.7 million. As of December 31, 2017, the amount of outstanding borrowings was $5.0 million and outstanding stand-by letters of credit totaled $20.0 million; the total excess availability under the Credit Facility was $14.1 million. In October 2018, the Company borrowed $7.5 million under the Credit Facility. The Company’s ability to borrow under the Credit Facility is also subject to its ongoing compliance with certain financial covenants, including the maintenance by the Company of a fixed charge coverage ratio of at least 1.25:1.0 based on the trailing four fiscal quarters in the event minimum excess availability of $10.0 million under the Credit Facility is not maintained. As of September 30, 2018 and December 31, 2017, the Company was in compliance with the financial covenants under the Credit Facility. The Company may borrow funds at LIBOR or at a Base Rate, plus applicable margins of 225 basis point spread over LIBOR and 125 basis point spread on Base Rate loans. The Base Rate is the highest of (i) the Federal Funds Rate plus a margin of 0.50%, (ii) the rate last quoted by The Wall Street Journal as the “Prime Rate,” or (iii) the sum of a LIBOR rate plus 1.00%. In addition to standard fees, the Credit Facility has an unused credit line fee, which ranges from 25 to 50 basis points. For the three months ended September 30, 2018 and 2017, the weighted average interest rate on the Credit Facility was nil and approximately 3.49%, respectively. For the nine months ended September 30, 2018 and 2017, the weighted average interest rate on the Credit Facility was approximately 3.79% and 3.03%, respectively. The Credit Facility also contains customary events of default, including a cross default provision and a change of control provision. In the event of a default, all of the obligations of the Company and its subsidiaries under the Credit Facility may be declared immediately due and payable. For certain events of default relating to insolvency and receivership, all outstanding obligations become due and payable. Great American Capital Partners On June 14, 2018, the Company entered into a Term Loan Agreement, Term Note, Guaranty and Security Agreement and other ancillary documents and agreements (the “Term Loan”) with Great American Capital Partners Finance Co., LLC (“GACP”), for itself as a Lender (as defined below) and as the agent (in such capacity, “Agent”) for the Lenders from time to time party to the Term Loan (collectively, “Lenders”) and the other “Secured Parties” under and as defined therein, with respect to the issuance to the Company by Lenders of a $20.0 million term loan. To secure the Company’s obligations under the Term Loan, the Company granted to Agent, for the benefit of the Secured Parties, a security interest in a substantial amount of the Company’s consolidated assets and a pledge of the majority of the capital stock of various of its subsidiaries. The Term Loan is a secured obligation, second only to the Credit Facility with Wells Fargo, except with respect to certain of the Company’s inventory in which GACP has a priority secured position. The Company may use the funds from the Term Loan to repurchase or retire its outstanding convertible senior notes due August 2018, for working capital, capital expenditures and other general corporate purposes, subject to certain negative covenants set forth in the Term Loan. The Term Loan requires the repayment of principal in the amount of 10% of the outstanding Term Loan per year (payable monthly) beginning after the first anniversary. All then-outstanding borrowings under the Term Loan are due, and the Term Loan terminates, no later than June 14, 2021, unless sooner terminated in accordance with its terms, which includes the date of termination of the Wells Fargo Credit Facility and the date that is 91 days prior to the maturity of the Company’s various convertible senior notes due in 2020 (see Note 6). The Company is permitted, and may be required under certain circumstances as set forth in the Term Loan documents, to prepay the Term Loan, which would require a prepayment fee (i) in year one of up to any unearned and unpaid interest that would have become due and payable in year one had the prepayment not occurred plus 2% of the initial amount of the Term Loan (i.e., $20.0 million), (ii) in year two of 2% of the initial amount of the Term Loan and (iii) in year three of 1% of the initial amount of the Term Loan. The Company’s ability to continue to borrow the initial Term Loan amount of $20.0 million is based on certain accounts receivable and inventory amounts used to compute the borrowing base. In the event the Term Loan balance exceeds the borrowing base computation, the shortfall would be (i) applied to any excess availability under the Wells Fargo Credit Facility or (ii) prepaid. Similar to the Wells Fargo Credit Facility, the Company is subject to ongoing compliance with certain financial covenants, including the maintenance by the Company of a fixed charge coverage ratio of at least 1.25:1.0 based on the trailing four fiscal quarters in the event minimum excess availability of $10.0 million under the Wells Fargo Credit Facility is not maintained. The Company must also maintain a minimum amount of liquidity, as defined in the Term Loan, of $10.0 million. As of September 30, 2018, the Company was in compliance with the financial covenants under the Term Loan. The Term Loan is accelerated and becomes immediately due and payable (and the Term Loan terminates) in the event of a default under the Term Loan which includes, among other things, breach of certain covenants or representations contained in the Term Loan documents, defaults under other loans or obligations, involvement in bankruptcy proceedings or an occurrence of a change of control (as such terms are defined in the Term Loan). The Term Loan Documents also contain negative covenants which, during the life of the Term Loan, prohibit and/or limit the Company from, among other things, incurring certain types of other debt, acquiring other companies, making certain expenditures or investments and changing the character of its business. As of September 30, 2018, the amount outstanding under the Term Loan was $20.0 million. Borrowings under the Term Loan accrue interest at LIBOR plus 9.00% per annum. For the three and nine months ended September 30, 2018, the weighted average interest rate on the Term Loan was approximately 11.1%. Amortization expense classified as interest expense related to the $1.4 million debt issuance costs associated with the transactions that closed on June 14, 2018 (i.e., the amendment of the Wells Fargo Credit Facility and the GACP Term Loan) was $0.4 million and $0.5 million for the three and nine months ended September 30, 2018, respectively.

Convertible Senior Notes

Convertible Senior Notes	9 Months Ended
	Sep. 30, 2018
Convertible Senior Notes	Note 6 — Convertible Senior Notes Convertible senior notes consist of the following (in thousands): September 30, 2018 December 31, 2017 Principal/ Debt Principal/ Debt Fair Value Issuance Net Fair Value Issuance Net Amount Costs Amount Amount Costs Amount 4.25% convertible senior notes (due 2018) $ ― $ ― $ ― $ 21,178 $ 103 $ 21,075 4.875% convertible senior notes (due 2020) 113,000 1,380 111,620 113,000 1,972 111,028 3.25% convertible senior notes (due 2020) * 33,436 ― 33,436 22,469 ― 22,469 Total convertible senior notes, net of debt issuance costs $ 146,436 $ 1,380 $ 145,056 $ 156,647 $ 2,075 $ 154,572 * The amount presented for the 3.25% 2020 convertible senior notes within the table represents the fair value as of September Amortization expense classified as interest expense related to debt issuance costs was $0.2 million and $0.4 million for the three months ended September 30, 2018 and 2017, respectively, and $0.7 million and $1.5 million for the nine months ended September 30, 2018 and 2017, respectively. In July 2013, the Company sold an aggregate of $100.0 million principal amount of 4.25% convertible senior notes due 2018 (the “2018 Notes”). The 2018 Notes, which were senior unsecured obligations of the Company, paid interest semi-annually in arrears on August 1 and February 1 of each year at a rate of 4.25% per annum and matured on August 1, 2018. The initial conversion rate for the 2018 Notes was 114.3674 shares of the Company’s common stock per $1,000 principal amount of notes, equivalent to an initial conversion price of approximately $8.74 per share of common stock, subject to adjustment in certain events. In 2016, the Company repurchased and retired an aggregate of approximately $6.1 million principal amount of the 2018 Notes. In addition, approximately $0.1 million of the unamortized debt issuance costs were written off and a nominal gain was recognized in conjunction with the retirement of the 2018 Notes. During the first quarter of 2017, the Company exchanged and retired $39.1 million principal amount of the 2018 Notes at par for $24.1 million in cash and approximately 2.9 million shares of its common stock. During the second quarter of 2017, the Company exchanged and retired $12.0 million principal amount of the 2018 Notes at par for $11.6 million in cash and 112,400 shares of its common stock, and approximately $0.1 million of the unamortized debt issuance costs were written off and a $0.1 million gain was recognized in conjunction with the exchange and retirement of the 2018 Notes. In August 2017, the Company agreed with Oasis Management and Oasis Investments II Master Fund Ltd., (collectively, “Oasis”) the holder of approximately $21.5 million face amount of its 4.25% convertible senior notes due in 2018, to extend the maturity date of these notes to November 1, 2020. In addition, the interest rate was reduced to 3.25% per annum and the conversion rate was increased to 328.0302 shares of the Company’s common stock per $1,000 principal amount of notes, among other things. After execution of a definitive agreement for the modification and final approval by the other members of the Company’s Board of Directors and Oasis’ Investment Committee the transaction closed on November 7, 2017. In connection with this transaction, the Company recognized a loss on extinguishment of the debt of approximately $0.6 million. On July 26, 2018, the Company closed a transaction with Oasis to exchange $8.0 million face amount of the 4.25% convertible senior notes due in August 2018 with convertible senior notes similar to those issued to Oasis in November 2017. The new notes mature on November 1, 2020, accrue interest at an annual rate of 3.25% and are convertible into shares of the Company’s common stock at a rate of 322.2688 shares per $1,000 principal amount of the new notes. In connection with this transaction, the Company recognized a loss on extinguishment of the debt of approximately $0.5 million. The conversion price for the 3.25% convertible senior notes will be reset on November 1, 2018 and November 1, 2019 (each, a “ ” The remaining $13.2 million of 2018 Notes were redeemed at par at maturity on August 1, 2018. The Company has elected to measure and present the debt held by Oasis at fair value using Level 3 inputs and as a result, recognized a gain of $0.9 million for the three months ended September 30, 2018 and a loss of $2.5 million for the nine months ended September 30, 2018 related to changes in the fair value of the 3.25% 2020 Notes. At September 30, 2018 and December 31, 2017, the 3.25% 2020 Notes had a fair value of approximately $33.4 million and $22.5 million, respectively. The Company evaluated its credit risk as of September 30, 2018, and determined that there was no change from December 31, 2017. In June 2014, the Company sold an aggregate of $115.0 million principal amount of 4.875% convertible senior notes due 2020 (the “2020 Notes”). The 2020 Notes are senior unsecured obligations of the Company paying interest semi-annually in arrears on June 1 and December 1 of each year at a rate of 4.875% per annum and will mature on June 1, 2020. The initial and still current conversion rate for the 2020 Notes is 103.7613 shares of the Company’s common stock per $1,000 principal amount of notes, equivalent to an initial conversion price of approximately $9.64 per share of common stock, subject to adjustment in certain events. Upon conversion, the 2020 Notes will be settled in shares of the Company’s common stock. Holders of the 2020 Notes may require that the Company repurchase for cash all or some of their notes upon the occurrence of a fundamental change (as defined in the 2020 Notes). In January 2016, the Company repurchased and retired an aggregate of $2.0 million principal amount of the 2020 Notes. In addition, approximately $0.1 million of the unamortized debt issuance costs were written off and a $0.1 million gain was recognized in conjunction with the retirement of the 2020 Notes. The fair value of the 4.875% convertible senior notes payable due 2020 as of September 30, 2018 and December 31, 2017 was $97.3 million and $89.7 million, respectively, based upon the most recent quoted market prices. The fair values of the convertible senior notes are considered to be Level 3 measurements on the fair value hierarchy.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2018
Income Taxes	Note 7 — Income Taxes The Company’s income tax expense of $2.0 million for the three months ended September 30, 2018 reflects an effective tax rate of 11.1%. The Company’s income tax expense of $0.9 million for the three months ended September 30, 2017 reflects an effective tax rate of (5.5%). The majority of the tax expense for the three months ended September 30, 2018 relates to foreign income taxes and discrete items. The majority of the tax expense for the three months ended September 30, 2017 relates to foreign income taxes. The Company’s income tax expense of $1.7 million for the nine months ended September 30, 2018 reflects an effective tax rate of (4.6%). The majority of the tax expense for the nine months ended September 30, 2018 primarily relates to foreign income taxes, partially offset by discrete items. The Tax Cuts and Jobs Act was enacted on December 22, 2017. The Act reduces the U.S. federal corporate income tax rate from 35% to 21%, and requires companies to pay a one-time transition tax on earnings of certain foreign subsidiaries that were previously tax deferred and creates new taxes on certain foreign sourced earnings. Due to the timing of the enactment and the complexity involved in applying the provisions of the Act, we made reasonable estimates of the effects and recorded provisional amounts in our financial statements as of December 31, 2017. As we collect and prepare necessary data, and interpret the Act and any additional guidance issued by the U.S. Treasury Department, the Internal Revenue Service (IRS), and other standard-setting bodies, we may make adjustments to the provisional amounts. Those adjustments may materially affect our provision for income taxes and effective tax rate in the period in which the adjustments are made. No adjustments were made in the third quarter of 2018 as the provisional amounts as of December 31, 2017 remain reasonable. We will continue to make and refine our calculations as additional analysis is completed in 2018. The Act subjects a U.S. shareholder to tax on Global intangible low-taxed income (GILTI) earned by certain foreign subsidiaries. The FASB Staff Q&A, Topic 740, No. 5, Accounting for Global Intangible Low-Taxed Income, states that an entity can make an accounting policy election to either recognize deferred taxes for temporary basis differences expected to reverse as GILTI in future years or provide for the tax expense related to GILTI in the year the tax is incurred as a period expense only. Given the complexity of the GILTI provisions, we are still evaluating the effects of the GILTI provisions and have not yet determined our accounting policy. At September 30, 2018, because we are still evaluating the GILTI provisions and our analysis of future taxable income that is subject to GILTI, we have included GILTI related to current-year operations only. The GILTI provision does not impact the 2018 third quarter tax expense due to the fully valued tax attributes carryforward.

Income (Loss) Per Share

Income (Loss) Per Share	9 Months Ended
	Sep. 30, 2018
Income (Loss) Per Share	Note 8 — Income (Loss) Per Share The following table is a reconciliation of the weighted average shares used in the computation of income (loss) per share for the periods presented (in thousands, except per share data): Three Months Ended September 30, 2018 2017 Weighted Weighted Income Average Per- Income Average Per- (Loss) Shares Share (Loss) Shares Share Income (loss) per share — basic Net income (loss) available to common stockholders $ 15,682 23,106 $ 0.68 $ (17,614 ) 22,772 $ (0.77 ) Effect of dilutive securities: Convertible senior notes 1,487 21,426 — — Unvested performance stock grants — 832 — — Unvested restricted stock grants — 322 — — Income (loss) per share — diluted Net income (loss) available to common stockholders plus assumed exercises and conversion $ 17,169 45,686 $ 0.38 $ (17,614 ) 22,772 $ (0.77 ) Nine Months Ended September 30, 2018 2017 Weighted Weighted Income Average Per- Income Average Per- (Loss) Shares Share (Loss) Shares Share Income (loss) per share — basic Net income (loss) available to common stockholders $ (39,121 ) 23,104 $ (1.69 ) $ (52,672 ) 20,848 $ (2.53 ) Effect of dilutive securities: Convertible senior notes — — — — Unvested performance stock grants — — — — Unvested restricted stock grants — — — — Income (loss) per share — diluted Net income (loss) available to common stockholders plus assumed exercises and conversion $ (39,121 ) 23,104 $ (1.69 ) $ (52,672 ) 20,848 $ (2.53 ) Basic income (loss) per share is calculated using the weighted average number of common shares outstanding during the period. Diluted earnings per share is calculated using the weighted average number of common shares and common share equivalents outstanding during the period (which consist of warrants, options, restricted stock awards, restricted stock units and convertible debt to the extent they are dilutive). The weighted average number of common shares outstanding excludes shares repurchased pursuant to a prepaid forward share repurchase agreement associated with the issuance of the convertible senior notes due 2020. Common share equivalents that could potentially dilute basic earnings per share in the future, which were excluded from the computation of diluted earnings per share due to being anti-dilutive, totaled approximately 2,894,029 and 20,215,325 for the three months ended September 30, 2018 and 2017, respectively, and 25,332,390 and 21,502,935 for the nine months ended September 30, 2018 and 2017, respectively.

Common Stock and Preferred Stoc

Common Stock and Preferred Stock	9 Months Ended
	Sep. 30, 2018
Common Stock and Preferred Stock	Note 9 — Common Stock and Preferred Stock In January and February 2017, the Company issued an aggregate of 873,787 shares of restricted stock at a value of approximately $4.5 million to two executive officers, which vest, subject to certain company financial performance criteria and market conditions, over a three year period. In addition, an aggregate of 94,102 shares of restricted stock at an aggregate value of approximately $0.5 million were issued to its five non-employee directors, which vested in January 2018. In January and February 2017, the Company issued an aggregate of 2,865,000 shares of its common stock at a value of $15.1 million to holders of its 2018 convertible senior notes as partial consideration for the exchange at par of $39.1 million principal amount of such notes. In March 2017, the Company entered into an agreement to issue 3,660,891 shares of its common stock at an aggregate price of $19.3 million to a Hong Kong affiliate of its China joint venture partner. After their shareholder and China regulatory approval, the transaction closed on April 27, 2017. Upon the closing, the Company added a representative of Meisheng as a non-employee director and issued 13,319 shares of restricted stock at a value of $0.1 million, which vested in January 2018. In June 2017, the Company issued an aggregate of 112,400 shares of its common stock at a value of approximately $0.4 million to holders of its 2018 convertible senior notes as partial consideration for the exchange at par of $11.6 million principal amount of such notes. In January 2018, the Company issued an aggregate of 1,914,894 shares of restricted stock at a value of approximately $4.5 million to two executive officers, which vest, subject to certain company financial performance criteria and market conditions, over a three year period. In addition, an aggregate of 249,480 shares of restricted stock at an aggregate value of approximately $0.6 million were issued to its six non-employee directors, which vest in January 2019. All issuances of common stock, including those issued pursuant to stock option and warrant exercises, restricted stock grants and acquisitions, are issued from the Company’s authorized but not issued and outstanding shares. No dividend was declared or paid in the nine months ended September 30, 2018 or 2017.

Joint Ventures

Joint Ventures	9 Months Ended
	Sep. 30, 2018
Joint Ventures	Note 10 — Joint Ventures The Company owns a fifty percent interest in a joint venture (“Pacific Animation Partners”) with the U.S. entertainment subsidiary of a leading Japanese advertising and animation production company. The joint venture was created to develop and produce a boys’ animated television show, which it licensed worldwide for television broadcast as well as consumer products. The Company produced toys based upon the television program under a license from the joint venture which also licensed certain other merchandising rights to third parties. The joint venture completed and delivered 65 episodes of the show, which began airing in February 2012, and has since ceased production of the television show. For the three and nine months ended September 30, 2018, the Company recognized income from the joint venture of nil and $22,000, respectively. For the three and nine months ended September 30, 2017, the Company recognized nil for funds received related to the joint venture. As of September 30, 2018 and December 31, 2017, the balance of the investment in the Pacific Animation Partners joint venture is nil. For the three and nine months ended September 30, 2018, respectively, the Company recognized nil and $0.2 million of income for funds received related to a former video game joint venture in partial settlement of amounts owed to the Company when our joint venture partner was liquidated pursuant to their 2012 bankruptcy filing. For the three and nine months ended September 30, 2017, respectively, the Company recognized nil and $0.1 million of income for funds received related to a former video game joint venture in partial settlement of amounts owed to the Company when our joint venture partner was liquidated pursuant to their 2012 bankruptcy filing. In September 2012, the Company entered into a joint venture (“DreamPlay Toys”) with NantWorks LLC (“NantWorks”) in which it owns a fifty percent interest. Pursuant to the operating agreement of DreamPlay Toys, the Company paid to NantWorks cash in the amount of $8.0 million and issued NantWorks a warrant to purchase 1.5 million shares of the Company’s common stock at a value of $7.0 million in exchange for the exclusive right to arrange for the provision of the NantWorks recognition technology platform for toy products. The Company had classified these rights as an intangible asset, which was being amortized over the anticipated revenue stream from the exploitation of these rights. However, the Company has abandoned the use of the technology in connection with its toy products and no future sales are anticipated, and the Company recorded an impairment charge to income of $2.9 million to write off the remaining unamortized technology rights during the third quarter of 2017. The Company retains the financial risk of the joint venture and is responsible for the day-to-day operations, which are expected to be nominal in future periods. The results of operations of the joint venture are consolidated with the Company’s results. In addition, in 2012, the Company invested $7.0 million in cash in exchange for a five percent economic interest in a related entity, DreamPlay, LLC, that was expected to monetize the exploitation of the recognition technologies in non-toy consumer product categories. Adoption of the technology has been inadequate to establish a commercially viable market for the technology. NantWorks has the right to repurchase the Company’s interest for $7.0 million, but the Company does not anticipate that NantWorks will do so. As of September 30, 2017, the Company determined the value of this investment will not be realized and that full impairment of the value had occurred. Accordingly, the Company recorded an impairment charge of $7.0 million during the quarter ended September 30, 2017. In November 2014, the Company entered into a joint venture with Meisheng Culture & Creative Corp., for the purpose of providing certain JAKKS licensed and non-licensed toys and consumer products to agreed-upon territories of the People’s Republic of China. The joint venture includes a subsidiary in the Shanghai Free Trade Zone that sells, distributes and markets these products, which include dolls, plush, role play products, action figures, costumes, seasonal items, technology and app-enhanced toys, based on entertainment licenses and JAKKS’ own proprietary brands. The Company owns fifty-one percent of the joint venture and consolidates the joint venture since control rests with the Company. The non-controlling interest’s share of the income was $17,000 and $45,000 for the three months ended September 30, 2018 and 2017, respectively, and $39,000 and $131,000 for the nine months ended September 30, 2018 and 2017, respectively. In October 2016, the Company entered into a joint venture with Hong Kong Meisheng Cultural Company Limited, a Hong Kong-based subsidiary of Meisheng (“HK Meisheng”), for the purpose of creating and developing original, multiplatform content for children including new short-form series and original shows. JAKKS and HK Meisheng each own fifty percent of the joint venture and will jointly own the content. JAKKS will retain merchandising rights for kids’ consumer products in all markets except China, which Meisheng will oversee through the Company’s existing distribution joint venture. The non-controlling interest’s share of the loss from the joint venture for three and nine months ended September 30, 2018 and 2017 was nil. As of April 27, 2017, Hong Kong Meisheng Cultural Company Limited beneficially owns more than 10% of the Company’s outstanding common stock.

Goodwill

Goodwill	9 Months Ended
	Sep. 30, 2018
Goodwill	Note 11 — Goodwill The changes to the carrying amount of goodwill as of September 30, 2018 are summarized as follows (in thousands): Total Balance, December 31, 2017 $ 35,384 Adjustments to goodwill for foreign currency translation (187 ) Balance, September 30, 2018 $ 35,197 The Company applies a fair value-based impairment test to the carrying value of goodwill and indefinite-lived intangible assets on an annual basis and, on an interim basis, if certain events or circumstances indicate that an impairment loss may have been incurred. Goodwill impairment exists when the estimated fair value of goodwill is less than its carrying value. Based on the Company’s April 1 annual assessment, it determined that the fair values of its reporting units were not less than the carrying amounts. No goodwill impairment was determined to have occurred for the nine months ended September 30, 2018. A charge of $8.3 million for goodwill impairment was recorded during the three and nine months ended September 30, 2017.

Intangible Assets Other Than Go

Intangible Assets Other Than Goodwill	9 Months Ended
	Sep. 30, 2018
Intangible Assets Other Than Goodwill	Note 12 — Intangible Assets Other Than Goodwill Intangible assets other than goodwill consist primarily of licenses, product lines, customer relationships and trademarks. Amortized intangible assets are included in intangibles in the accompanying condensed consolidated balance sheets. Trademarks are disclosed separately in the accompanying condensed consolidated balance sheets. Intangible assets as of September 30, 2018 and December 31, 2017 include the following (in thousands, except for weighted useful lives): September 30, 2018 December 31, 2017 Weighted Useful Lives Gross Carrying Amount Accumulated Amortization Net Amount Gross Carrying Amount Accumulated Amortization Net Amount (Years) Amortized Intangible Assets: Licenses 5.81 $ 20,130 $ (19,228 ) $ 902 $ 20,130 $ (18,620 ) $ 1,510 Product lines 10.36 33,858 (16,283 ) 17,575 33,858 (13,178 ) 20,680 Customer relationships 4.90 3,152 (3,152 ) __ 3,152 (3,152 ) — Trade names 5.00 3,000 (3,000 ) — 3,000 (3,000 ) — Non-compete agreements 5.00 200 (200 ) — 200 (200 ) — Total amortized intangible assets $ 60,340 $ (41,863 ) $ 18,477 $ 60,340 $ (38,150 ) $ 22,190 Unamortized Intangible Assets: Trademarks $ 300 $ — $ 300 $ 300 $ — $ 300

Comprehensive Income (Loss)

Comprehensive Income (Loss)	9 Months Ended
	Sep. 30, 2018
Comprehensive Income (Loss)	Note 13 — Comprehensive Income (Loss) The table below presents the components of the Company’s comprehensive income (loss) for the three and nine months ended September 30, 2018 and 2017 (in thousands): Three Months Ended Nine Months Ended 2018 2017 2018 2017 Net Income (Loss) $ 15,699 $ (17,569 ) $ (39,082 ) $ (52,541 ) Other comprehensive income (loss): Foreign currency translation adjustment (1,149 ) 1,662 (1,489 ) 4,128 Comprehensive income (loss) 14,550 (15,907 ) (40,571 ) (48,413 ) Less: Comprehensive income (loss) attributable to non-controlling interests 17 45 39 131 Comprehensive income (loss) attributable to JAKKS Pacific, Inc. $ 14,533 $ (15,952 ) $ (40,610 ) $ (48,544 )

Litigation

Litigation	9 Months Ended
	Sep. 30, 2018
Litigation	Note 14 — Litigation The Company is a party to, and certain of its property is the subject of, various pending claims and legal proceedings that routinely arise in the ordinary course of its business, but the Company does not believe that any of these claims or proceedings will have a material effect on its business, financial condition or results of operations.

Share-Based Payments

Share-Based Payments	9 Months Ended
	Sep. 30, 2018
Share-Based Payments	Note 15 — Share-Based Payments The Company’s 2002 Stock Award and Incentive Plan The following table summarizes the total share-based compensation expense and the related tax benefits recognized for the three and nine months ended September 30, 2018 and 2017 (in thousands): Three Months Ended Nine Months Ended 2018 2017 2018 2017 Restricted stock compensation expense $ 760 $ 793 $ 1,747 $ 2,253 Tax benefit related to restricted stock compensation — — — — Restricted Stock Awards Restricted stock award activity (including those with performance-based vesting criteria) for the nine months ended September 30, 2018 is summarized as follows: Restricted Stock Awards Number of Shares Weighted Average Grant Date Fair Value Outstanding, December 31, 2017 981,208 $ 4.12 Awarded 2,164,374 1.88 Released (194,800 ) 5.14 Forfeited — — Outstanding, September 30, 2018 2,950,782 2.41 As of September 30, 2018, there was $3.4 million of total unrecognized compensation cost related to non-vested restricted stock awards, which is expected to be recognized over a weighted-average period of 2.52 years. Restricted Stock Units Restricted stock unit activity (including those with performance-based vesting criteria) for the nine months ended September 30, 2018 is summarized as follows: Restricted Stock Units Number of Shares Weighted Average Grant Date Fair Value Outstanding, December 31, 2017 959,192 $ 4.68 Awarded 357,143 1.96 Released (125,290 ) 5.15 Forfeited (93,229 ) 4.52 Outstanding, September 30, 2018 1,097,816 3.76 As of September 30, 2018, there was $2.3 million of total unrecognized compensation cost related to non-vested restricted stock units, which is expected to be recognized over a weighted-average period of 2.05 years. Stock Options There has been no stock option activity pursuant to the Plan .

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2018
Fair Value Measurements	Note 16 — Fair Value Measurements Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. In determining fair value, the Company uses various methods including market, income and cost approaches. Based upon these approaches, the Company often utilizes certain assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and/or the risks inherent in the inputs to the valuation technique. These inputs can be readily observable, market-corroborated, or unobservable inputs. The Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. Based upon observable inputs used in the valuation techniques, the Company is required to provide information according to the fair value hierarchy. The fair value hierarchy ranks the quality and reliability of the information used to determine fair values into three broad levels as follows: Level 1: Valuations for assets and liabilities traded in active markets from readily available pricing sources for market transactions involving identical assets or liabilities. Level 2: Valuations for assets and liabilities traded in less active dealer or broker markets. Valuations are obtained from third-party pricing services for identical or similar assets or liabilities. Level 3: Valuations incorporate certain assumptions and projections in determining the fair value assigned to such assets or liabilities. In instances where the determination of the fair value measurement is based upon inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the entire fair value measurement falls is based upon the lowest level input that is significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the asset or liability. The following tables summarize our financial assets and liabilities measured at fair value on a recurring basis as of September 30, 2018 and December 31, 2017 (in thousands): Carrying Amount as of Fair Value Measurements As of September 30, 2018 September 30, 2018 Level 1 Level 2 Level 3 Cash equivalents $ — $ — $ — $ — 3.25% convertible senior notes due in 2020 (33,436 ) — — (33,436 ) Carrying Amount as of Fair Value Measurements As of December 31, 2017 December 31, 2017 Level 1 Level 2 Level 3 Cash equivalents $ 13,718 $ 13,718 $ — $ — 3.25% convertible senior notes due in 2020 (22,469 ) — — (22,469 ) The following table provides a reconciliation of the beginning and ending balances of assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) (in thousands): 2018 Balance at January 1, 2018 $ (22,469 ) Issuance of 3.25% Convertible Senior Notes due in 2020 (8,453 ) Change in fair value (2,514 ) Balance at September 30, 2018 $ (33,436 )

Liquidity

Liquidity	9 Months Ended
	Sep. 30, 2018
Liquidity	Note 17 — Liquidity As of September 30, 2018 and December 31, 2017, the Company held cash and cash equivalents, including restricted cash, of $57.1 million and $65.0 million, respectively. Cash, and cash equivalents, including restricted cash held outside of the United States in various foreign subsidiaries totaled $37.3 million and $52.8 million as of September 30, 2018 and December 31, 2017, respectively. The cash and cash equivalents, including restricted cash balances in our foreign subsidiaries have either been fully taxed in the U.S. or tax has been accounted for in connection with the Tax Cuts and Jobs Act, or may be eligible for a full foreign dividends received deduction under such Act, and thus would not be subject to additional U.S. tax should such amounts be repatriated in the form of dividends or deemed distributions. Any such repatriation may result in foreign withholding taxes, which the Company expects would not be significant as of September 30, 2018. The Company’s primary sources of working capital are cash flows from operations and borrowings under its credit facility (see Note 5 - Credit Facilities in the accompanying notes to the condensed consolidated financial statements for additional information). Typically, cash flows from operations are impacted by the effect on sales of (1) the appeal of the Company’s products, (2) the success of its licensed brands, (3) the highly competitive conditions existing in the toy industry, (4) dependency on a limited set of large customers, and (5) general economic conditions. A downturn in any single factor or a combination of factors could have a material adverse impact upon the Company’s ability to generate sufficient cash flows to operate the business. In addition, the Company’s business and liquidity are dependent to a significant degree on its vendors and their financial health, as well as the ability to accurately forecast the demand for products. The loss of a key vendor, or material changes in support by them, or a significant variance in actual demand compared to the forecast, can have a material adverse impact on the Company’s cash flows and business. Given the conditions in the toy industry environment in general, vendors, including licensors, may seek further assurances or take actions to protect against non-payment of amounts due to them. Changes in this area could have a material adverse impact on the Company’s liquidity. Cash and cash equivalents, including restricted cash, projected cash flow from operations and borrowings under the Company’s credit facility should be sufficient to meet working capital and capital expenditure requirements, for the next 12 months with certain mitigating plans described herein. In October 2018, the Company initiated a global restructuring program (“Corporate Restructuring”) to adapt the Company’s cost structure and overhead to the evolving retail landscape. The Company believes the Corporate Restructuring will generate savings of between $10.0 million and $15.0 million on an annualized basis. On July 26, 2018, the Company exchanged $8.0 million of the 2018 convertible notes for convertible notes that mature in November 2020 with terms similar to the convertible notes issued in November 2017 (see Note 6 — Convertible Senior Notes in the accompanying notes to the condensed consolidated financial statements for additional information). On June 14, 2018, the Company secured a $20.0 million term loan from Great American Capital Partners Finance Co., LLC (“GACP”) with the amount advanced based primarily on certain types of inventory. In addition, on June 14, 2018, the Company expanded the credit facility with Wells Fargo to add certain of the Company’s Hong Kong based subsidiaries in order to include the receivables of these subsidiaries in the borrowing base computation, subject to certain limitations, thereby effectively increasing the amount of funds that the Company could borrow under the credit facility. The GACP term loan matures upon the earlier of (i) June 14, 2021, (ii) the termination date of the Wells Fargo credit facility, or March 27, 2019, and (iii) the date that is 91 days prior to the maturity of various of the Company’s convertible senior notes due in 2020. The Company is currently in the initial phases of negotiating to amend and extend the Wells Fargo credit facility, which would also effectively extend the GACP term loan. In addition, the Special Committee of the Board of Directors continues its discussions with Meisheng regarding negotiation of a definitive agreement for Meisheng’s Expression of Interest to acquire additional shares of the Company, which as currently proposed would involve restructuring or refinancing of the Company's outstanding convertible senior notes and other indebtedness. The Company cannot make assurances that it will be able to close the aforementioned amendment to the credit facility or a transaction with Meisheng (or another interested party), or that it will have the financial resources required to obtain, or that the conditions of the capital markets will support, any future debt or equity financings. In addition, the Company’s ability to fund operations and retire its debt when due is dependent on a number of factors, some of which are beyond its control and/or inherently difficult to estimate, including our future operating performance and the factors mentioned above and included in “Risk Factors” in Item 1A of this Form 10-Q. If the Company is unable to amend its credit facility to extend the term or secure another source of capital, such as the Meisheng transaction on commercially reasonable terms, the Company may be required to take additional measures, such as further reorganizations of cost structure and adjusting inventory purchases and/or payment terms with suppliers, which could have a material adverse impact on the Company’s revenues and business. As of September 30, 2018, the Company did not have any off-balance sheet arrangements.

Subsequent Event

Subsequent Event	9 Months Ended
	Sep. 30, 2018
Subsequent Event	Note 18 — Subsequent Event In October 2018, our management approved, committed to and commenced the implementation of a Company-wide restructuring initiative (“Corporate Restructuring”) to adapt our cost structure and overhead to the evolving retail landscape. The Corporate Restructuring includes a reduction in force of approximately 12-15% of our global workforce, the consolidation of certain facilities, the reorganization of certain functions, and the reduction of outside temporary contractors and other discretionary spend. The Company expects to incur restructuring charges of approximately $2.0 million, including cash payments related to employee separation benefits.

Business Segments, Geographic_2

Business Segments, Geographic Data, and Sales by Major Customers (Tables)	9 Months Ended
	Sep. 30, 2018
Information by Segment and Reconciliation to Reported Amounts	Information by segment and a reconciliation to reported amounts for the three and nine months ended September 30, 2018 and 2017 and as of September 30, 2018 and December 31, 2017 are as follows (in thousands): Three Months Ended Nine Months Ended 2018 2017 2018 2017 Net Sales U.S. and Canada $ 133,481 $ 154,046 $ 263,397 $ 295,098 International 37,902 50,141 77,245 87,583 Halloween 65,316 58,226 94,842 93,802 $ 236,699 $ 262,413 $ 435,484 $ 476,483 Three Months Ended Nine Months Ended 2018 2017 2018 2017 Income (Loss) from Operations U.S. and Canada $ 12,029 $ (6,760 ) $ (17,373 ) $ (24,155 ) International 2,919 (735 ) (6,764 ) (3,986 ) Halloween 5,095 (251 ) (3,618 ) (9,437 ) $ 20,043 $ (7,746 ) $ (27,755 ) $ (37,578 ) Three Months Ended Nine Months Ended 2018 2017 2018 2017 Depreciation and Amortization Expense U.S. and Canada $ 4,823 $ 5,682 $ 10,125 $ 13,107 International 1,312 1,811 2,886 3,693 Halloween 428 808 980 1,614 $ 6,563 $ 8,301 $ 13,991 $ 18,414 September 30, December 31, Assets U.S. and Canada $ 271,100 $ 229,505 International 118,781 106,255 Halloween 57,710 34,589 $ 447,591 $ 370,349
Information by Geographic Area	The following tables present information about the Company by geographic area as of September 30, 2018 and December 31, 2017 and for the three and nine months ended September 30, 2018 and 2017 (in thousands): September 30, December 31, 2018 2017 Long-lived Assets China $ 15,867 $ 17,194 United States 5,113 5,755 Hong Kong 207 278 $ 21,187 $ 23,227 Three Months Ended Nine months ended September 30, September 30, 2018 2017 2018 2017 Net Sales by Customer Area United States $ 186,497 $ 199,064 $ 337,543 $ 367,694 Europe 25,606 33,640 49,542 56,537 Canada 11,091 11,062 18,663 18,086 Hong Kong 1,182 397 1,709 784 Other 12,323 18,250 28,027 33,382 $ 236,699 $ 262,413 $ 435,484 $ 476,483
Net Sales to Major Customers	Net sales to major customers for the three and nine months ended September 30, 2018 and 2017 were as follows (in thousands, except for percentages): Three Months Ended September 30, Nine months ended September 30, 2018 2017 2018 2017 Amount Percentage of Net Sales Amount Percentage of Net Sales Amount Percentage of Net Sales Amount Percentage of Net Sales Wal-Mart $ 64,133 27.1 % $ 70,768 27.0 % $ 107,344 24.6 % $ 118,819 24.9 % Target 50,797 21.5 44,502 17.0 87,641 20.1 77,674 16.3 Toys ‘R’ Us * * 22,741 8.7 * * 49,760 10.4 * Sales to Toys ‘R’ Us in the applicable periods were less than 10% of total sales

Inventory (Tables)

Inventory (Tables)	9 Months Ended
	Sep. 30, 2018
Net of Inventory Obsolescence Reserve	Inventory, which includes the ex-factory cost of goods, in-bound freight, duty and capitalized warehouse costs, is valued at the lower of cost (first-in, first-out) or net realizable value, net of inventory obsolescence reserve, and consists of the following (in thousands): September 30, December 31, Raw materials $ 1,094 $ 1,596 Finished goods 63,357 56,836 $ 64,451 $ 58,432

Convertible Senior Notes (Table

Convertible Senior Notes (Tables)	9 Months Ended
	Sep. 30, 2018
Convertible Senior Notes	Convertible senior notes consist of the following (in thousands): September 30, 2018 December 31, 2017 Principal/ Debt Principal/ Debt Fair Value Issuance Net Fair Value Issuance Net Amount Costs Amount Amount Costs Amount 4.25% convertible senior notes (due 2018) $ ― $ ― $ ― $ 21,178 $ 103 $ 21,075 4.875% convertible senior notes (due 2020) 113,000 1,380 111,620 113,000 1,972 111,028 3.25% convertible senior notes (due 2020) * 33,436 ― 33,436 22,469 ― 22,469 Total convertible senior notes, net of debt issuance costs $ 146,436 $ 1,380 $ 145,056 $ 156,647 $ 2,075 $ 154,572 * The amount presented for the 3.25% 2020 convertible senior notes within the table represents the fair value as of September

Income (Loss) Per Share (Tables

Income (Loss) Per Share (Tables)	9 Months Ended
	Sep. 30, 2018
Reconciliation of Weighted Average Shares Used in Computation of Income (Loss) Per Share	The following table is a reconciliation of the weighted average shares used in the computation of income (loss) per share for the periods presented (in thousands, except per share data): Three Months Ended September 30, 2018 2017 Weighted Weighted Income Average Per- Income Average Per- (Loss) Shares Share (Loss) Shares Share Income (loss) per share — basic Net income (loss) available to common stockholders $ 15,682 23,106 $ 0.68 $ (17,614 ) 22,772 $ (0.77 ) Effect of dilutive securities: Convertible senior notes 1,487 21,426 — — Unvested performance stock grants — 832 — — Unvested restricted stock grants — 322 — — Income (loss) per share — diluted Net income (loss) available to common stockholders plus assumed exercises and conversion $ 17,169 45,686 $ 0.38 $ (17,614 ) 22,772 $ (0.77 ) Nine Months Ended September 30, 2018 2017 Weighted Weighted Income Average Per- Income Average Per- (Loss) Shares Share (Loss) Shares Share Income (loss) per share — basic Net income (loss) available to common stockholders $ (39,121 ) 23,104 $ (1.69 ) $ (52,672 ) 20,848 $ (2.53 ) Effect of dilutive securities: Convertible senior notes — — — — Unvested performance stock grants — — — — Unvested restricted stock grants — — — — Income (loss) per share — diluted Net income (loss) available to common stockholders plus assumed exercises and conversion $ (39,121 ) 23,104 $ (1.69 ) $ (52,672 ) 20,848 $ (2.53 )

Goodwill (Tables)

Goodwill (Tables)	9 Months Ended
	Sep. 30, 2018
Changes to Carrying Amount of Goodwill	The changes to the carrying amount of goodwill as of September 30, 2018 are summarized as follows (in thousands): Total Balance, December 31, 2017 $ 35,384 Adjustments to goodwill for foreign currency translation (187 ) Balance, September 30, 2018 $ 35,197

Intangible Assets Other Than _2

Intangible Assets Other Than Goodwill (Tables)	9 Months Ended
	Sep. 30, 2018
Intangible Assets	Intangible assets as of September 30, 2018 and December 31, 2017 include the following (in thousands, except for weighted useful lives): September 30, 2018 December 31, 2017 Weighted Useful Lives Gross Carrying Amount Accumulated Amortization Net Amount Gross Carrying Amount Accumulated Amortization Net Amount (Years) Amortized Intangible Assets: Licenses 5.81 $ 20,130 $ (19,228 ) $ 902 $ 20,130 $ (18,620 ) $ 1,510 Product lines 10.36 33,858 (16,283 ) 17,575 33,858 (13,178 ) 20,680 Customer relationships 4.90 3,152 (3,152 ) __ 3,152 (3,152 ) — Trade names 5.00 3,000 (3,000 ) — 3,000 (3,000 ) — Non-compete agreements 5.00 200 (200 ) — 200 (200 ) — Total amortized intangible assets $ 60,340 $ (41,863 ) $ 18,477 $ 60,340 $ (38,150 ) $ 22,190 Unamortized Intangible Assets: Trademarks $ 300 $ — $ 300 $ 300 $ — $ 300

Comprehensive Income (Loss) (Ta

Comprehensive Income (Loss) (Tables)	9 Months Ended
	Sep. 30, 2018
Components of Comprehensive Income (Loss)	Three Months Ended Nine Months Ended 2018 2017 2018 2017 Net Income (Loss) $ 15,699 $ (17,569 ) $ (39,082 ) $ (52,541 ) Other comprehensive income (loss): Foreign currency translation adjustment (1,149 ) 1,662 (1,489 ) 4,128 Comprehensive income (loss) 14,550 (15,907 ) (40,571 ) (48,413 ) Less: Comprehensive income (loss) attributable to non-controlling interests 17 45 39 131 Comprehensive income (loss) attributable to JAKKS Pacific, Inc. $ 14,533 $ (15,952 ) $ (40,610 ) $ (48,544 )

Share-Based Payments (Tables)

Share-Based Payments (Tables)	9 Months Ended
	Sep. 30, 2018
Total Share-Based Compensation Expense and Related Tax Benefits Recognized	The following table summarizes the total share-based compensation expense and the related tax benefits recognized for the three and nine months ended September 30, 2018 and 2017 (in thousands): Three Months Ended Nine Months Ended 2018 2017 2018 2017 Restricted stock compensation expense $ 760 $ 793 $ 1,747 $ 2,253 Tax benefit related to restricted stock compensation — — — —
Restricted Stock Award Activity	Restricted stock award activity (including those with performance-based vesting criteria) for the nine months ended September 30, 2018 is summarized as follows: Restricted Stock Awards Number of Shares Weighted Average Grant Date Fair Value Outstanding, December 31, 2017 981,208 $ 4.12 Awarded 2,164,374 1.88 Released (194,800 ) 5.14 Forfeited — — Outstanding, September 30, 2018 2,950,782 2.41
Restricted Stock Unit Activity	Restricted stock unit activity (including those with performance-based vesting criteria) for the nine months ended September 30, 2018 is summarized as follows: Restricted Stock Units Number of Shares Weighted Average Grant Date Fair Value Outstanding, December 31, 2017 959,192 $ 4.68 Awarded 357,143 1.96 Released (125,290 ) 5.15 Forfeited (93,229 ) 4.52 Outstanding, September 30, 2018 1,097,816 3.76

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2018
Financial Assets and Liabilities Measured at Fair Value on Recurring Basis	The following tables summarize our financial assets and liabilities measured at fair value on a recurring basis as of September 30, 2018 and December 31, 2017 (in thousands): Carrying Amount as of Fair Value Measurements As of September 30, 2018 September 30, 2018 Level 1 Level 2 Level 3 Cash equivalents $ — $ — $ — $ — 3.25% convertible senior notes due in 2020 (33,436 ) — — (33,436 ) Carrying Amount as of Fair Value Measurements As of December 31, 2017 December 31, 2017 Level 1 Level 2 Level 3 Cash equivalents $ 13,718 $ 13,718 $ — $ — 3.25% convertible senior notes due in 2020 (22,469 ) — — (22,469 )
Reconciliation of Beginning and Ending Balances of Assets Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3)	The following table provides a reconciliation of the beginning and ending balances of assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) (in thousands): 2018 Balance at January 1, 2018 $ (22,469 ) Issuance of 3.25% Convertible Senior Notes due in 2020 (8,453 ) Change in fair value (2,514 ) Balance at September 30, 2018 $ (33,436 )

Business Segments, Geographic_3

Business Segments, Geographic Data, and Sales by Major Customers - Additional Information (Detail) $ in Millions	9 Months Ended	12 Months Ended
	Sep. 30, 2018USD ($)SegmentCustomer	Dec. 31, 2017SegmentCustomer	Mar. 15, 2018Store
Segment Reporting Information [Line Items]
Number of reporting segments | Segment	3	3
Toys "R" Us
Segment Reporting Information [Line Items]
Pre and post-petition gross accounts receivable | $	$ 20.7
Toys "R" Us | United States
Segment Reporting Information [Line Items]
Number of stores | Store			735
Net Accounts Receivable | Customer Concentration Risk
Segment Reporting Information [Line Items]
Number of major customers | Customer	3	3
Net Accounts Receivable | Toys "R" Us | Customer Concentration Risk
Segment Reporting Information [Line Items]
Concentration risk percentage	8.70%	26.40%
Net Accounts Receivable | Three Largest Customers | Customer Concentration Risk
Segment Reporting Information [Line Items]
Concentration risk percentage	46.00%	60.60%

Information by Segment and Reco

Information by Segment and Reconciliation to Reported Amounts (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017
Segment Reporting Information [Line Items]
Net Sales	$ 236,699	$ 262,413	$ 435,484	$ 476,483
Income (Loss) from Operations	20,043	(7,746)	(27,755)	(37,578)
Depreciation and Amortization Expense	6,563	8,301	13,991	18,414
Assets	447,591		447,591		$ 370,349
U.S. and Canada
Segment Reporting Information [Line Items]
Net Sales	133,481	154,046	263,397	295,098
Income (Loss) from Operations	12,029	(6,760)	(17,373)	(24,155)
Depreciation and Amortization Expense	4,823	5,682	10,125	13,107
Assets	271,100		271,100		229,505
International
Segment Reporting Information [Line Items]
Net Sales	37,902	50,141	77,245	87,583
Income (Loss) from Operations	2,919	(735)	(6,764)	(3,986)
Depreciation and Amortization Expense	1,312	1,811	2,886	3,693
Assets	118,781		118,781		106,255
Halloween
Segment Reporting Information [Line Items]
Net Sales	65,316	58,226	94,842	93,802
Income (Loss) from Operations	5,095	(251)	(3,618)	(9,437)
Depreciation and Amortization Expense	428	$ 808	980	$ 1,614
Assets	$ 57,710		$ 57,710		$ 34,589

Information by Geographic Area

Information by Geographic Area (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived Assets	$ 21,187		$ 21,187		$ 23,227
Net Sales	236,699	$ 262,413	435,484	$ 476,483
China
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived Assets	15,867		15,867		17,194
United States
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived Assets	5,113		5,113		5,755
Net Sales	186,497	199,064	337,543	367,694
Hong Kong
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived Assets	207		207		$ 278
Net Sales	1,182	397	1,709	784
Europe
Revenues from External Customers and Long-Lived Assets [Line Items]
Net Sales	25,606	33,640	49,542	56,537
Canada
Revenues from External Customers and Long-Lived Assets [Line Items]
Net Sales	11,091	11,062	18,663	18,086
Other
Revenues from External Customers and Long-Lived Assets [Line Items]
Net Sales	$ 12,323	$ 18,250	$ 28,027	$ 33,382

Net Sales to Major Customers (D

Net Sales to Major Customers (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Revenue, Major Customer [Line Items]
Net Sales	$ 236,699	$ 262,413	$ 435,484	$ 476,483
Wal-Mart
Revenue, Major Customer [Line Items]
Net Sales	64,133	70,768	107,344	118,819
Target
Revenue, Major Customer [Line Items]
Net Sales	$ 50,797	44,502	$ 87,641	77,674
Toys "R" Us
Revenue, Major Customer [Line Items]
Net Sales		$ 22,741		$ 49,760
Net Sales | Wal-Mart | Customer Concentration Risk
Revenue, Major Customer [Line Items]
Percentage of Net Sales from major customer	27.10%	27.00%	24.60%	24.90%
Net Sales | Target | Customer Concentration Risk
Revenue, Major Customer [Line Items]
Percentage of Net Sales from major customer	21.50%	17.00%	20.10%	16.30%
Net Sales | Toys "R" Us | Customer Concentration Risk
Revenue, Major Customer [Line Items]
Percentage of Net Sales from major customer		8.70%		10.40%

Net Sales to Major Customers (P

Net Sales to Major Customers (Parenthetical) (Detail)	9 Months Ended
	Sep. 30, 2018
Revenue, Major Customer [Line Items]
Concentration risk, benchmark description	Sales to Toys 'R' Us in the applicable periods were less than 10% of total sales

Inventory Valued at Lower of Co

Inventory Valued at Lower of Cost (First-in, First-out) or Market, Net of Inventory Obsolescence Reserve (Detail) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Inventory [Line Items]
Raw materials	$ 1,094	$ 1,596
Finished goods	63,357	56,836
Inventory, net	$ 64,451	$ 58,432

Revenue Recognition and Reser_2

Revenue Recognition and Reserve for Sales Returns and Allowances - Additional Information (Detail) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2018	Dec. 31, 2017
Significant Accounting Policies [Line Items]
Reserve for sales returns and allowances	$ 30,270	$ 17,622
Minimum
Significant Accounting Policies [Line Items]
Discount on invoiced amount of products	1.00%
Maximum
Significant Accounting Policies [Line Items]
Discount on invoiced amount of products	12.00%

Credit Facilities - Additional

Credit Facilities - Additional Information (Detail) - USD ($)	Jul. 26, 2018	Mar. 31, 2014	Jul. 31, 2013	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017	Oct. 31, 2018	Jun. 14, 2018
Line of Credit Facility [Line Items]
Debt instrument, face amount				$ 146,436,000		$ 146,436,000		$ 156,647,000
Debt issuance cost										$ 1,400,000
Amortization expense debt issuance				400,000		$ 500,000
Great American Capital Partners Finance Co LLC
Line of Credit Facility [Line Items]
Line of credit facility, maturity date description						The GACP term loan matures upon the earlier of (i) June 14, 2021, (ii) the termination date of the Wells Fargo credit facility, or March 27, 2019, and (iii) the date that is 91 days prior to the maturity of various of the Company’s convertible senior notes due in 2020.
Great American Capital Partners Finance Co LLC | Term Loan Agreement
Line of Credit Facility [Line Items]
Line of credit facility, maturity date description						All then-outstanding borrowings under the Term Loan are due, and the Term Loan terminates, no later than June 14, 2021, unless sooner terminated in accordance with its terms, which includes the date of termination of the Wells Fargo Credit Facility and the date that is 91 days prior to the maturity of the Company’s various convertible senior notes due in 2020.
Loan facility				20,000,000		$ 20,000,000				$ 20,000,000
Percentage of principal amount redeemed						10.00%
Debt instrument, face amount				$ 20,000,000		$ 20,000,000
Weighted average interest rate				11.10%		11.10%
Year One | Great American Capital Partners Finance Co LLC | Term Loan Agreement
Line of Credit Facility [Line Items]
Debt prepayment percentage						2.00%
Year Two | Great American Capital Partners Finance Co LLC | Term Loan Agreement
Line of Credit Facility [Line Items]
Debt prepayment percentage						2.00%
Year Three | Great American Capital Partners Finance Co LLC | Term Loan Agreement
Line of Credit Facility [Line Items]
Debt prepayment percentage						1.00%
Debt instrument, face amount				$ 20,000,000		$ 20,000,000
London Interbank Offered Rate (LIBOR) | Great American Capital Partners Finance Co LLC | Term Loan Agreement
Line of Credit Facility [Line Items]
Additional basis spread						9.00%
GECC
Line of Credit Facility [Line Items]
Line of credit facility maximum borrowing capacity		$ 75,000,000
Line of credit facility, maturity date						Jun. 15, 2018		Mar. 27, 2019
Amount of credit facility outstanding								$ 5,000,000
Stand by letters of credit outstanding amount				$ 12,800,000		$ 12,800,000		20,000,000
Line of credit facility, maturity date description						The amounts outstanding under the Credit Facility, as amended, are payable in full upon maturity of the facility on March 27, 2019, except that the Credit Facility would mature on June 15, 2018 if the Company does not refinance or extend the maturity of the convertible senior notes that mature in 2018, provided that any such refinancing or extension shall have a maturity date that is no sooner than six months after the stated maturity of the Credit Facility (i.e., on or about September 27, 2019).
Rate of credit facility				0.00%	3.49%	3.79%	3.03%
GECC | London Interbank Offered Rate (LIBOR)
Line of Credit Facility [Line Items]
Applicable margin spread over base rate		2.25%
Additional basis spread						1.00%
GECC | Base Rate
Line of Credit Facility [Line Items]
Applicable margin spread over base rate		1.25%
GECC | Federal Funds Rate
Line of Credit Facility [Line Items]
Applicable margin spread over base rate						0.50%
GECC | Minimum
Line of Credit Facility [Line Items]
Percentage of unused credit line fee						0.25%
GECC | Maximum
Line of Credit Facility [Line Items]
Percentage of unused credit line fee						0.50%
WF Loan Agreement | Minimum
Line of Credit Facility [Line Items]
Line of credit facility, total excess availability				$ 10,000,000		$ 10,000,000
Fixed charge coverage ratio				125.00%		125.00%
4.25% Convertible Senior Notes (due 2018)
Line of Credit Facility [Line Items]
Line of credit facility, maturity date	Aug. 1, 2018		Aug. 1, 2018
Debt instrument, face amount			$ 100,000,000					21,178,000
4.25% Convertible Senior Notes (due 2018) | GECC
Line of Credit Facility [Line Items]
Line of credit facility, maturity date						Sep. 27, 2019
Line of credit facility, total excess availability				$ 34,700,000		$ 34,700,000		$ 14,100,000
4.25% Convertible Senior Notes (due 2018) | GECC | Subsequent Event
Line of Credit Facility [Line Items]
Amount of credit facility outstanding									$ 7,500,000
4.25% Convertible Senior Notes (due 2018) | GECC | Letter of Credit
Line of Credit Facility [Line Items]
Loan facility		$ 35,000,000

Convertible Senior Notes (Detai

Convertible Senior Notes (Detail) - USD ($) $ in Thousands	Sep. 30, 2018	Jul. 26, 2018	Dec. 31, 2017	Jun. 30, 2014	Jul. 31, 2013
Debt Instrument [Line Items]
Convertible senior notes, principal\ fair value amount	$ 146,436		$ 156,647
Convertible senior notes, debt issuance costs	1,380		2,075
Convertible senior notes, net of debt issuance costs	145,056		154,572
4.25% Convertible Senior Notes (due 2018)
Debt Instrument [Line Items]
Convertible senior notes, principal\ fair value amount			21,178		$ 100,000
Convertible senior notes, debt issuance costs			103
Convertible senior notes, net of debt issuance costs			21,075
3.25% Convertible Senior Notes (due 2020)
Debt Instrument [Line Items]
Convertible senior notes, principal\ fair value amount	33,436	$ 8,000	22,469
Convertible senior notes, net of debt issuance costs	33,436		22,469
4.875% Convertible Senior Notes (due 2020)
Debt Instrument [Line Items]
Convertible senior notes, principal\ fair value amount	113,000		113,000	$ 115,000
Convertible senior notes, debt issuance costs	1,380		1,972
Convertible senior notes, net of debt issuance costs	$ 111,620		$ 111,028

Convertible Senior Notes (Paren

Convertible Senior Notes (Parenthetical) (Detail) - USD ($) $ in Millions	9 Months Ended	12 Months Ended
	Sep. 30, 2018	Dec. 31, 2017	Jul. 26, 2018	Jun. 30, 2014	Jul. 31, 2013
4.25% Convertible Senior Notes (due 2018)
Debt Instrument [Line Items]
Debt instrument, maturity year	2,018	2,018
Debt instrument, interest rate	4.25%	4.25%	4.25%		4.25%
3.25% Convertible Senior Notes (due 2020)
Debt Instrument [Line Items]
Debt instrument, maturity year	2,020	2,020
Debt instrument, interest rate	3.25%	3.25%	3.25%
Convertible notes , principal amount	$ 29.5	$ 21.5
4.875% Convertible Senior Notes (due 2020)
Debt Instrument [Line Items]
Debt instrument, maturity year	2,020	2,020
Debt instrument, interest rate	4.875%	4.875%		4.875%

Convertible Senior Notes - Addi

Convertible Senior Notes - Additional Information (Detail) $ / shares in Units, $ in Thousands	Nov. 01, 2018$ / shares	Jul. 26, 2018USD ($)	Aug. 31, 2017USD ($)shares	Jun. 30, 2017USD ($)shares	Jan. 31, 2016USD ($)	Jun. 30, 2014USD ($)$ / sharesshares	Jul. 31, 2013USD ($)$ / sharesshares	Sep. 30, 2018USD ($)	Sep. 30, 2017USD ($)shares	Mar. 31, 2017USD ($)shares	Sep. 30, 2018USD ($)shares	Sep. 30, 2017USD ($)	Dec. 31, 2016USD ($)	Dec. 31, 2018USD ($)	Aug. 01, 2018USD ($)	Dec. 31, 2017USD ($)
Debt Instrument [Line Items]
Amortization of debt issuance costs recognized as interest expense								$ 200	$ 400		$ 700	$ 1,500
Long term debt, face amount								146,436			146,436					$ 156,647
Gain recognized on retirement of debt								(453)			(453)	114
Payment for repurchase of convertible notes												35,614
Unrealized loss related to a fair market value adjustment								917			(2,514)
4.875% Convertible Senior Notes (due 2020)
Debt Instrument [Line Items]
Long term debt, face amount						$ 115,000		$ 113,000			$ 113,000					$ 113,000
Debt instrument, interest rate						4.875%		4.875%			4.875%					4.875%
Debt instrument, maturity date						Jun. 1, 2020
Frequency of interest payment											semi-annually
Conversion rate in share per $1000 principal amount of notes | shares						103.7613
Debt instrument, conversion rate | $ / shares						$ 9.64
Write-off of debt issuance costs					$ 100
Debt instrument repurchase amount					2,000
Gain recognized on retirement of debt					$ 100
Convertible senior note payable, fair value								$ 97,300			$ 97,300			$ 89,700
4.25% Convertible Senior Notes (due 2018)
Debt Instrument [Line Items]
Long term debt, face amount							$ 100,000									$ 21,178
Debt instrument, interest rate		4.25%					4.25%	4.25%			4.25%					4.25%
Debt instrument, maturity date		Aug. 1, 2018					Aug. 1, 2018
Frequency of interest payment											semi-annually
Conversion rate in share per $1000 principal amount of notes | shares							114.3674
Debt instrument, conversion rate | $ / shares							$ 8.74
Write-off of debt issuance costs									100				$ 100
Debt instrument repurchase amount									12,000	$ 39,100		$ 12,000	$ 6,100
Gain recognized on retirement of debt									100
Payment for repurchase of convertible notes									$ 11,600	$ 24,100
Debt amount converted		$ 8,000
4.25% Convertible Senior Notes (due 2018) | Common Stock
Debt Instrument [Line Items]
Debt instrument repurchase amount				$ 11,600				$ 39,100			$ 39,100
Debt instrument shares common stock issued upon conversion | shares				112,400					112,400	2,900,000	2,865,000
3.25% Convertible Senior Notes (due 2020)
Debt Instrument [Line Items]
Long term debt, face amount		$ 8,000						$ 33,436			$ 33,436					$ 22,469
Debt instrument, interest rate		3.25%						3.25%			3.25%					3.25%
Debt instrument, maturity date		Nov. 1, 2020
Gain recognized on retirement of debt		$ 500
Conversion rate in share per $1000 principal amount of notes		322.2688
3.25% Convertible Senior Notes (due 2020) | Subsequent Event
Debt Instrument [Line Items]
Debt instrument, conversion rate | $ / shares	$ 2.54
Debt conversion price, percentage	105.00%
Debt instrument, convertible, terms of conversion	The conversion price for the 3.25% convertible senior notes will be reset on November 1, 2018 and November 1, 2019 (each, a “reset date”) to a price equal to 105% above the 5-day VWAP preceding the reset date; provided, however, among other reset restrictions, that if the conversion price resulting from such reset is lower than 90 percent of the average VWAP during the 90 calendar days preceding the reset date, then the reset price shall be the 30-day VWAP preceding the reset date. The conversion price reset on November 1, 2018 to $2.54 per share.
3.25% Convertible Senior Notes (due 2020) | Oasis Management and Oasis Investments ll Master Fund Ltd.
Debt Instrument [Line Items]
Long term debt, face amount			$ 21,500
Debt instrument, interest rate			3.25%
Debt instrument, maturity date			Nov. 1, 2020
Conversion rate in share per $1000 principal amount of notes | shares			328.0302
Gain recognized on retirement of debt											$ 600
Unrealized loss related to a fair market value adjustment								$ 900			(2,500)
Convertible senior note payable, fair value								$ 33,400			$ 33,400					$ 22,500
Debt instrument, amount redeemed															$ 13,200

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017
Income Taxes [Line Items]
Provision for (benefit from) income taxes	$ 1,953	$ 918	$ 1,708	$ 890
Effective income tax rate	11.10%	5.50%	4.60%	1.70%
U.S. statutory tax rate			21.00%		35.00%

Reconciliation of Weighted Aver

Reconciliation of Weighted Average Shares Used in Computation of Income (Loss) Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Earnings Per Share Disclosure [Line Items]
Income (loss) attributable to common stockholders	$ 15,682	$ (17,614)	$ (39,121)	$ (52,672)
Effect of dilutive securities, convertible senior notes	1,487
Net income (loss) available to common stockholders plus assumed exercises and conversion	$ 17,169	$ (17,614)	$ (39,121)	$ (52,672)
Weighted Average Shares, attributable to common stockholders	23,106	22,772	23,104	20,848
Effect of dilutive securitiess
Convertible senior notess	21,426
Earnings per share - diluted, Weighted Average Shares
Net Income (loss) attributable to common stockholders plus assumed exercises and conversion, weighted average shares	45,686	22,772	23,104	20,848
Income (loss) per share - basic
Net income (loss) available to common stockholders	$ 0.68	$ (0.77)	$ (1.69)	$ (2.53)
Income (loss) per share - diluted
Net Income (loss) attributable to common stockholders plus assumed exercises and conversion, per-share	$ 0.38	$ (0.77)	$ (1.69)	$ (2.53)
Performance Stock
Earnings Per Share Disclosure [Line Items]
Effect of dilutive securities, unvested restricted stock grants and unvested performance stock grants	$ 0	$ 0	$ 0	$ 0
Effect of dilutive securitiess
Unvested stock grants	832
Restricted Stock
Earnings Per Share Disclosure [Line Items]
Effect of dilutive securities, unvested restricted stock grants and unvested performance stock grants	$ 0	$ 0	$ 0	$ 0
Effect of dilutive securitiess
Unvested stock grants	322

Income (Loss) Per Share - Addit

Income (Loss) Per Share - Additional Information (Detail) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Common Stock Equivalents
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potentially dilutive securities excluded from computation of diluted earnings per common share	2,894,029	20,215,325	25,332,390	21,502,935

Common Stock and Preferred St_2

Common Stock and Preferred Stock - Additional Information (Detail)	Apr. 27, 2017USD ($)shares	Jan. 31, 2018USD ($)ExecutiveOfficersDirectorshares	Jun. 30, 2017USD ($)shares	Sep. 30, 2017USD ($)shares	Mar. 31, 2017USD ($)shares	Sep. 30, 2018USD ($)ExecutiveOfficersDirectorshares	Sep. 30, 2017USD ($)	Dec. 31, 2016USD ($)
Class of Stock [Line Items]
Cash dividend paid						$ 0	$ 0
4.25% Convertible Senior Notes (due 2018)
Class of Stock [Line Items]
Amount of convertible notes repurchased and retired				$ 12,000,000	$ 39,100,000		$ 12,000,000	$ 6,100,000
Common Stock | 4.25% Convertible Senior Notes (due 2018)
Class of Stock [Line Items]
Common stock shares issued upon conversion of debt instrument | shares			112,400	112,400	2,900,000	2,865,000
Common stock shares issued upon conversion of debt instrument, value			$ 400,000			$ 15,100,000
Amount of convertible notes repurchased and retired			$ 11,600,000			$ 39,100,000
Common Stock | Hong Kong Meisheng Cultural Co
Class of Stock [Line Items]
Common stock issued, shares | shares	3,660,891
Common stock issued, value	$ 19,300,000
Executive officer
Class of Stock [Line Items]
Restricted stock issued, shares | shares		1,914,894				873,787
Restricted stock issued, value		$ 4,500,000				$ 4,500,000
Number of executive officers | ExecutiveOfficers		2				2
Executive officer | Restricted Stock
Class of Stock [Line Items]
Vesting period						3 years
Non-employee directors
Class of Stock [Line Items]
Restricted stock issued, shares | shares		249,480				94,102
Restricted stock issued, value		$ 600,000				$ 500,000
Number of non-employee directors | Director		6				5
Non-employee directors | Hong Kong Meisheng Cultural Co
Class of Stock [Line Items]
Restricted stock issued, shares | shares	13,319
Restricted stock issued, value	$ 100,000
Non-employee directors | Restricted Stock
Class of Stock [Line Items]
Shares of restricted stock, vesting date		2019-01				2018-01
Non-employee directors | Restricted Stock | Hong Kong Meisheng Cultural Co
Class of Stock [Line Items]
Shares of restricted stock, vesting date	2018-01

Joint Ventures - Additional Inf

Joint Ventures - Additional Information (Detail) shares in Millions	1 Months Ended	3 Months Ended		9 Months Ended
	Sep. 30, 2012USD ($)shares	Sep. 30, 2018USD ($)Project	Sep. 30, 2017USD ($)	Sep. 30, 2018USD ($)	Sep. 30, 2017USD ($)	Apr. 27, 2017	Oct. 31, 2016	Dec. 31, 2012USD ($)
Schedule of Equity Method Investments [Line Items]
Equity in net income/(loss) of joint venture		$ 0	$ 0	$ 22,000	$ 0
Impairment charge			7,000,000		7,000,000
Net income (loss) attributable to non-controlling interests		$ 17,000	45,000	$ 39,000	131,000
Pacific Animation Partners Joint Venture
Schedule of Equity Method Investments [Line Items]
Percentage of ownership interest in joint venture		50.00%		50.00%
Number of episodes for which production completed | Project		65
Episode show airing beginning date		2012-02
DreamPlay Toys
Schedule of Equity Method Investments [Line Items]
Percentage of ownership interest in joint venture	50.00%
Cash paid to Nant Works for joint venture	$ 8,000,000
Impairment charge					7,000,000
Issue of warrants (in shares) | shares	1.5
Issue of warrants	$ 7,000,000
Investment in DreamPlay LLC								$ 7,000,000
Percentage of ownership interest in joint venture								5.00%
DreamPlay Toys | Technology Rights
Schedule of Equity Method Investments [Line Items]
Impairment charge			2,900,000
China Joint Venture
Schedule of Equity Method Investments [Line Items]
Percentage of ownership interest in joint venture		51.00%		51.00%
Net income (loss) attributable to non-controlling interests		$ 17,000	45,000	$ 39,000	131,000
Hong Kong Meisheng Cultural Co
Schedule of Equity Method Investments [Line Items]
Percentage of ownership interest in joint venture							50.00%
Net income (loss) attributable to non-controlling interests		0	0	0	0
Hong Kong Meisheng Cultural Co | Minimum
Schedule of Equity Method Investments [Line Items]
Ownership percentage						10.00%
Video Game
Schedule of Equity Method Investments [Line Items]
Equity in net income/(loss) of joint venture		$ 0	$ 0	$ 200,000	$ 100,000

Changes in Carrying Amount of G

Changes in Carrying Amount of Goodwill (Detail) $ in Thousands	9 Months Ended
	Sep. 30, 2018USD ($)
Goodwill [Line Items]
Balance at beginning of the period	$ 35,384
Adjustments to goodwill for foreign currency translation	(187)
Goodwill Ending Balance	$ 35,197

Goodwill - Additional Informati

Goodwill - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Goodwill [Line Items]
Goodwill impairment	$ 8,288	$ 0	$ 8,288

Intangible Assets (Detail)

Intangible Assets (Detail) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2018	Dec. 31, 2017
Acquired Intangible Assets by Major Class [Line Items]
Trademarks, net	$ 300	$ 300
Amortized Intangible Assets, Gross Carrying Amount	60,340	60,340
Amortized Intangible Assets, Accumulated Amortization	(41,863)	(38,150)
Amortized Intangible Assets, Net Amount	$ 18,477	22,190
Licenses
Acquired Intangible Assets by Major Class [Line Items]
Weighted Useful Lives (Years)	5 years 9 months 22 days
Amortized Intangible Assets, Gross Carrying Amount	$ 20,130	20,130
Amortized Intangible Assets, Accumulated Amortization	(19,228)	(18,620)
Amortized Intangible Assets, Net Amount	$ 902	1,510
Product Lines
Acquired Intangible Assets by Major Class [Line Items]
Weighted Useful Lives (Years)	10 years 4 months 9 days
Amortized Intangible Assets, Gross Carrying Amount	$ 33,858	33,858
Amortized Intangible Assets, Accumulated Amortization	(16,283)	(13,178)
Amortized Intangible Assets, Net Amount	$ 17,575	20,680
Customer relationships
Acquired Intangible Assets by Major Class [Line Items]
Weighted Useful Lives (Years)	4 years 10 months 25 days
Amortized Intangible Assets, Gross Carrying Amount	$ 3,152	3,152
Amortized Intangible Assets, Accumulated Amortization	$ (3,152)	(3,152)
Trade Name
Acquired Intangible Assets by Major Class [Line Items]
Weighted Useful Lives (Years)	5 years
Amortized Intangible Assets, Gross Carrying Amount	$ 3,000	3,000
Amortized Intangible Assets, Accumulated Amortization	$ (3,000)	(3,000)
Non-compete/Employment contracts
Acquired Intangible Assets by Major Class [Line Items]
Weighted Useful Lives (Years)	5 years
Amortized Intangible Assets, Gross Carrying Amount	$ 200	200
Amortized Intangible Assets, Accumulated Amortization	$ (200)	$ (200)

Components of Comprehensive Inc

Components of Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Condensed Statement of Income Captions [Line Items]
Net Income (Loss)	$ 15,699	$ (17,569)	$ (39,082)	$ (52,541)
Other comprehensive income (loss):
Foreign currency translation adjustment	(1,149)	1,662	(1,489)	4,128
Comprehensive income (loss)	14,550	(15,907)	(40,571)	(48,413)
Less: Comprehensive income (loss) attributable to non-controlling interests	17	45	39	131
Comprehensive income (loss) attributable to JAKKS Pacific, Inc.	$ 14,533	$ (15,952)	$ (40,610)	$ (48,544)

Share-Based Payments - Addition

Share-Based Payments - Additional Information (Detail) $ in Millions	9 Months Ended
	Sep. 30, 2018USD ($)
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation, non-vested restricted stock awards	$ 3.4
Unrecognized compensation, non-vested restricted stock awards expected recognized period	2 years 6 months 7 days
Restricted Stock | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	1 year
Restricted Stock | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	5 years
Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation, non-vested restricted stock awards	$ 2.3
Unrecognized compensation, non-vested restricted stock awards expected recognized period	2 years 18 days

Total Share-Based Compensation

Total Share-Based Compensation Expense and Related Tax Benefits Recognized (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock compensation expense	$ 760	$ 793	$ 1,747	$ 2,253
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Tax benefit related to restricted stock compensation	$ 0	$ 0	$ 0	$ 0

Summary of Restricted Stock Awa

Summary of Restricted Stock Award Activity (Detail) - Restricted Stock	9 Months Ended
	Sep. 30, 2018$ / sharesshares
Number of Shares
Outstanding at beginning of period | shares	981,208
Awarded | shares	2,164,374
Released | shares	(194,800)
Forfeited | shares	0
Outstanding at end of period | shares	2,950,782
Weighted Average Grant Date Fair Value
Outstanding at beginning of period | $ / shares	$ 4.12
Awarded | $ / shares	1.88
Released | $ / shares	5.14
Forfeited | $ / shares	0
Outstanding at end of period | $ / shares	$ 2.41

Summary of Restricted Stock Uni

Summary of Restricted Stock Unit Activity (Detail) - Restricted Stock Units (RSUs)	9 Months Ended
	Sep. 30, 2018$ / sharesshares
Number of Shares
Outstanding at beginning of period | shares	959,192
Awarded | shares	357,143
Released | shares	(125,290)
Forfeited | shares	(93,229)
Outstanding at end of period | shares	1,097,816
Weighted Average Fair Value
Outstanding at beginning of period | $ / shares	$ 4.68
Awarded | $ / shares	1.96
Released | $ / shares	5.15
Forfeited | $ / shares	4.52
Outstanding at end of period | $ / shares	$ 3.76

Financial Assets Measured at Fa

Financial Assets Measured at Fair Value on Recurring Basis (Detail) - Fair Value Measurements, Recurring - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Fair Value Measurements, Level 3 | 3.25% Convertible Senior Notes (due 2020)
Schedule Of Servicing Assets At Fair Value And Amortized Value [Line Items]
Convertible senior notes	$ (33,436)	$ (22,469)
Cash Equivalents | Fair Value Measurements, Level 1
Schedule Of Servicing Assets At Fair Value And Amortized Value [Line Items]
Assets measured at fair value on recurring basis		13,718
Carrying Amount | 3.25% Convertible Senior Notes (due 2020)
Schedule Of Servicing Assets At Fair Value And Amortized Value [Line Items]
Convertible senior notes	$ (33,436)	(22,469)
Carrying Amount | Cash Equivalents
Schedule Of Servicing Assets At Fair Value And Amortized Value [Line Items]
Assets measured at fair value on recurring basis		$ 13,718

Reconciliation of Beginning and

Reconciliation of Beginning and Ending Balances of Assets Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3) (Detail) - Fair Value Measurements, Level 3 - Fair Value Measurements, Recurring $ in Thousands	9 Months Ended
	Sep. 30, 2018USD ($)
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning Balance	$ (22,469)
Change in fair value	(2,514)
Ending Balance	(33,436)
3.25% Convertible Senior Notes (due 2020)
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Convertible senior notes	$ (8,453)

Liquidity - Additional Informat

Liquidity - Additional Information (Detail) - USD ($)	1 Months Ended	9 Months Ended
	Oct. 31, 2018	Sep. 30, 2018	Jun. 14, 2018	Dec. 31, 2017	Sep. 30, 2017	Dec. 31, 2016
Cash and Cash Equivalents [Line Items]
Cash and cash equivalents including restricted cash		$ 57,144,000		$ 64,977,000	$ 48,811,000	$ 86,064,000
Great American Capital Partners Finance Co LLC
Cash and Cash Equivalents [Line Items]
Term loan matures description		The GACP term loan matures upon the earlier of (i) June 14, 2021, (ii) the termination date of the Wells Fargo credit facility, or March 27, 2019, and (iii) the date that is 91 days prior to the maturity of various of the Company’s convertible senior notes due in 2020.
Great American Capital Partners Finance Co LLC | Term Loan Agreement
Cash and Cash Equivalents [Line Items]
Secured term loan		$ 20,000,000	$ 20,000,000
Term loan matures description		All then-outstanding borrowings under the Term Loan are due, and the Term Loan terminates, no later than June 14, 2021, unless sooner terminated in accordance with its terms, which includes the date of termination of the Wells Fargo Credit Facility and the date that is 91 days prior to the maturity of the Company’s various convertible senior notes due in 2020.
Subsequent Event | Corporate Restructuring [Member] | Minimum
Cash and Cash Equivalents [Line Items]
Savings from restructuring	$ 10,000,000
Subsequent Event | Corporate Restructuring [Member] | Maximum
Cash and Cash Equivalents [Line Items]
Savings from restructuring	$ 15,000,000
Foreign Subsidiaries
Cash and Cash Equivalents [Line Items]
Cash and cash equivalents including restricted cash		$ 37,300,000		$ 52,800,000

Subsequent Event - Additional I

Subsequent Event - Additional Information (Detail) - Subsequent Event - Corporate Restructuring [Member] $ in Millions	1 Months Ended
	Oct. 31, 2018USD ($)
Subsequent Event [Line Items]
Restructuring charges	$ 2
Minimum
Subsequent Event [Line Items]
Percentage of global workforce reduction in restructuring	12.00%
Maximum
Subsequent Event [Line Items]
Percentage of global workforce reduction in restructuring	15.00%