Jakks Earnings Rise 27%

Toy maker Jakks Pacific Inc. said third-quarter net income rose more than 27%, a result of cost cutting, new products and the company’s best-ever quarterly sales.

The Malibu-based maker of World Wrestling Entertainment action figures and Pentech pens said Tuesday that it earned $14 million, or 58 cents a share, for the three months ended Sept. 30, up from $10.9 million, or 56 cents, in the same period a year ago.

Sales for the period rose more than 10% to $102.6 million, up from $92.8 million a year ago, partly on the strength of back-to-school sales of Jakks’ Flying Colors brand of notebooks, lunchboxes, pens and other children’s stationery supplies.

Jakks shares rose 48 cents to $11.41 on Nasdaq.

The company said because of advanced planning, it expects little effect from the disruption at West Coast ports. On a Tuesday morning conference call with analysts after the market’s open, Jakks executives also affirmed the company’s sales and earnings guidance for the year, with earnings per share of $1.64 to $1.70, excluding charges, on sales of $310 million to $330 million.

“We were impressed with the quarter and the tone of the conference call,� said Anthony Gikas, an analyst with U.S. Bancorp Piper Jaffray in Minneapolis.

“They feel good about their position heading into the holidays and we agree.�

Jakks expects this week to complete its acquisition of Toymax, creator of Go Fly a Kite and Fundoodle products.

The purchase will make Jakks the nation’s third-largest toy company behind Mattel Inc. and Hasbro Inc.