Shares rose $2.26, or 18%, to $14.62 in after hours action.
Mattel, which makes Barbie dolls and Hot Wheels cars, posted net income of $14.9 million, or 4 cents a share on sales of $1.52 billion.
The company had been expected to report a loss of 16 cents a share on sales of $1.4 billion, based on a FactSet survey of 14 analysts. In the same period a year ago the company posted a loss of 82 cents a share on sales of $1.6 billion.
The stock had fallen 10.3% since the company last reported earnings on Oct. 25.