Second quarter net sales increased to $127.1 million in 2005, compared to $109.4 million in the comparable period last year. Net income for the second quarter of 2005 increased $11.6 million, or $0.39 per diluted share, compared to $6.0 million, or $0.22 per diluted share, for the same period last year.

The Company's net sales for the six months ended June 30, 2005 increased to $261.8 million, from $183.4 million during the same period in 2004. Net income for the first six months of 2005 was $21.7 million, or $0.73 per diluted share, compared to first six month 2004 earnings of $9.8 million, or $0.38 per diluted share.

"The quarter was marked by record second quarter revenue and a significant increase in year-over-year profitability," said Jack Friedman, Chairman and Chief Executive Officer, JAKKS Pacific. "Our diverse products continue to be well received by our customers and our acquisition of Play Along in June 2004 has positively impacted our results and has helped make JAKKS Pacific a more diversified and more profitable company. Our results reflect the outstanding efforts of our employees in developing and marketing our broad array of products to traditional and new retail channels consistent with our plan, to create a more consistent revenue flow throughout all four quarters, with products that have selling seasons counter-seasonal to those of traditional toys.

"We continue to remain comfortable with our previously-issued guidance for 2005 of approximately $660 million in revenue and net income of approximately $70 million, or $2.28 earnings per diluted share."

Friedman concluded, "As forecasted, we believe that we are on track to achieve record annual revenue and earnings in 2005. With the recent acquisition of the Pet Pal product line and a number of new multi-toy licensing agreements and products, we look forward to continuing to offer exciting product lines to our customers in the second half of 2005 and beyond."

Stephen Berman, President and Chief Operating Officer, stated, "During the second quarter, we experienced continued success with a number of our product lines, namely our Fly Wheels(TM) vehicle line, marketed under the Road Champs brand; our Cabbage Patch Kids®, Sky Dancers® action doll line and Doodle Bear® plush line, marketed under our Play Along division and we maintained the leading position in the Plug and Play category. Our action figures also performed well in the quarter. In addition, our international business continues to strengthen and was up over 100% from the second quarter of 2004 as we continued to expand the distribution of our lines to Europe, South America, Australia and New Zealand. We continue to identify opportunities for improvement in our crafts and activities, as well as seasonal lines, and are committed to maximizing their growth potential.

"As we enter the latter half of 2005, we expect our plush toys and other lines to continue to perform to our expectations. We also expect to continue to capitalize on our TV Games product category with new offerings based on kid-focused titles such as Disney Princesses, Dora the Explorer, a second SpongeBob SquarePants title and Nick Toons, and adult interest titles such as Wheel of Fortune, as well as the introduction of our GAMEKEY expansion packs. We believe that our comprehensive line is well placed for the holiday selling season."

Berman continued, "We are excited about what we have accomplished as we approach our tenth year in business and look forward to continuing to execute on a business strategy that we believe will hopefully position us for future growth well beyond 2005. Our financial position remains very solid, with approximately $256.4 million of working capital, including cash and equivalents of $192.5 million, and we have ample capacity to pursue additional strategic acquisition opportunities and to invest in our organic growth as well."

About JAKKS Pacific, Inc.:
JAKKS Pacific, Inc. is a multi-brand company that designs and markets a broad range of toys and consumer products. The product categories include: Action Figures, Art Activity Kits, Stationery, Writing Instruments, Performance Kites, Water Toys, Sports Activity Toys, Vehicles, Infant/Pre-School, Plush, Construction Toys, Electronics, Dolls and Pet Toys and Accessories. The products are sold under various brand names including JAKKS Pacific®, Play Along®, Flying Colors®, Road Champs®, Child Guidance®, Pentech®, Trendmasters®, Toymax®, Funnoodle®, Go Fly a Kite®, Color Workshop®, Pet Pal(TM) and Plug It In & Play TV Games(TM). The Company also participates in a joint venture with THQ Inc. that has exclusive worldwide rights to publish and market World Wrestling Entertainment® video games. For further information, visit www.jakkspacific.com or www.tvgames.com.