Mattel, Inc., designs, manufactures, and markets toy products worldwide. Mattel's toys include Barbie® fashion dolls and accessories, Hot Wheels®, and Fisher-Price brands. For a recent year, Mattel reported the following net cash flows from operating activities (in thousands):
First quarter ending March 31 ............................... $ (53,110)
Second quarter ending June 30 .............................. (187,663)
Third quarter ending September 30 ............................. 18,435
Fourth quarter ending December 31 ........................... 956,895
Explain why Mattel reported negative net cash flows from operating activities during the first and second quarters and a large positive cash flow for the fourth quarter, with overall net positive cash flow for the year?