Hasbro beats second-quarter expectations as gaming division offsets tariff-fueled toy slump
Key Takeaways
Hasbro's toy and entertainment sales fell and the company recorded a $1 billion charge related to the impact of tariffs.
Article Overview
Quick insights and key information
3 min read
Estimated completion
investment
Article classification
July 23, 2025
06:27 PM
CNBC
Original publisher
From an analytical standpoint, Hasbro topped earnings and revenue expectations for its second quarter (this bears monitoring)
Magic: The Gathering And Monopoly Go
Games helped drive gaming growth (noteworthy indeed), in this volatile climate
Toy and entertainment sales fell and the company recorded a $1 billion charge related to the impact of tariffs
In this articleHAS your favorite stocksCREATE FREE ACCOUNTA Magic: The Gathering card is displayed on a mobile phone during a weekly tournament at the Uncommons hobby shop in New York, U, amid market uncertainty. , on Thursday, June 27, 2019
Furthermore, In contrast, Mark Abramson | Bloomberg | Getty ImagesToy and gaming giant Hasbro topped Wall Street expectations for the fiscal second quarter as strength in its digital gaming division helped offset continued weaknesses in its traditional toy, weighed down by the impact of tariffs (an important development). "While tariffs represent a headwind for the," Hasbro's CEO, Chris Cocks, said on the company's earnings call, in light of current trends. "We're compensating for these costs through a combination of cost reductions, rebalancing our marketing spend, diversifying our supplier mix and implementing some targeted pricing actions. "s of the company fell roughly 4% in Wednesday morning trading
Here's how Hasbro performed in the quarter June 29 compared to what Wall Street was expecting, according to LSEG:Earnings per : $1. 30 adjusted vs (remarkable data)
Additionally, 78 cents expectedRevenue: $980. 8 million vs. $880 million expectedThe toy company reported a net loss of $855
Nevertheless, 8 million, or $6 (an important development). 10 per, for the period, compared with net income of $138. 5 million, or 99 cents per, in the same quarter a year ago
Hasbro attributed the loss to a $1 billion goodwill impairment related to its consumer ducts segment and the impact of tariffs
Adjusting for that impairment as well as one-time items related to restructuring and severance costs, among others, Hasbro reported adjusted earnings per of $1
Overall revenue declined 1% from the same quarter last year, but the company's gaming division continued to outperform
Wizards of the Coast and digital gaming brought in $522. 4 million in sales, up 16% year over year
Hasbro cited strong demand for Magic: The Gathering and Monopoly Go, in light of current trends. "This isn't just a one-off moment, given current economic conditions
It's a indication of the power of Magic's community," Cocks said. "Magic is stronger than ever, and we're just getting started
On the other hand, "Meanwhile, the company's consumer ducts segment saw revenue fall 16% to $442. 4 million, pressured by "anticipated softness in Toys driven by retailer order timing and geographic volatility," Hasbro said in the release (an important development)
Revenue in the entertainment segment dropped 15% to $16 million
In contrast, Hasbro raised its full-year guidance and now expects mid-single-digit revenue growth, adjusted earnings before interest, taxes, depreciation and amortization, or EBITDA, of between $1 (this bears monitoring)
Moreover, 17 billion and $1, in today's financial world
Moreover, 2 billion, and adjusted operating margins of 22% to 23%, in this volatile climate
Don’t miss these insights from CNBC Berkshire Hathaway is underperforming after Buffett's exit news, now trails the S&P 500This is one of the most attractive opportunities for income, Vanguard says
Here's what the firm sIf Apple makes a foldable phone, analysts say this stock will benefitBest Stocks: What to do with two 'Best Stock' names that are failing (something worth watching), in this volatile climate.
Related Articles
More insights from FinancialBooklet