Results Reflect Record Wizards of the Coast Performance & Consumer Products Growth
Increases 2026 Financial Outlook
Pawtucket, RI — Hasbro reported financial results for the second quarter 2026.
“Hasbro posted another quarter of topline growth, led by Wizards of the Coast,” said Chris Cocks, Hasbro CEO. “Magic: The Gathering eclipsed $500 million in quarterly revenue for the first time in its 30-plus year history, led by the record-breaking debut of Marvel Super Heroes. With strong indications for our remaining releases and line of sight to continued growth in 2027, the Magic flywheel is firing on all cylinders.”
“This quarter’s broad-based strength across the business gives us the conviction to raise our full-year guidance,” said Gina Goetter, Hasbro Chief Financial Officer and Chief Operating Officer. “Moving forward we are leaning into our $1B share repurchase authorization as we continue to balance investment in the business with returning cash to shareholders.”
Second Quarter 2026 Results
- Hasbro, Inc.’s revenue increased 16% vs. LY, driven by growth in Wizards and Digital Gaming (+27%) and Consumer Products (+5%), partially offset by a decline in Entertainment (-20%).
- Operating profit was $253 million and Adjusted operating profit was $282 million, (+14% vs. LY) reflecting topline momentum and favorable mix.
- Results include a $56 million impairment related to the Company’s refocused Digital Games portfolio for 2028 and beyond.
- Reported net earnings were $1.12 per diluted share and Adjusted net earnings per diluted share were $1.28.
- Returned $133 million to shareholders through the quarterly dividend and share repurchases.
- During the quarter, the Company deployed $55 million toward debt reduction.
Second Quarter 2026 Segment Details
- Wizards and Digital Gaming Segment
- Revenue increased 27%, led by Magic: The Gathering (+32%). Digital and licensed gaming grew 17%.
- Magic: The Gathering growth fueled by Secrets of Strixhaven and Marvel Super Heroes.
- Monopoly Go! contributed $44 million of revenue in the second quarter.
- Operating profit of $270 million (+12% vs. LY), with a 41% operating margin, includes a $56 million impairment charge related to the Company’s refocused Digital Games portfolio offset by favorable benefits from scale and mix.
- Consumer Products Segment
- Revenues were up 5% in the quarter despite disruption from the previously disclosed unauthorized network access.
- Q2 sales benefited from entertainment releases, including Star Wars: The Mandalorian and Grogu, and momentum in GEM2 categories.
- Operating loss of $15 million and Adjusted operating loss of $8 million (NM vs. LY) reflects incremental tariff expense, entertainment-related mix shifts, and normal seasonality.
- Entertainment Segment
- Revenue decline of 20% related to the nature and timing of deals.
- Operating profit of $6 million and Adjusted operating profit of $9 million down 15% primarily due to timing.
Year-to-Date 2026 Results
- Year-to-date Hasbro, Inc. revenue increased 15% vs. LY, driven by growth in Wizards and Digital Gaming (+27%) and Consumer Products (+2%), partially offset by a decline in Entertainment (-22%).
- Operating profit was $523 million and Adjusted operating profit was $569 million, (+21% vs. LY) reflecting a strong topline. Both figures include a $56 million impairment related to the Company’s refocused Digital Games portfolio.
- Reported net earnings were $2.51 per diluted share and Adjusted net earnings per diluted share were $2.76.
- Returned $239 million to shareholders through the quarterly dividend and share repurchases.
- During the first half of the year, the Company deployed $147 million toward debt reduction, including the issuance of $400 million of new notes. The proceeds of which will be used to fully repay its November 2026 maturities, with the balance applied to the repurchase of higher-rate, longer-dated securities.
Year-to-Date 2026 Segment Details
- Wizards and Digital Gaming Segment
- Revenue increased 27%, led by Magic: The Gathering (+34%). Digital and licensed gaming grew 10%.
- Magic: The Gathering benefited from growth in tabletop and digital revenues, across first-party and Universes Beyond Premiere sets, along with momentum in Secret Lair & Backlist.
- Year-to-date Monopoly Go! contributed $86 million of revenue.
- Operating profit of $568 million (+20% vs. LY), with a 46% operating margin, include a $56 million impairment related to the Company’s refocused Digital Games portfolio.
- Consumer Products Segment
- Revenues increased 2% as momentum in GEM2 categories and entertainment more than offset disruptions related to the previously disclosed unauthorized network access. Growth across key brands including Star Wars, Marvel, Peppa Pig, and G.I. Joe.
- Operating loss of $62 million reflecting normal seasonality and cyber-related impacts.
- Adjusted operating loss of $48 million reflects year-over-year tariff expense, timing-related sales disruptions from the unauthorized network access, and royalty expense tied to entertainment releases.
- Entertainment Segment
- Revenue decline of 22% related to the nature and timing of deals.
- Operating profit of $23 million and Adjusted operating profit of $29 million up 5% primarily due to lower royalty expense.
See the financial tables accompanying the press release for a reconciliation of GAAP to non-GAAP financial measures.
2026 Company Outlook and Capital Allocation
For the full year, the Company now expects:
- Total Hasbro revenue up 5-7% in constant currency (previously up 3-5% in constant currency)
- Adjusted operating margin of 25-26% (previously 24-25%)
- Adjusted EBITDA of $1.45 billion to $1.50 billion (previously $1.40 billion to $1.45 billion)
2026 Capital Allocation priorities:
- Invest in core business.
- Return cash to shareholders through dividends and share repurchases.
- Continue to pay down debt.
Update on Previously Disclosed Unauthorized Network Access
In late March 2026, the Company identified unauthorized access to its network, which resulted in disruptions to business operations throughout the second quarter. The Company has since returned to pre-incident order processing, shipping, and invoicing practices.
Direct incremental expenses related to the unauthorized access were $11 million during the three and six months ended June 28, 2026, and the revenue impact on the business was estimated at approximately $25 million. The Company expects to incur additional costs related to the incident in future periods.
The Company did not recognize any insurance proceeds during the three months ended June 28, 2026 related to the unauthorized network access. The timing of recognizing insurance recoveries, if any, may differ from the timing of recognizing the associated expenses.
(
| HASBRO, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS (1)
(Unaudited)
(Millions of Dollars) |
|
|
|
|
| |
June 28, 2026 |
|
June 29, 2025 |
| ASSETS |
|
|
|
| Current Assets: |
|
|
|
| Cash and cash equivalents |
$ |
880.5 |
|
$ |
546.9 |
| Short-term investments |
|
497.7 |
|
|
— |
| Accounts receivable, net |
|
751.7 |
|
|
717.8 |
| Inventories |
|
353.2 |
|
|
417.1 |
| Prepaid expenses and other current assets |
|
366.5 |
|
|
359.4 |
| Total current assets |
|
2,849.6 |
|
|
2,041.2 |
| Property, plant and equipment, net |
|
453.9 |
|
|
251.8 |
| Goodwill |
|
1,256.2 |
|
|
1,256.8 |
| Other intangible assets, net |
|
426.4 |
|
|
489.4 |
| Other assets |
|
1,051.1 |
|
|
1,135.2 |
| Total assets |
$ |
6,037.2 |
|
$ |
5,174.4 |
| |
|
|
|
| LIABILITIES, NONCONTROLLING INTERESTS AND SHAREHOLDERS’ EQUITY |
| Current Liabilities: |
|
|
|
| Current portion of long-term debt |
$ |
497.0 |
|
$ |
— |
| Accounts payable |
|
374.9 |
|
|
339.6 |
| Accrued liabilities |
|
843.4 |
|
|
888.2 |
| Total current liabilities |
|
1,715.3 |
|
|
1,227.8 |
| Long-term debt |
|
3,041.2 |
|
|
3,320.9 |
| Other liabilities |
|
550.4 |
|
|
356.0 |
| Total liabilities |
|
5,306.9 |
|
|
4,904.7 |
| Total shareholders’ equity |
|
730.3 |
|
|
269.7 |
| Total liabilities, noncontrolling interests and shareholders’ equity |
$ |
6,037.2 |
|
$ |
5,174.4 |
| (1) Amounts may not sum due to rounding |
| HASBRO, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS (1)
(Unaudited)
(Millions of Dollars and Shares Except Per Share Data) |
|
|
|
|
| |
Three Months Ended |
|
Six Months Ended |
| |
June 28, 2026 |
|
June 29, 2025 |
|
June 28, 2026 |
|
June 29, 2025 |
| |
Amount |
|
% of Net Revenues |
|
Amount |
|
% of Net Revenues |
|
Amount |
|
% of Net Revenues |
|
Amount |
|
% of Net Revenues |
| Net revenues |
$ |
1,139.6 |
|
|
100.0 |
% |
|
$ |
980.8 |
|
|
100.0 |
% |
|
$ |
2,139.8 |
|
|
100.0 |
% |
|
$ |
1,867.9 |
|
|
100.0 |
% |
| Costs and expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Cost of sales |
|
272.4 |
|
|
23.9 |
% |
|
|
225.3 |
|
|
23.0 |
% |
|
|
508.5 |
|
|
23.8 |
% |
|
|
429.8 |
|
|
23.0 |
% |
| Program cost amortization |
|
3.1 |
|
|
0.3 |
% |
|
|
6.2 |
|
|
0.6 |
% |
|
|
7.1 |
|
|
0.3 |
% |
|
|
13.6 |
|
|
0.7 |
% |
| Royalties |
|
89.9 |
|
|
7.9 |
% |
|
|
84.5 |
|
|
8.6 |
% |
|
|
167.6 |
|
|
7.8 |
% |
|
|
141.5 |
|
|
7.6 |
% |
| Product development |
|
93.6 |
|
|
8.2 |
% |
|
|
77.5 |
|
|
7.9 |
% |
|
|
171.6 |
|
|
8.0 |
% |
|
|
158.0 |
|
|
8.5 |
% |
| Advertising |
|
74.8 |
|
|
6.6 |
% |
|
|
63.6 |
|
|
6.5 |
% |
|
|
135.2 |
|
|
6.3 |
% |
|
|
119.0 |
|
|
6.4 |
% |
| Amortization of intangible assets |
|
14.6 |
|
|
1.3 |
% |
|
|
17.2 |
|
|
1.8 |
% |
|
|
29.2 |
|
|
1.4 |
% |
|
|
34.2 |
|
|
1.8 |
% |
| Impairment of goodwill |
|
— |
|
|
— |
% |
|
|
1,021.9 |
|
|
104.2 |
% |
|
|
— |
|
|
— |
% |
|
|
1,021.9 |
|
|
54.7 |
% |
| Loss on disposal of business |
|
— |
|
|
— |
% |
|
|
— |
|
|
— |
% |
|
|
— |
|
|
— |
% |
|
|
25.0 |
|
|
1.3 |
% |
| Selling, distribution and administration |
|
338.7 |
|
|
29.7 |
% |
|
|
282.8 |
|
|
28.8 |
% |
|
|
597.8 |
|
|
27.9 |
% |
|
|
552.4 |
|
|
29.6 |
% |
| Total costs and expenses |
|
887.1 |
|
|
77.8 |
% |
|
|
1,779.0 |
|
|
181.4 |
% |
|
|
1,617.0 |
|
|
75.6 |
% |
|
|
2,495.4 |
|
|
133.6 |
% |
| Operating profit (loss) |
|
252.5 |
|
|
22.2 |
% |
|
|
(798.2 |
) |
|
(81.4 |
)% |
|
|
522.8 |
|
|
24.4 |
% |
|
|
(627.5 |
) |
|
(33.6 |
)% |
| Non-operating expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Interest expense |
|
46.5 |
|
|
4.1 |
% |
|
|
40.6 |
|
|
4.1 |
% |
|
|
88.3 |
|
|
4.1 |
% |
|
|
82.2 |
|
|
4.4 |
% |
| Interest income |
|
(12.9 |
) |
|
(1.1 |
)% |
|
|
(5.4 |
) |
|
(0.6 |
)% |
|
|
(23.0 |
) |
|
(1.1 |
)% |
|
|
(14.3 |
) |
|
(0.8 |
)% |
| Other expense (income), net |
|
10.2 |
|
|
0.9 |
% |
|
|
(18.7 |
) |
|
(1.9 |
)% |
|
|
4.7 |
|
|
0.2 |
% |
|
|
(17.3 |
) |
|
(0.9 |
)% |
| Total non-operating expense, net |
|
43.8 |
|
|
3.8 |
% |
|
|
16.5 |
|
|
1.7 |
% |
|
|
70.0 |
|
|
3.3 |
% |
|
|
50.6 |
|
|
2.7 |
% |
| Earnings (loss) before income taxes |
|
208.7 |
|
|
18.3 |
% |
|
|
(814.7 |
) |
|
(83.1 |
)% |
|
|
452.8 |
|
|
21.2 |
% |
|
|
(678.1 |
) |
|
(36.3 |
)% |
| Income tax expense |
|
47.4 |
|
|
4.2 |
% |
|
|
40.0 |
|
|
4.1 |
% |
|
|
92.0 |
|
|
4.3 |
% |
|
|
77.1 |
|
|
4.1 |
% |
| Net earnings (loss) |
|
161.3 |
|
|
14.2 |
% |
|
|
(854.7 |
) |
|
(87.1 |
)% |
|
|
360.8 |
|
|
16.9 |
% |
|
|
(755.2 |
) |
|
(40.4 |
)% |
| Net earnings attributable to noncontrolling interests |
|
0.4 |
|
|
— |
% |
|
|
1.1 |
|
|
0.1 |
% |
|
|
1.5 |
|
|
0.1 |
% |
|
|
2.0 |
|
|
0.1 |
% |
| Net earnings (loss) attributable to Hasbro, Inc. |
$ |
160.9 |
|
|
14.1 |
% |
|
$ |
(855.8 |
) |
|
(87.3 |
)% |
|
$ |
359.3 |
|
|
16.8 |
% |
|
$ |
(757.2 |
) |
|
(40.5 |
)% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Net earnings (loss) per common share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Basic |
$ |
1.14 |
|
|
|
|
$ |
(6.10 |
) |
|
|
|
$ |
2.54 |
|
|
|
|
$ |
(5.41 |
) |
|
|
| Diluted |
$ |
1.12 |
|
|
|
|
$ |
(6.10 |
) |
|
|
|
$ |
2.51 |
|
|
|
|
$ |
(5.41 |
) |
|
|
| Cash dividends declared per common share |
$ |
0.70 |
|
|
|
|
$ |
0.70 |
|
|
|
|
$ |
1.40 |
|
|
|
|
$ |
1.40 |
|
|
|
| Weighted average number of shares |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Basic |
|
141.6 |
|
|
|
|
|
140.3 |
|
|
|
|
|
141.2 |
|
|
|
|
|
140.0 |
|
|
|
| Diluted |
|
143.1 |
|
|
|
|
|
140.3 |
|
|
|
|
|
143.2 |
|
|
|
|
|
140.0 |
|
|
|
| (1) Amounts may not sum due to rounding |
| HASBRO, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (1)
(Unaudited)
(Millions of Dollars) |
|
|
| |
Six months ended |
| |
June 28, 2026 |
|
June 29, 2025 |
| Cash flows from operating activities: |
|
|
|
| Net earnings (loss) |
$ |
360.8 |
|
|
$ |
(755.2 |
) |
| Impairment of goodwill |
|
— |
|
|
|
1,021.9 |
|
| Impairment of capitalized software |
|
56.4 |
|
|
|
— |
|
| Loss on disposal of business |
|
— |
|
|
|
25.0 |
|
| Other non-cash adjustments |
|
149.8 |
|
|
|
106.3 |
|
| Changes in operating assets and liabilities |
|
37.4 |
|
|
|
(188.6 |
) |
| Net cash provided by operating activities |
|
604.4 |
|
|
|
209.4 |
|
| |
|
|
|
| Cash flows from investing activities: |
|
|
|
| Additions to property, plant and equipment |
|
(41.2 |
) |
|
|
(29.9 |
) |
| Additions to software development |
|
(54.0 |
) |
|
|
(61.8 |
) |
| Purchase of investments |
|
(423.0 |
) |
|
|
(10.0 |
) |
| Other |
|
(6.4 |
) |
|
|
12.5 |
|
| Net cash utilized by investing activities |
|
(524.6 |
) |
|
|
(89.2 |
) |
| |
|
|
|
| Cash flows from financing activities: |
|
|
|
| Proceeds from borrowings |
|
399.4 |
|
|
|
— |
|
| Repayments of borrowings |
|
(123.3 |
) |
|
|
(60.5 |
) |
| Payments of financing costs |
|
(4.8 |
) |
|
|
— |
|
| Share-based compensation transactions |
|
38.7 |
|
|
|
4.9 |
|
| Payments related to tax withholding for share-based compensation |
|
(44.7 |
) |
|
|
(19.9 |
) |
| Dividends paid |
|
(197.6 |
) |
|
|
(196.0 |
) |
| Repurchases of common stock |
|
(41.5 |
) |
|
|
— |
|
| Other |
|
(2.7 |
) |
|
|
(3.1 |
) |
| Net cash provided (utilized) by financing activities |
|
23.5 |
|
|
|
(274.6 |
) |
| Effect of exchange rate changes on cash |
|
0.6 |
|
|
|
6.3 |
|
| Net increase (decrease) in cash, cash equivalents and restricted cash |
|
103.9 |
|
|
|
(148.1 |
) |
| Cash, cash equivalents and restricted cash at beginning of year |
|
776.6 |
|
|
|
695.0 |
|
| Cash, cash equivalents and restricted cash at end of period |
$ |
880.5 |
|
|
$ |
546.9 |
|
| (1) Amounts may not sum due to rounding |
| HASBRO, INC.
SEGMENT RESULTS – AS REPORTED AND AS ADJUSTED (1)
(Unaudited)
(Millions of Dollars) |
|
|
|
|
|
|
|
| |
|
Three Months Ended June 28, 2026 |
|
Three Months Ended June 29, 2025 |
|
|
| Operating Results: |
|
As Reported |
|
Non-GAAP Adjustments |
|
Adjusted |
|
As Reported |
|
Non-GAAP Adjustments |
|
Adjusted |
|
% Change |
| Total Company Results: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| External Net Revenues |
|
$ |
1,139.6 |
|
|
$ |
— |
|
|
$ |
1,139.6 |
|
|
$ |
980.8 |
|
|
$ |
— |
|
|
$ |
980.8 |
|
|
16 |
% |
| Operating Profit (Loss) |
|
$ |
252.5 |
|
|
$ |
29.7 |
|
|
$ |
282.2 |
|
|
$ |
(798.2 |
) |
|
$ |
1,045.3 |
|
|
$ |
247.1 |
|
|
14 |
% |
| Operating Margin |
|
|
22.2 |
% |
|
|
2.6 |
% |
|
|
24.8 |
% |
|
|
-81.4 |
% |
|
|
>100 |
% |
|
|
25.2 |
% |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Segment Results: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Wizards of the Coast and Digital Gaming: |
|
|
|
|
|
|
|
|
|
|
|
|
| External Net Revenues |
|
$ |
663.8 |
|
|
$ |
— |
|
|
$ |
663.8 |
|
|
$ |
522.4 |
|
|
$ |
— |
|
|
$ |
522.4 |
|
|
27 |
% |
| Operating Profit |
|
$ |
270.0 |
|
|
$ |
— |
|
|
$ |
270.0 |
|
|
|
241.8 |
|
|
$ |
— |
|
|
$ |
241.8 |
|
|
12 |
% |
| Operating Margin |
|
|
40.7 |
% |
|
|
— |
|
|
|
40.7 |
% |
|
|
46.3 |
% |
|
|
— |
|
|
|
46.3 |
% |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Consumer Products: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| External Net Revenues |
|
$ |
463.0 |
|
|
$ |
— |
|
|
$ |
463.0 |
|
|
$ |
442.4 |
|
|
$ |
— |
|
|
$ |
442.4 |
|
|
5 |
% |
| Operating (Loss) Profit |
|
$ |
(14.5 |
) |
|
$ |
7.0 |
|
|
$ |
(7.5 |
) |
|
|
(1,029.6 |
) |
|
$ |
1,030.8 |
|
|
$ |
1.2 |
|
|
>-100 |
% |
| Operating Margin |
|
|
-3.1 |
% |
|
|
1.5 |
% |
|
|
-1.6 |
% |
|
|
>-100 |
% |
|
|
>100 |
% |
|
|
0.3 |
% |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Entertainment: |
|
|
|
|
|
|
|
|
|
|
|
|
| External Net Revenues |
|
$ |
12.8 |
|
|
$ |
— |
|
|
$ |
12.8 |
|
|
$ |
16.0 |
|
|
$ |
— |
|
|
$ |
16.0 |
|
|
-20 |
% |
| Operating Profit |
|
$ |
5.6 |
|
|
$ |
3.0 |
|
|
$ |
8.6 |
|
|
|
6.3 |
|
|
$ |
3.8 |
|
|
$ |
10.1 |
|
|
-15 |
% |
| Operating Margin |
|
|
43.8 |
% |
|
|
23.4 |
% |
|
|
67.2 |
% |
|
|
39.4 |
% |
|
|
23.8 |
% |
|
|
63.1 |
% |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Corporate and Other: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Operating (Loss) Profit |
|
$ |
(8.6 |
) |
|
$ |
19.7 |
|
|
$ |
11.1 |
|
|
$ |
(16.7 |
) |
|
$ |
10.7 |
|
|
$ |
(6.0 |
) |
|
>100 |
% |
| (1) Amounts may not sum due to rounding |
| |
|
Three Months Ended |
| Wizards of the Coast and Digital Gaming Net Revenues by Category: |
|
June 28, 2026 |
|
June 29, 2025 |
|
% Change |
| Tabletop Gaming |
|
$ |
528.3 |
|
$ |
406.3 |
|
30 |
% |
| Digital and Licensed Gaming |
|
|
135.5 |
|
|
116.1 |
|
17 |
% |
| Net revenues |
|
$ |
663.8 |
|
$ |
522.4 |
|
27 |
% |
| |
|
Three Months Ended |
| Consumer Products Segment Net Revenues by Major Geographic Region: |
|
June 28, 2026 |
|
June 29, 2025 |
|
% Change |
| North America |
|
$ |
277.0 |
|
$ |
236.0 |
|
17 |
% |
| Europe |
|
|
92.9 |
|
|
95.7 |
|
-3 |
% |
| Asia Pacific |
|
|
53.2 |
|
|
63.6 |
|
-16 |
% |
| Latin America |
|
|
39.9 |
|
|
47.1 |
|
-15 |
% |
| Net revenues |
|
$ |
463.0 |
|
$ |
442.4 |
|
5 |
% |
| |
|
Three Months Ended |
| Entertainment Segment Net Revenues by Category: |
|
June 28, 2026 |
|
June 29, 2025 |
|
% Change |
| Family Brands |
|
$ |
11.8 |
|
$ |
14.5 |
|
-19 |
% |
| Film and TV |
|
|
1.0 |
|
|
1.5 |
|
-33 |
% |
| Net revenues |
|
$ |
12.8 |
|
$ |
16.0 |
|
-20 |
% |
| |
|
Three Months Ended |
| Supplementary Hasbro Gaming Information: |
|
June 28, 2026 |
|
June 29, 2025 |
|
% Change |
| Magic: The Gathering |
|
$ |
545.3 |
|
$ |
412.0 |
|
32 |
% |
| Hasbro Total Gaming (1) |
|
$ |
759.2 |
|
$ |
615.8 |
|
23 |
% |
| (1) Hasbro Total Gaming includes all gaming revenue, most notably Dungeons & Dragons, Magic: The Gathering and Hasbro Gaming. |
| |
|
Six Months Ended June 28, 2026 |
|
Six Months Ended June 29, 2025 |
|
|
| Operating Results: |
|
As Reported |
|
Non-GAAP Adjustments |
|
Adjusted |
|
As Reported |
|
Non-GAAP Adjustments |
|
Adjusted |
|
% Change |
| Total Company Results: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| External Net Revenues |
|
$ |
2,139.8 |
|
|
$ |
— |
|
|
$ |
2,139.8 |
|
|
$ |
1,867.9 |
|
|
$ |
— |
|
|
$ |
1,867.9 |
|
|
15 |
% |
| Operating Profit (Loss) |
|
$ |
522.8 |
|
|
$ |
46.4 |
|
|
$ |
569.2 |
|
|
$ |
(627.5 |
) |
|
$ |
1,097.1 |
|
|
$ |
469.6 |
|
|
21 |
% |
| Operating Margin |
|
|
24.4 |
% |
|
|
2.2 |
% |
|
|
26.6 |
% |
|
|
-33.6 |
% |
|
|
58.7 |
% |
|
|
25.1 |
% |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Segment Results: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Wizards of the Coast and Digital Gaming: |
|
|
|
|
|
|
|
|
|
|
|
|
| External Net Revenues |
|
$ |
1,245.8 |
|
|
$ |
— |
|
|
$ |
1,245.8 |
|
|
$ |
984.5 |
|
|
$ |
— |
|
|
$ |
984.5 |
|
|
27 |
% |
| Operating Profit |
|
$ |
567.7 |
|
|
$ |
— |
|
|
$ |
567.7 |
|
|
$ |
471.8 |
|
|
$ |
— |
|
|
$ |
471.8 |
|
|
20 |
% |
| Operating Margin |
|
|
45.6 |
% |
|
|
— |
|
|
|
45.6 |
% |
|
|
47.9 |
% |
|
|
— |
|
|
|
47.9 |
% |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Consumer Products: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| External Net Revenues |
|
$ |
860.9 |
|
|
$ |
— |
|
|
$ |
860.9 |
|
|
$ |
840.7 |
|
|
$ |
— |
|
|
$ |
840.7 |
|
|
2 |
% |
| Operating (Loss) |
|
$ |
(62.0 |
) |
|
$ |
14.0 |
|
|
$ |
(48.0 |
) |
|
$ |
(1,073.5 |
) |
|
$ |
1,043.7 |
|
|
$ |
(29.8 |
) |
|
-61 |
% |
| Operating Margin |
|
|
-7.2 |
% |
|
|
1.6 |
% |
|
|
-5.6 |
% |
|
|
>-100 |
% |
|
|
>100 |
% |
|
|
-3.5 |
% |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Entertainment: |
|
|
|
|
|
|
|
|
|
|
|
|
| External Net Revenues |
|
$ |
33.1 |
|
|
$ |
— |
|
|
$ |
33.1 |
|
|
$ |
42.7 |
|
|
$ |
— |
|
|
$ |
42.7 |
|
|
-22 |
% |
| Operating Profit (Loss) |
|
$ |
22.9 |
|
|
$ |
6.0 |
|
|
$ |
28.9 |
|
|
$ |
(4.9 |
) |
|
$ |
32.4 |
|
|
$ |
27.5 |
|
|
5 |
% |
| Operating Margin |
|
|
69.2 |
% |
|
|
18.1 |
% |
|
|
87.3 |
% |
|
|
-11.5 |
% |
|
|
75.9 |
% |
|
|
64.4 |
% |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Corporate and Other: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Operating (Loss) Profit |
|
$ |
(5.8 |
) |
|
$ |
26.4 |
|
|
$ |
20.6 |
|
|
$ |
(20.9 |
) |
|
$ |
21.0 |
|
|
$ |
0.1 |
|
|
>100 |
% |
| |
|
Six Months Ended |
| Wizards of the Coast and Digital Gaming Net Revenues by Category |
|
June 28, 2026 |
|
June 29, 2025 |
|
% Change |
| Tabletop Gaming |
|
$ |
989.0 |
|
$ |
750.1 |
|
32 |
% |
| Digital and Licensed Gaming |
|
|
256.8 |
|
|
234.4 |
|
10 |
% |
| Net revenues |
|
$ |
1,245.8 |
|
$ |
984.5 |
|
27 |
% |
| |
|
Six Months Ended |
| Consumer Products Segment Net Revenues by Major Geographic Region |
|
June 28, 2026 |
|
June 29, 2025 |
|
% Change |
| North America |
|
$ |
492.4 |
|
$ |
467.4 |
|
5 |
% |
| Europe |
|
|
192.5 |
|
|
180.7 |
|
7 |
% |
| Asia Pacific |
|
|
107.0 |
|
|
117.4 |
|
-9 |
% |
| Latin America |
|
|
69.0 |
|
|
75.2 |
|
-8 |
% |
| Net revenues |
|
$ |
860.9 |
|
$ |
840.7 |
|
2 |
% |
| |
|
Six Months Ended |
| Entertainment Segment Net Revenues by Category |
|
June 28, 2026 |
|
June 29, 2025 |
|
% Change |
| Family Brands |
|
$ |
30.4 |
|
$ |
36.9 |
|
-18 |
% |
| Film and TV |
|
|
2.7 |
|
|
5.8 |
|
-53 |
% |
| Net revenues |
|
$ |
33.1 |
|
$ |
42.7 |
|
-22 |
% |
| |
|
Six Months Ended |
| Supplementary Hasbro Gaming Information: |
|
June 28, 2026 |
|
June 29, 2025 |
|
% Change |
| Magic: The Gathering |
|
$ |
1,014.9 |
|
$ |
758.3 |
|
34 |
% |
| Hasbro Total Gaming (1) |
|
$ |
1,423.1 |
|
$ |
1,165.9 |
|
22 |
% |
| (1) Hasbro Total Gaming includes all gaming revenue, most notably Dungeons & Dragons, Magic: The Gathering and Hasbro Gaming. |
| HASBRO, INC.
NON-GAAP RECONCILIATION
(Unaudited)
(Millions of Dollars) |
|
|
|
|
| |
Three Months Ended |
|
Six Months Ended |
| Reconciliation of EBITDA and Adjusted EBITDA: (1) |
June 28, 2026 |
|
June 29, 2025 |
|
June 28, 2026 |
|
June 29, 2025 |
| Net earnings (loss) attributable to Hasbro, Inc. |
$ |
160.9 |
|
$ |
(855.8 |
) |
|
$ |
359.3 |
|
$ |
(757.2 |
) |
| Interest expense |
|
46.5 |
|
|
40.6 |
|
|
|
88.3 |
|
|
82.2 |
|
| Income tax expense |
|
47.4 |
|
|
40.0 |
|
|
|
92.0 |
|
|
77.1 |
|
| Net earnings attributable to noncontrolling interests |
|
0.4 |
|
|
1.1 |
|
|
|
1.5 |
|
|
2.0 |
|
| Depreciation expense |
|
17.4 |
|
|
14.9 |
|
|
|
28.7 |
|
|
32.1 |
|
| Amortization of intangibles |
|
14.6 |
|
|
17.2 |
|
|
|
29.2 |
|
|
34.2 |
|
| EBITDA |
|
287.2 |
|
|
(742.0 |
) |
|
|
599.0 |
|
|
(529.6 |
) |
| |
|
|
|
|
|
|
|
| Share-based compensation |
|
23.5 |
|
|
11.3 |
|
|
|
44.4 |
|
|
29.7 |
|
| Strategic transformation initiatives (2) |
|
0.8 |
|
|
3.9 |
|
|
|
1.9 |
|
|
11.1 |
|
| Restructuring and severance costs (3) |
|
8.1 |
|
|
6.8 |
|
|
|
13.7 |
|
|
12.7 |
|
| Loss on disposal of business (4) |
|
— |
|
|
— |
|
|
|
— |
|
|
25.0 |
|
| eOne Film and TV business divestiture related costs (5) |
|
— |
|
|
0.1 |
|
|
|
— |
|
|
5.6 |
|
| Impairment of goodwill (6) |
|
— |
|
|
1,021.9 |
|
|
|
— |
|
|
1,021.9 |
|
| Unauthorized network access (7) |
|
10.8 |
|
|
— |
|
|
|
10.8 |
|
|
— |
|
| Adjusted EBITDA |
$ |
330.4 |
|
$ |
302.0 |
|
|
$ |
669.8 |
|
$ |
576.4 |
|
| (1) Amounts may not sum due to rounding |
| (2) Strategic transformation initiatives costs represent non-recurring expenses for strategic projects with anticipated long-term benefits to support the organization in identifying, realizing and capturing savings to create efficiencies and improve business processes and operations. |
| (3) Restructuring and severance associated with cost-savings initiatives across the Company. |
| (4) Loss on disposal of a business related to the sale of the eOne Film and TV business executed on December 27, 2023. The costs are included in Loss on disposal of business within the Entertainment segment. |
| (5) eOne Film and TV business divestiture related costs as a result of the sale of the eOne Film and TV business and certain retained liabilities. |
| (6) During Q2 2025, Hasbro recorded a non-cash goodwill impairment charge of $1,021.9 million in the Consumer Products segment, following completion of an interim quantitative assessment of goodwill triggered by the implementation of tariffs. |
| (7) Incremental costs incurred by Hasbro as a result of the identification of unauthorized network access in late March 2026, including third-party legal and remediation costs. |
| HASBRO, INC.
NON-GAAP RECONCILIATION
(Unaudited)
(Millions of Dollars) |
|
|
|
|
|
| |
|
Three Months Ended |
|
Six Months Ended |
| Reconciliation of Adjusted Operating Profit: (1) |
|
June 28, 2026 |
|
June 29, 2025 |
|
June 28, 2026 |
|
June 29, 2025 |
| Operating Profit (Loss): |
|
$ |
252.5 |
|
|
$ |
(798.2 |
) |
|
$ |
522.8 |
|
|
$ |
(627.5 |
) |
| Wizards of the Coast and Digital Gaming |
|
|
270.0 |
|
|
|
241.8 |
|
|
|
567.7 |
|
|
|
471.8 |
|
| Consumer Products |
|
|
(14.5 |
) |
|
|
(1,029.6 |
) |
|
|
(62.0 |
) |
|
|
(1,073.5 |
) |
| Entertainment |
|
|
5.6 |
|
|
|
6.3 |
|
|
|
22.9 |
|
|
|
(4.9 |
) |
| Corporate and Other |
|
|
(8.6 |
) |
|
|
(16.7 |
) |
|
$ |
(5.8 |
) |
|
|
(20.9 |
) |
| |
|
|
|
|
|
|
|
|
| Non-GAAP Adjustments: |
|
$ |
29.7 |
|
|
$ |
1,045.3 |
|
|
$ |
46.4 |
|
|
$ |
1,097.1 |
|
| Consumer Products |
|
|
7.0 |
|
|
|
1,030.8 |
|
|
|
14.0 |
|
|
|
1,043.7 |
|
| Entertainment |
|
|
3.0 |
|
|
|
3.8 |
|
|
|
6.0 |
|
|
|
32.4 |
|
| Corporate and Other |
|
|
19.7 |
|
|
|
10.7 |
|
|
|
26.4 |
|
|
|
21.0 |
|
| |
|
|
|
|
|
|
|
|
| Adjusted Operating Profit: |
|
$ |
282.2 |
|
|
$ |
247.1 |
|
|
$ |
569.2 |
|
|
$ |
469.6 |
|
| Wizards of the Coast and Digital Gaming |
|
|
270.0 |
|
|
|
241.8 |
|
|
|
567.7 |
|
|
|
471.8 |
|
| Consumer Products |
|
|
(7.5 |
) |
|
|
1.2 |
|
|
|
(48.0 |
) |
|
|
(29.8 |
) |
| Entertainment |
|
|
8.6 |
|
|
|
10.1 |
|
|
|
28.9 |
|
|
|
27.5 |
|
| Corporate and Other |
|
|
11.1 |
|
|
|
(6.0 |
) |
|
|
20.6 |
|
|
|
0.1 |
|
| |
|
|
|
|
|
|
|
|
| Non-GAAP Adjustments include the following: |
|
|
|
|
|
|
|
|
| Acquired intangible amortization (2) |
|
|
10.0 |
|
|
|
12.6 |
|
|
|
20.0 |
|
|
|
25.0 |
|
| Strategic transformation initiatives (3) |
|
|
0.8 |
|
|
|
3.9 |
|
|
|
1.9 |
|
|
|
11.1 |
|
| Restructuring and severance costs (4) |
|
|
8.1 |
|
|
|
6.8 |
|
|
|
13.7 |
|
|
|
12.7 |
|
| Loss on disposal of business (5) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
25.0 |
|
| eOne Film and TV business divestiture related costs (6) |
|
|
— |
|
|
|
0.1 |
|
|
|
— |
|
|
|
1.4 |
|
| Impairment of goodwill (7) |
|
|
— |
|
|
|
1,021.9 |
|
|
|
— |
|
|
|
1,021.9 |
|
| Unauthorized network access (8) |
|
|
10.8 |
|
|
|
— |
|
|
|
10.8 |
|
|
|
— |
|
| Total |
|
$ |
29.7 |
|
|
$ |
1,045.3 |
|
|
$ |
46.4 |
|
|
$ |
1,097.1 |
|
| (1) Amounts may not sum due to rounding |
| (2) Represents intangible amortization costs related to the intangible assets acquired in the eOne acquisition. The Company has allocated certain of these intangible amortization costs between the Consumer Products and Entertainment segments, to match the revenue generated from such intangible assets. While amortization of acquired intangibles is being excluded from the related GAAP financial measure, the revenue of the acquired company is reflected within the Company’s operating results to which these assets contribute. |
| (3) Strategic transformation initiatives costs represent non-recurring expenses for strategic projects with anticipated long-term benefits to support the organization in identifying, realizing and capturing savings to create efficiencies and improve business processes and operations. |
| (4) Restructuring and severance costs associated with cost-savings initiatives across the Company. |
| (5) Loss on disposal of a business related to the sale of the eOne Film and TV business executed on December 27, 2023. The costs are included in Loss on disposal of business within the Entertainment segment. |
| (6) eOne Film and TV business divestiture related costs as a result of the sale of the eOne Film and TV business and certain retained liabilities. |
| (7) During Q2 2025, Hasbro recorded a non-cash goodwill impairment charge of $1,021.9 million in the Consumer Products segment, following completion of an interim quantitative assessment of goodwill triggered by the implementation of tariffs. |
| (8) Incremental costs incurred by Hasbro as a result of the identification of unauthorized network access in late March 2026, including third-party legal and remediation costs. |
| HASBRO, INC.
NON-GAAP RECONCILIATION
(Unaudited)
(Millions of Dollars and Shares, Except Per Share Data) |
|
|
| Reconciliation of Net Earnings and Earnings per Share: (1) |
| |
Three Months Ended |
| |
June 28, 2026 |
|
Diluted Per Share Amount |
|
June 29, 2025 |
|
Diluted Per Share Amount |
| Net Earnings (Loss) Attributable to Hasbro |
$ |
160.9 |
|
$ |
1.12 |
|
$ |
(855.8 |
) |
|
$ |
(6.10 |
) |
| Acquired intangible amortization (2) |
|
7.5 |
|
|
0.05 |
|
|
9.4 |
|
|
|
0.07 |
|
| Strategic transformation initiatives (3) |
|
0.7 |
|
|
0.01 |
|
|
3.0 |
|
|
|
0.02 |
|
| Restructuring and severance costs (4) |
|
6.1 |
|
|
0.04 |
|
|
5.3 |
|
|
|
0.04 |
|
| eOne Film and TV divestiture related costs (6) |
|
— |
|
|
— |
|
|
0.1 |
|
|
|
— |
|
| Impairment of goodwill (7) |
|
— |
|
|
— |
|
|
1,021.9 |
|
|
|
7.24 |
|
| Unauthorized network access (8) |
|
8.3 |
|
|
0.06 |
|
|
— |
|
|
|
— |
|
| Net Earnings Attributable to Hasbro as Adjusted |
$ |
183.5 |
|
$ |
1.28 |
|
$ |
183.9 |
|
|
$ |
1.30 |
|
| Reconciliation of Net Earnings and Earnings per Share: (1) |
| |
Six Months Ended |
| |
June 28, 2026 |
|
Diluted Per Share Amount |
|
June 29, 2025 |
|
Diluted Per Share Amount |
| Net Earnings (Loss) Attributable to Hasbro |
|
359.3 |
|
$ |
2.51 |
|
$ |
(757.2 |
) |
|
$ |
(5.41 |
) |
| Acquired intangible amortization (2) |
|
15.0 |
|
|
0.10 |
|
|
18.7 |
|
|
|
0.13 |
|
| Strategic transformation initiatives (3) |
|
1.5 |
|
|
0.02 |
|
|
8.5 |
|
|
|
0.06 |
|
| Restructuring and severance costs (4) |
|
10.4 |
|
|
0.07 |
|
|
9.8 |
|
|
|
0.07 |
|
| Loss on disposal of business (5) |
|
— |
|
|
— |
|
|
25.0 |
|
|
|
0.18 |
|
| eOne Film and TV divestiture related costs (6) |
|
— |
|
|
— |
|
|
4.2 |
|
|
|
0.03 |
|
| Impairment of goodwill (7) |
|
— |
|
|
— |
|
|
1,021.9 |
|
|
|
7.24 |
|
| Unauthorized network access (8) |
|
8.3 |
|
|
0.06 |
|
|
— |
|
|
|
— |
|
| Net Earnings Attributable to Hasbro as Adjusted |
$ |
394.5 |
|
$ |
2.76 |
|
$ |
330.9 |
|
|
$ |
2.35 |
|
| (1) Amounts may not sum due to rounding |
| (2) Represents intangible amortization costs related to the intangible assets acquired in the eOne acquisition. The Company has allocated certain of these intangible amortization costs between the Consumer Products and Entertainment segments, to match the revenue generated from such intangible assets. While amortization of acquired intangibles is being excluded from the related GAAP financial measure, the revenue of the acquired company is reflected within the Company’s operating results to which these assets contribute. |
| (3) Strategic transformation initiatives costs represent non-recurring expenses for strategic projects with anticipated long-term benefits to support the organization in identifying, realizing and capturing savings to create efficiencies and improve business processes and operations. These costs primarily consist of third party consulting of $0.8 ($0.7 after-tax) and $1.9 ($1.5 after-tax) for the three and six months ended June 28, 2026, respectively, and $3.9 ($3.0 after-tax) and $11.1 ($8.5 after-tax) for the three months and six months ended June 29, 2025, respectively. |
| (4) Restructuring and severance costs of $8.1 ($6.1 after-tax) and $13.7 ($10.4 after-tax) for the three months and six months ended June 28, 2026, respectively, and $6.8 ($5.3 after-tax) and $12.7 ($9.8 after-tax) for the three months and six months ended June 29, 2025, respectively, associated with cost-savings initiatives across the Company. |
| (5) Loss on disposal of a business of $25.0 ($25.0 after-tax) for the three months and six months ended June 29, 2025, respectively, related to the sale of the eOne Film and TV business executed on December 27, 2023. The costs are included in Loss on Disposal of Business within the Entertainment segment. |
| (6) eOne Film and TV business divestiture related costs of $0.1 ($0.1 after-tax) and $5.4 ($4.2 after-tax) for the three months and six months ended June 29, 2025, respectively, as a result of the sale of the eOne Film and TV business and certain retained liabilities. |
| (7) During Q2 2025, Hasbro recorded a non-cash goodwill impairment charge of $1,021.9 million in the Consumer Products segment, following completion of an interim quantitative assessment of goodwill triggered by the implementation of tariffs. |
| (8) Incremental costs incurred by Hasbro as a result of the identification of unauthorized network access in late March 2026, including third-party legal and remediation costs. These costs total $10.8 ($8.3 after-tax) for the three months and six months ended June 28, 2026, respectively. |
