Sign Up for Updates

Hasbro Posts Higher Revenue, Income for Q4, Year image

Hasbro Posts Higher Revenue, Income for Q4, Year

Hasbro’s net income for Q4 ended Dec. 25 jumped 9.6 percent to $192.7 million as revenue rose 11 percent to $1.63 billion amid strong sales of Disney Princess and Frozen-related products.

For the year, Hasbro’s net income jumped 22 percent to $551.4 million as revenue increased 13 percent to $5.02 billion, the first time past the $5 billion mark.

Among Hasbro’s licensed properties, sales of Hasbro’s Star Wars-related items were “down slightly” in Q4 and were partly responsible for the toymaker ending the year with a slight increase in inventory to $388 million from $384 million a year earlier. Hasbro CEO Brian Goldner told analysts.

“As we go forward with Rogue One there will be more excitement as kids connect with the story,” Goldner said. “We are set up for a strong year with Star Wars” given the franchise’s 40th anniversary and the release of Star Wars: Episode VII – The Last Jedi in December. Hasbro’s online sales of Star Wars merchandise outstripped those sold in brick and mortar retail, company executives said.

Sales of Hasbro’s partner brands (those licensed in) increased 16% in Q4 to $433.7 million. Hasbro’s girls’ products, which include the Princess and Frozen licenses and Trolls, posted a 52% increase in Q4 sales to $394.2 million. For the year, Hasbro revenue from partner brands rose 28% to $1.41 billion.

In entertainment and licensing, Hasbro’s Q4 operating profit declined 55% to $16.5 million as it took a $32.9 million impairment charge tied to its Backflip Studios mobile game development subsidiary. Entertainment and licensing revenue rose 36% in Q4 to $114.6 million.

Habro’s Star Wars business will follow “a similar template” to 2016 with global sales forecast at around $500 million, Goldner said. The toymaker expects Marvel-related business to “accelerate further” this year given the release of three movies – Spider-Man: Homecoming (June), Guardians of the Galaxy Vol. 2 (May 5) and Avengers of Justice: Farce Wars. Hasbro posts annual sales of Marvel-related gear of about $500 million, analysts have said.

become a member today

learn more

  • Copyright © 2024 Licensing International
  • Translation provided by Google Translate, please pardon any shortcomings

    int(6545)