Hasbro Reports Fourth Quarter and Full Year 2025 Financial Results
MWN-AI** Summary
Hasbro, Inc. (NASDAQ: HAS) announced its fourth-quarter and full-year financial results for 2025, which highlighted a strong operational execution under its "Playing to Win" strategy. CEO Chris Cocks stated that the company engaged one billion fans, secured new partnerships, and made strides towards becoming a digital-first play and IP company. For 2025, Hasbro's revenue rose by 14% year-over-year, largely driven by an impressive 45% growth in its Wizards of the Coast and Digital Gaming segment. This segment saw record revenue from MAGIC: THE GATHERING, which increased by 59% compared to the previous year.
Despite challenges in Consumer Products and Entertainment segments—both down 4%—Hasbro reported an operating profit of $11 million. Adjusted for non-cash goodwill impairment and other items, the operating profit reached $1,140 million, representing a 36% increase year-over-year, with an adjusted operating margin of 24.2%.
The fourth quarter alone witnessed a revenue growth of 31%, largely attributed to a remarkable 86% surge in the digital gaming space. Operating profit was reported at $298 million, marking a significant improvement over the previous year.
For 2026, Hasbro anticipates a revenue increase of 3% to 5% in constant currency and plans to maintain shareholder returns through dividends, allocating $1 billion for share repurchases. A quarterly cash dividend of $0.70 was declared, payable in March 2026. With a focus on balancing investments in core business areas while returning cash to shareholders, Hasbro appears positioned for continued growth and operational success in the upcoming year.
MWN-AI** Analysis
Hasbro, Inc. (NASDAQ: HAS) reported an impressive fourth quarter and full year for 2025, showcasing a significant turnaround as its "Playing to Win" strategy begins to pay dividends. Revenue surged by 14%, primarily driven by a remarkable 45% increase in the Wizards of the Coast and Digital Gaming segment, anchored by an outstanding performance from MAGIC: THE GATHERING. This highlights the effectiveness of their digital transformation and product innovation efforts.
However, while the company’s focus on gaming and digital products is commendable, the Consumer Products segment experienced a 4% decline. The operational adjustments and cost transformation initiatives have improved margins, with adjusted operating profit increasing by 36%, showcasing better profitability despite overall revenue growth challenges in traditional segments.
Investors should monitor Hasbro's strategic pivot toward digital. With a successful gaming portfolio and a newly anticipated $1 billion share repurchase program alongside consistent dividends, the company demonstrates a commitment to returning value to shareholders. The focus on returning cash via dividends ($0.70 per share) also signals financial health and shareholder confidence.
For 2026, management projects a modest revenue growth of 3% to 5% in constant currency terms, along with an adjusted operating margin between 24% and 25%. This guidance reflects a balanced approach to growth and shareholder returns, essential for investor sentiment.
Considering these factors, Hasbro appears well-positioned for sustainable growth. However, investors should remain cautious due to potential headwinds in Consumer Products and the broader economic landscape, which could affect discretionary spending. Thus, a "buy" position appears favorable for those looking to capitalize on the company’s digital transformation while keeping a close eye on evolving market conditions.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
Playing to Win Drives Revenue, Profit and Earnings Growth for the Full Year
Company Issues 2026 Guidance and Declares Dividend
Announces $1 Billion Share Repurchase Program
Hasbro, Inc. (NASDAQ: HAS), a leading games, IP, and toy company, today reported financial results for the fourth quarter and full year 2025.
“I am proud of the results our team delivered in 2025 and the success of our Playing to Win strategy,” said Chris Cocks, Chief Executive Officer of Hasbro. “We returned the company to growth, engaged one billion fans, secured new partnerships, and made progress in our evolution into a digital-first play and IP company. We expect that momentum to carry into 2026.”
“2025 reflected strong operational execution, driven by progress on our transformation and cost savings initiatives. Wizards was a standout, anchored by record MAGIC revenue,” said Gina Goetter, Chief Financial Officer and Chief Operating Officer of Hasbro. “Looking ahead, we will continue to balance investment in the business with shareholder returns, including through a $1.0 billion share repurchase program.”
Full Year 2025 Highlights
- Full year Hasbro revenue increased 14% driven by record 45% growth in the Wizards of the Coast and Digital Gaming segment. Consumer Products declined 4% and Entertainment was down 4%.
- MAGIC: THE GATHERING finished its strongest year ever, up 59% vs. PY with a successful Q4 Avatar: The Last Airbender set and ongoing strength in backlist and Secret Lair.
- Operating profit of $11 million and operating margin of 0.2% reflects the second quarter 2025 non-cash goodwill impairment.
- Adjusted operating profit of $1,140 million (+36% vs. PY) and adjusted operating margin of 24.2% (+3.9 points vs. PY), driven by favorable business mix and benefits from cost transformation efforts.
- Reported net loss of $2.30 per share; adjusted net earnings of $5.54 per diluted share.
- Returned $393 million to shareholders via dividends.
- EBITDA of $197 million and Adjusted EBITDA of $1.36 billion, ahead of guidance.
- Spent $225 million on debt reduction through the combination of bond repurchases and prefunding maturities, achieving debt targets ahead of schedule.
- Operating cash flow of $893 million vs. $847 million in the prior year driven by improved profitability.
Full Year 2025 Segment Details
Wizards of the Coast and Digital Gaming Segment
- Revenue grew 45% driven by standout performance in MAGIC: THE GATHERING and growth in licensed digital gaming.
- MAGIC: THE GATHERING revenues increased 59% powered by Universes Beyond sets, backlist and Secret Lair.
- Digital and Licensed Gaming increased 6% with Monopoly Go! contributing $168 million for the full year 2025.
- Operating profit of $1,007 million increased 59%, with a 46.0% operating margin highlighting the over-performance and favorable business mix.
Consumer Products Segment
- Revenue decreased 4%, which was better than expected, as shifts in retail order timing impacted full year results.
- Highlights include growth in PEPPA PIG, HASBRO GAMING, TRANSFORMERS, Marvel and Beyblade.
- Operating loss of $943 million includes a second quarter 2025 non-cash goodwill impairment.
- Adjusted operating profit of $113 million, down 26% versus last year behind lower revenues and tariff costs.
Entertainment Segment
- Revenue decline of 4% driven by lower digital and ad revenues.
- Operating margin of 0.5%; adjusted operating margin of 51.4% down versus PY due to lower revenues.
Fourth Quarter 2025 Highlights
- Hasbro revenues increased 31% vs. PY, with growth in Wizards and Digital Gaming (+86%) and Consumer Products (+7%) partially offset by a decline in Entertainment (-5%).
- Operating profit of $298 million (+$238 million vs. PY) with an operating margin of 20.6%.
- Adjusted operating profit was $315 million (+$202 million vs. PY) with an operating margin of 21.8%, an approximate 12-point improvement versus last year.
- Net earnings of $1.41 per diluted share; adjusted net earnings of $1.51 per diluted share benefiting from favorable business mix and improved profitability.
See the financial tables accompanying the press release for a reconciliation of GAAP to non-GAAP financial measures.
2026 Company Outlook
For the full year, the Company expects:
- Total Hasbro revenue up 3%-5% in constant currency.
- Adjusted operating margin of 24%-25%.
- Adjusted EBITDA of $1.40 billion to $1.45 billion.
2026 Capital Allocation priorities:
- Invest in core business.
- Return cash to shareholders through dividends and share repurchases. The Board of Directors authorized a new share repurchase program of up to $1.0 billion, replacing the Company’s prior 2018 authorization.
- Continue to pay down debt.
Dividend Announcement
The Board of Directors has declared a quarterly cash dividend of $0.70 per common share payable on March 4, 2026, to shareholders of record at the close of business on February 18, 2026.
Conference Call Webcast
Hasbro will webcast its fourth quarter and full year 2025 earnings conference call at 8:30 a.m. Eastern Time today. To listen to the live webcast and access the accompanying presentation slides, please go to https://investor.hasbro.com . The replay of the call will be available on Hasbro’s website approximately 2 hours following completion of the call.
About Hasbro
Hasbro is a leading games, IP and toy company whose mission is to create joy and community through the magic of play. With 165 years of expertise, Hasbro delivers groundbreaking play experiences and reaches more than 1 billion fans annually around the world, through physical and digital games, video games, toys, licensed consumer products, location-based entertainment, film, TV and more.
Through its franchise-first approach, Hasbro unlocks value from both new and legacy IP, including MAGIC: THE GATHERING, DUNGEONS & DRAGONS, MONOPOLY, HASBRO GAMES, NERF, TRANSFORMERS, PLAY-DOH and PEPPA PIG, as well as premier partner brands. Powered by its portfolio of thousands of iconic marks and a diversified network of partners and subsidiary studios, Hasbro brings fans together wherever they are, from tabletop to screen.
For more than a decade, Hasbro has been consistently recognized for its corporate citizenship, including being named one of the 100 Best Corporate Citizens by 3BL Media, a 2025 JUST Capital Industry Leader, one of the 50 Most Community-Minded Companies in the U.S. by the Civic 50, and a Brand that Matters by Fast Company. For more information, visit https://corporate.hasbro.com or @Hasbro on LinkedIn.
© 2026 Hasbro, Inc. All Rights Reserved.
Forward Looking Statement Safe Harbor
Certain statements in this press release contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements, which may be identified by the use of forward-looking words or phrases, include statements relating to: our business strategies and plans; products, gaming and entertainment; anticipated cost savings; expected debt repayments and share repurchases; expected impact of tariffs; anticipated benefits and potential impact of moving our Rhode Island operations to Boston, Massachusetts; expected impact of newly issued accounting pronouncements; financial targets; and expectations for our future performance. Our actual actions or results may differ materially from those expected or anticipated in the forward-looking statements due to both known and unknown risks and uncertainties.
Factors that might cause such a difference include, but are not limited to:
- our ability to successfully implement and execute on our Playing to Win business strategy;
- our ability to successfully compete in the play industry and further develop our digital gaming, licensing and consumer products businesses and partnerships;
- risks associated with the imposition, threat, or uncertainty of tariffs, including the impact of reciprocal or retaliatory tariffs, in markets in which we operate which could increase our product costs and other costs of doing business, result in higher prices of our products, impact consumer spending, lower our revenues, result in delays or reductions in purchases from our customers, result in goodwill impairments, reduce earnings and otherwise have an adverse impact on our business;
- risks associated with international operations, such as: the imposition or threat of tariffs; conflict in territories in which we operate or which affect areas in which we operate; currency conversion; currency fluctuations; quotas; shipping delays or difficulties; border adjustment taxes or other protectionist measures; and other challenges in the territories in which we operate;
- risks related to political, economic and public health conditions or regulatory changes in the markets in which we and our customers, partners, licensees, suppliers and manufacturers operate, such as inflation, fluctuating interest rates, tariffs, higher commodity prices, labor strikes, labor costs or transportation costs, or outbreaks of illness or disease, the occurrence of which could create work slowdowns, delays or shortages in production or shipment of products, increases in costs, reduced purchasing power or less discretionary income, or losses and delays in revenue and earnings;
- uncertain and unpredictable global and regional economic conditions impacting one or more of the markets in which we sell products, which can negatively impact our customers and consumers, result in lower employment levels, consumer disposable income, retailer inventories and spending, including lower spending on purchases of our products;
- our ability to transform our business and capabilities to address the changing global consumer landscape, including evolving demographics for our products and advancements in emerging technologies, such as the integration of artificial intelligence into our product development, marketing strategies, and consumer engagement, and the associated risks such as competition, ethical concerns, evolving regulatory standards, implementation challenges, and third-party dependencies on such technologies;
- our ability to design, develop, manufacture, and ship products on a timely, cost-effective and profitable basis;
- the concentration of our customers, potentially increasing the negative impact to our business of difficulties experienced by any of our customers or changes in their purchasing or selling patterns;
- our dependence on third-party relationships, including with third-party partners, manufacturers, distributors, studios, content producers, licensors, licensees, and outsourcers, which creates reliance on others and loss of control;
- risks relating to the concentration of manufacturing for many of our products in the People’s Republic of China, which include the risks associated with increased tariffs imposed on trade between China and the U.S., and our ability to successfully diversify sourcing of our products to reduce reliance on sources of supply in China;
- the success of our key partner brands, including the ability to secure, maintain and extend agreements with our key partners or the risk of delays, increased costs or difficulties associated with any of our or our partners’ planned digital applications or media initiatives;
- our ability to attract and retain talented and diverse employees;
- our business could be adversely affected by challenges and disruptions arising from the loss of skills, knowledge or expertise, and from uncertainty regarding the continued employment of key personnel, particularly as a result of recent workforce reductions and the planned relocation of our Rhode Island operations to Boston, Massachusetts;
- our ability to realize the benefits of cost-savings and efficiency and/or revenue and operating profit enhancing initiatives;
- risks relating to the impairment and/or write-offs related to businesses, products and/or content we acquire and/or produce;
- the risk that acquisitions, dispositions and other investments we complete may not provide us with the benefits we expect, or the realization of such benefits may be significantly delayed or reduced;
- our ability to protect our assets and intellectual property, including as a result of infringement, theft, misappropriation, cyber-attacks or other acts compromising the integrity of our assets or intellectual property;
- fluctuations in our business due to seasonality;
- the risk of product recalls or product liability suits and costs associated with product safety regulations;
- the impact of litigation or arbitration decisions or settlement actions;
- the bankruptcy or other lack of success of one or more of our significant retailers, licensees and other partners; and
- other risks and uncertainties as may be detailed in our public announcements and U.S. Securities and Exchange Commission (“SEC”) filings.
The statements contained herein are based on our current beliefs and expectations. We undertake no obligation to make any revisions to the forward-looking statements contained in this press release or to update them to reflect events or circumstances occurring after the date of this press release.
Non-GAAP Financial Measures
The financial tables accompanying this press release include non-GAAP financial measures as defined under SEC rules, specifically Adjusted operating profit, Adjusted operating margin, Adjusted net earnings and Adjusted net earnings per diluted share, which exclude, where applicable, acquired intangible amortization, strategic transformation initiatives, restructuring and severance costs, loss on disposal of business, eOne Film and TV business divestiture related costs, and non-cash goodwill impairment charges, and Net loss on Discovery Investment. Also included in this press release are the non-GAAP financial measures of EBITDA and Adjusted EBITDA. EBITDA represents net earnings attributable to Hasbro, Inc. excluding interest expense, income tax expense, net earnings attributable to noncontrolling interests, depreciation and amortization of intangibles. Adjusted EBITDA also excludes strategic transformation initiatives, restructuring and severance costs, loss on disposal of business, eOne Film and TV business divestiture related costs, non-cash goodwill impairment charges, Net loss on Discovery Investment and the impact of stock compensation. As required by SEC rules, we have provided reconciliations on the attached schedules of these measures to the most directly comparable GAAP measure. Management believes that Adjusted net earnings, Adjusted net earnings per diluted share, Adjusted operating profit and Adjusted operating margin provide investors with an understanding of the underlying performance of our business absent unusual events. Management believes that EBITDA and Adjusted EBITDA are appropriate measures for evaluating the operating performance of our business because they reflect the resources available for strategic opportunities including, among others, to invest in the business, strengthen the balance sheet and make strategic acquisitions. The Company is not able to reconcile its forward-looking non-GAAP adjusted operating margin and adjusted EBITDA measures because the Company cannot predict with certainty the timing and amounts of discrete items such as charges associated with its cost-savings program, which could impact GAAP results. Constant currency is also a non-GAAP financial measure. The impact of changes in foreign currency exchange rates used to translate the consolidated statements of operations is quantified by translating the current or future period revenues at the prior period exchange rates and comparing this amount to the prior period reported revenues. The Company believes that the presentation of the impact of changes in exchange rates, which are beyond the Company’s control, is helpful to an investor’s understanding of the performance of the underlying business. These non-GAAP measures should be considered in addition to, not as a substitute for, or superior to, net earnings or other measures of financial performance prepared in accordance with GAAP as more fully discussed in our consolidated financial statements and filings with the SEC. As used herein, "GAAP" refers to accounting principles generally accepted in the United States of America.
HAS-E
(Tables Attached)
HASBRO, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (1) (Unaudited) (Millions of Dollars) | |||||
December 28, 2025 | December 29, 2024 | ||||
ASSETS | |||||
Cash and cash equivalents | $ | 776.6 | $ | 695.0 | |
Short-term investments | 105.4 | — | |||
Accounts receivable, net | 1,059.8 | 919.8 | |||
Inventories | 259.8 | 274.2 | |||
Prepaid expenses and other current assets | 382.1 | 353.5 | |||
Total current assets | 2,583.7 | 2,242.5 | |||
Property, plant and equipment, net | 247.8 | 302.6 | |||
Goodwill | 1,256.7 | 2,278.2 | |||
Other intangible assets, net | 456.7 | 518.4 | |||
Other assets | 1,007.1 | 998.6 | |||
Total assets | $ | 5,552.0 | $ | 6,340.3 | |
LIABILITIES, NONCONTROLLING INTERESTS AND SHAREHOLDERS' EQUITY | |||||
Current portion of long-term debt | $ | 497.0 | $ | — | |
Accounts payable | 335.4 | 341.5 | |||
Accrued liabilities | 1,038.7 | 1,059.8 | |||
Total current liabilities | 1,871.1 | 1,401.3 | |||
Long-term debt | 2,767.9 | 3,380.8 | |||
Other liabilities | 347.5 | 373.2 | |||
Total liabilities | 4,986.5 | 5,155.3 | |||
Total shareholders’ equity | 565.5 | 1,185.0 | |||
Total liabilities, noncontrolling interests and shareholders’ equity | $ | 5,552.0 | $ | 6,340.3 | |
(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 | Year Ended | |||||||||||||||||||||||||||
December 28, 2025 | December 29, 2024 | December 28, 2025 | December 29, 2024 | |||||||||||||||||||||||||
Amount | % of Net Revenues | Amount | % of Net Revenues | Amount | % of Net Revenues | Amount | % of Net Revenues | |||||||||||||||||||||
Net revenues | $ | 1,445.9 | 100.0 | % | $ | 1,101.6 | 100.0 | % | $ | 4,701.3 | 100.0 | % | $ | 4,135.5 | 100.0 | % | ||||||||||||
Costs and expenses | ||||||||||||||||||||||||||||
Cost of sales | 452.1 | 31.3 | % | 358.7 | 32.6 | % | 1,296.2 | 27.6 | % | 1,179.5 | 28.5 | % | ||||||||||||||||
Program cost amortization | 14.8 | 1.0 | % | 24.8 | 2.3 | % | 35.8 | 0.8 | % | 49.3 | 1.2 | % | ||||||||||||||||
Royalties | 113.1 | 7.8 | % | 80.0 | 7.3 | % | 368.9 | 7.8 | % | 284.2 | 6.9 | % | ||||||||||||||||
Product development | 130.0 | 9.0 | % | 81.9 | 7.4 | % | 385.6 | 8.2 | % | 294.1 | 7.1 | % | ||||||||||||||||
Advertising | 89.6 | 6.2 | % | 105.7 | 9.6 | % | 316.9 | 6.7 | % | 319.5 | 7.7 | % | ||||||||||||||||
Amortization of intangible assets | 14.6 | 1.0 | % | 17.1 | 1.6 | % | 66.0 | 1.4 | % | 68.3 | 1.7 | % | ||||||||||||||||
Impairment of goodwill | — | 0.0 | % | — | 0.0 | % | 1,021.9 | 21.7 | % | — | 0.0 | % | ||||||||||||||||
Loss on disposal of business | — | 0.0 | % | 13.0 | 1.2 | % | 25.0 | 0.5 | % | 37.4 | 0.9 | % | ||||||||||||||||
Selling, distribution and administration | 334.2 | 23.1 | % | 360.6 | 32.7 | % | 1,173.9 | 25.0 | % | 1,213.2 | 29.3 | % | ||||||||||||||||
Total costs and expenses | 1,148.4 | 79.4 | % | 1,041.8 | 94.6 | % | 4,690.2 | 99.8 | % | 3,445.5 | 83.3 | % | ||||||||||||||||
Operating profit | 297.5 | 20.6 | % | 59.8 | 5.4 | % | 11.1 | 0.2 | % | 690.0 | 16.7 | % | ||||||||||||||||
Non-operating (income) expense | ||||||||||||||||||||||||||||
Interest expense | 40.4 | 2.8 | % | 43.5 | 3.9 | % | 163.4 | 3.5 | % | 171.2 | 4.1 | % | ||||||||||||||||
Interest income | (8.0 | ) | -0.6 | % | (11.3 | ) | -1.0 | % | (28.6 | ) | -0.6 | % | (47.3 | ) | -1.1 | % | ||||||||||||
Other (income) expense, net | (5.8 | ) | -0.4 | % | 84.8 | 7.7 | % | (21.7 | ) | -0.5 | % | 69.1 | 1.7 | % | ||||||||||||||
Total non-operating expense, net | 26.6 | 1.8 | % | 117.0 | 10.6 | % | 113.1 | 2.4 | % | 193.0 | 4.7 | % | ||||||||||||||||
Earnings (loss) before income taxes | 270.9 | 18.7 | % | (57.2 | ) | -5.2 | % | (102.0 | ) | -2.2 | % | 497.0 | 12.0 | % | ||||||||||||||
Income tax expense (benefit) | 67.8 | 4.7 | % | (30.7 | ) | -2.8 | % | 216.2 | 4.6 | % | 102.6 | 2.5 | % | |||||||||||||||
Net earnings (loss) | 203.1 | 14.0 | % | (26.5 | ) | -2.4 | % | (318.2 | ) | -6.8 | % | 394.4 | 9.5 | % | ||||||||||||||
Net earnings attributable to noncontrolling interests | 1.5 | 0.1 | % | 7.8 | 0.7 | % | 4.2 | 0.1 | % | 8.8 | 0.2 | % | ||||||||||||||||
Net earnings (loss) attributable to Hasbro, Inc. | $ | 201.6 | 13.9 | % | $ | (34.3 | ) | -3.1 | % | $ | (322.4 | ) | -6.9 | % | $ | 385.6 | 9.3 | % | ||||||||||
Net earnings (loss) per common share: | ||||||||||||||||||||||||||||
Basic | $ | 1.44 | $ | (0.25 | ) | $ | (2.30 | ) | $ | 2.77 | ||||||||||||||||||
Diluted | $ | 1.41 | $ | (0.25 | ) | $ | (2.30 | ) | $ | 2.75 | ||||||||||||||||||
Cash dividends declared per common share | $ | 0.70 | $ | 0.70 | $ | 2.80 | $ | 2.10 | ||||||||||||||||||||
Weighted Average Number of Shares | ||||||||||||||||||||||||||||
Basic | 140.5 | 139.6 | 140.2 | 139.4 | ||||||||||||||||||||||||
Diluted | 142.6 | 139.6 | 140.2 | 140.3 | ||||||||||||||||||||||||
(1) Amounts may not sum due to rounding |
HASBRO, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (1) (Unaudited) (Millions of Dollars) | |||||||
Year Ended | |||||||
December 28, 2025 | December 29, 2024 | ||||||
Cash flows from operating activities: | |||||||
Net (loss) earnings | $ | (318.2 | ) | $ | 394.4 | ||
Impairment of goodwill | 1,021.9 | — | |||||
Loss on disposal of business | 25.0 | 37.4 | |||||
Other non-cash adjustments | 484.8 | 356.1 | |||||
Changes in operating assets and liabilities | (320.3 | ) | 59.5 | ||||
Net cash provided by operating activities | 893.2 | 847.4 | |||||
Cash flows from investing activities: | |||||||
Additions to property, plant and equipment | (63.3 | ) | (87.2 | ) | |||
Additions to software development | (135.0 | ) | (110.3 | ) | |||
Net settlement from sale of business | — | (12.0 | ) | ||||
Purchase of investments | (105.4 | ) | (571.0 | ) | |||
Maturity of investments | — | 583.0 | |||||
Other | 19.3 | (6.2 | ) | ||||
Net cash utilized by investing activities | (284.4 | ) | (203.7 | ) | |||
Cash flows from financing activities: | |||||||
Proceeds from long-term debt | — | 498.6 | |||||
Repayments of borrowings | (118.2 | ) | (581.3 | ) | |||
Stock-based compensation transactions | 9.6 | 7.6 | |||||
Dividends paid | (392.5 | ) | (389.9 | ) | |||
Payments related to tax withholding for share-based compensation | (23.7 | ) | (14.4 | ) | |||
Payments of financing costs | — | (5.3 | ) | ||||
Other | (6.5 | ) | (12.8 | ) | |||
Net cash utilized by financing activities | (531.3 | ) | (497.5 | ) | |||
Effect of exchange rate changes on cash | 4.1 | 3.4 | |||||
Net increase in cash, cash equivalents and restricted cash | 81.6 | 149.6 | |||||
Cash, cash equivalents and restricted cash, beginning of year | 695.0 | 545.4 | |||||
Cash, cash equivalents and restricted cash, end of year | $ | 776.6 | $ | 695.0 | |||
(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 December 28, 2025 | Three Months Ended December 29, 2024 | |||||||||||||||||||||||||
Operating Results | As Reported | Non-GAAP Adjustments | Adjusted | As Reported | Non-GAAP Adjustments | Adjusted | % Change | |||||||||||||||||||
Total company results | ||||||||||||||||||||||||||
External net revenues | $ | 1,445.9 | $ | — | $ | 1,445.9 | $ | 1,101.6 | $ | — | $ | 1,101.6 | 31 | % | ||||||||||||
Operating profit | 297.5 | 17.3 | 314.8 | 59.8 | 52.9 | 112.7 | >100% | |||||||||||||||||||
Operating margin | 20.6 | % | 1.2 | % | 21.8 | % | 5.4 | % | 4.8 | % | 10.2 | % | ||||||||||||||
Segment results | ||||||||||||||||||||||||||
Wizards of the Coast and Digital Gaming: | ||||||||||||||||||||||||||
External net revenues | $ | 630.4 | $ | — | $ | 630.4 | $ | 339.0 | $ | — | $ | 339.0 | 86 | % | ||||||||||||
Operating profit | 283.5 | — | 283.5 | 80.9 | — | 80.9 | >100% | |||||||||||||||||||
Operating margin | 45.0 | % | — | 45.0 | % | 23.9 | % | — | 23.9 | % | ||||||||||||||||
Consumer Products: | ||||||||||||||||||||||||||
External net revenues | $ | 800.0 | $ | — | $ | 800.0 | $ | 746.3 | $ | — | $ | 746.3 | 7 | % | ||||||||||||
Operating profit | 50.8 | 2.8 | 53.6 | 50.5 | 9.1 | 59.6 | -10 | % | ||||||||||||||||||
Operating margin | 6.4 | % | 0.4 | % | 6.7 | % | 6.8 | % | 1.2 | % | 8.0 | % | ||||||||||||||
Entertainment: | ||||||||||||||||||||||||||
External net revenues | $ | 15.5 | $ | — | $ | 15.5 | $ | 16.3 | $ | — | $ | 16.3 | -5 | % | ||||||||||||
Operating profit (loss) | (2.2 | ) | 2.9 | 0.7 | (16.2 | ) | 16.4 | 0.2 | >100% | |||||||||||||||||
Operating margin | -14.2 | % | 18.7 | % | 4.5 | % | -99.4 | % | >100% | 1.2 | % | |||||||||||||||
Corporate and Other: | ||||||||||||||||||||||||||
Operating loss | $ | (34.6 | ) | $ | 11.6 | $ | (23.0 | ) | $ | (55.4 | ) | $ | 27.4 | $ | (28.0 | ) | 18 | % | ||||||||
(1) Amounts may not sum due to rounding |
Three Months Ended | |||||||||
Wizards of the Coast and Digital Gaming net revenues by category | December 28, 2025 | December 29, 2024 | % Change | ||||||
Tabletop Gaming | $ | 494.7 | $ | 207.0 | 139 | % | |||
Digital and Licensed Gaming | 135.7 | 132.0 | 3 | % | |||||
Net revenues | $ | 630.4 | $ | 339.0 |
Three Months Ended | |||||||||
Consumer Products net revenues by major geographic region | December 28, 2025 | December 29, 2024 | % Change | ||||||
North America | $ | 471.3 | $ | 421.0 | 12 | % | |||
Europe | 204.2 | 177.9 | 15 | % | |||||
Asia Pacific | 70.8 | 93.4 | -24 | % | |||||
Latin America | 53.7 | 54.0 | -1 | % | |||||
Net revenues | $ | 800.0 | $ | 746.3 |
Three Months Ended | |||||||||
Entertainment net revenues by category | December 28, 2025 | December 29, 2024 | % Change | ||||||
Family Brands | $ | 13.1 | $ | 13.1 | 0 | % | |||
Film and TV | 2.4 | 3.2 | -25 | % | |||||
Net revenues | $ | 15.5 | $ | 16.3 |
Three Months Ended | |||||||||
Supplementary Hasbro Gaming information: | December 28, 2025 | December 29, 2024 | % Change | ||||||
MAGIC: THE GATHERING | $ | 502.4 | $ | 208.4 | 141 | % | |||
Hasbro Total Gaming (1) | $ | 867.8 | $ | 542.5 | 60 | % | |||
(1) Hasbro Total Gaming includes all gaming revenue, most notably DUNGEONS & DRAGONS, MAGIC: THE GATHERING and Hasbro Gaming. |
Year Ended December 28, 2025 | Year Ended December 29, 2024 | |||||||||||||||||||||||||
Operating Results (1) | As Reported | Non-GAAP Adjustments | Adjusted | As Reported | Non-GAAP Adjustments | Adjusted | % Change | |||||||||||||||||||
Total company results | ||||||||||||||||||||||||||
External net revenues | $ | 4,701.3 | $ | — | $ | 4,701.3 | $ | 4,135.5 | $ | — | $ | 4,135.5 | 14 | % | ||||||||||||
Operating profit | 11.1 | 1,128.9 | 1,140.0 | 690.0 | 148.8 | 838.8 | 36 | % | ||||||||||||||||||
Operating margin | 0.2 | % | 24.0 | % | 24.2 | % | 16.7 | % | 3.6 | % | 20.3 | % | ||||||||||||||
Segment results | ||||||||||||||||||||||||||
Wizards of the Coast and Digital Gaming: | ||||||||||||||||||||||||||
External net revenues | $ | 2,186.9 | $ | — | $ | 2,186.9 | $ | 1,511.3 | $ | — | $ | 1,511.3 | 45 | % | ||||||||||||
Operating profit | 1,006.8 | — | 1,006.8 | 632.0 | — | 632.0 | 59 | % | ||||||||||||||||||
Operating margin | 46.0 | % | — | 46.0 | % | 41.8 | % | — | 41.8 | % | ||||||||||||||||
Consumer Products: | ||||||||||||||||||||||||||
External net revenues | $ | 2,437.6 | $ | — | $ | 2,437.6 | $ | 2,543.9 | $ | — | $ | 2,543.9 | -4 | % | ||||||||||||
Operating (loss) profit | (942.6 | ) | 1,055.3 | 112.7 | 115.3 | 36.3 | 151.6 | -26 | % | |||||||||||||||||
Operating margin | -38.7 | % | 43.3 | % | 4.6 | % | 4.5 | % | 1.4 | % | 6.0 | % | ||||||||||||||
Entertainment: | ||||||||||||||||||||||||||
External net revenues | $ | 76.8 | $ | — | $ | 76.8 | $ | 80.3 | $ | — | $ | 80.3 | -4 | % | ||||||||||||
Operating profit (loss) | 0.4 | 39.1 | 39.5 | (1.6 | ) | 50.9 | 49.3 | -20 | % | |||||||||||||||||
Operating margin | 0.5 | % | 50.9 | % | 51.4 | % | -2.0 | % | 63.4 | % | 61.4 | % | ||||||||||||||
Corporate and Other: | ||||||||||||||||||||||||||
Operating (loss) profit | $ | (53.5 | ) | $ | 34.5 | $ | (19.0 | ) | $ | (55.7 | ) | $ | 61.6 | $ | 5.9 | >-100% | ||||||||||
(1) Amounts may not sum due to rounding |
Year Ended | |||||||||
Wizards of the Coast and Digital Gaming net revenues by category | December 28, 2025 | December 29, 2024 | % Change | ||||||
Tabletop Gaming | $ | 1,686.6 | $ | 1,039.6 | 62 | % | |||
Digital and Licensed Gaming | 500.3 | 471.7 | 6 | % | |||||
Net revenues | $ | 2,186.9 | $ | 1,511.3 |
Year Ended | |||||||||
Consumer Products net revenues by major geographic region | December 28, 2025 | December 29, 2024 | % Change | ||||||
North America | $ | 1,421.7 | $ | 1,493.0 | -5 | % | |||
Europe | 566.0 | 519.7 | 9 | % | |||||
Asia Pacific | 249.4 | 286.7 | -13 | % | |||||
Latin America | 200.5 | 244.5 | -18 | % | |||||
Net revenues | $ | 2,437.6 | $ | 2,543.9 |
Year Ended | |||||||||
Entertainment net revenues by category | December 28, 2025 | December 29, 2024 | % Change | ||||||
Family Brands | $ | 66.7 | $ | 73.7 | -9 | % | |||
Film and TV | 10.1 | 6.6 | 53 | % | |||||
Net revenues | $ | 76.8 | $ | 80.3 |
Year Ended | |||||||||
Supplementary Hasbro Gaming Information: | December 28, 2025 | December 29, 2024 | % Change | ||||||
MAGIC: THE GATHERING | $ | 1,720.1 | $ | 1,078.6 | 59 | % | |||
Hasbro Total Gaming (1) | $ | 2,788.2 | $ | 2,092.1 | 33 | % | |||
(1) Hasbro Total Gaming includes all gaming revenue, most notably DUNGEONS & DRAGONS, MAGIC: THE GATHERING and Hasbro Gaming. |
HASBRO, INC. SUPPLEMENTAL FINANCIAL DATA RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited) (Millions of Dollars) | ||||||||||||||
Three Months Ended | Year Ended | |||||||||||||
Reconciliation of EBITDA and Adjusted EBITDA (1) | December 28, 2025 | December 29, 2024 | December 28, 2025 | December 29, 2024 | ||||||||||
Net earnings (loss) attributable to Hasbro, Inc. | $ | 201.6 | $ | (34.3 | ) | $ | (322.4 | ) | $ | 385.6 | ||||
Interest expense | 40.4 | 43.5 | 163.4 | 171.2 | ||||||||||
Income tax expense (benefit) | 67.8 | (30.7 | ) | 216.2 | 102.6 | |||||||||
Net earnings attributable to noncontrolling interests | 1.5 | 7.8 | 4.2 | 8.8 | ||||||||||
Depreciation | 13.8 | 20.7 | 69.5 | 94.7 | ||||||||||
Amortization of intangibles | 14.6 | 17.1 | 66.0 | 68.3 | ||||||||||
EBITDA | $ | 339.7 | $ | 24.1 | $ | 196.9 | $ | 831.2 | ||||||
Stock compensation | $ | 25.0 | $ | 22.1 | $ | 78.9 | $ | 49.0 | ||||||
Strategic transformation initiatives (2) | 7.7 | 9.8 | 23.9 | 28.3 | ||||||||||
Restructuring and severance costs (3) | (0.2 | ) | 14.4 | 9.3 | 22.2 | |||||||||
Loss on disposal of business (4) | — | 13.0 | 25.0 | 37.4 | ||||||||||
eOne Film and TV business divestiture related costs (5) | — | 3.2 | 5.6 | 11.1 | ||||||||||
Impairment of goodwill (6) | — | — | 1,021.9 | — | ||||||||||
Net loss on Discovery investment (7) | — | 78.2 | — | 78.2 | ||||||||||
Adjusted EBITDA | $ | 372.2 | $ | 164.8 | $ | 1,361.5 | $ | 1,057.4 | ||||||
(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 costs 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) Net loss on Discovery investment represents non-cash charges incurred within Corporate and Other related to the impairment of the Discovery JV investment. |
HASBRO, INC. NON-GAAP RECONCILIATION (Unaudited) (Millions of Dollars) | |||||||||||||||
Three Months Ended | Year Ended | ||||||||||||||
Reconciliation of Adjusted Operating Profit (1) | December 28, 2025 | December 29, 2024 | December 28, 2025 | December 29, 2024 | |||||||||||
Operating profit (loss) | $ | 297.5 | $ | 59.8 | $ | 11.1 | $ | 690.0 | |||||||
Wizards of the Coast and Digital Gaming | 283.5 | 80.9 | 1,006.8 | 632.0 | |||||||||||
Consumer Products | 50.8 | 50.5 | (942.6 | ) | 115.3 | ||||||||||
Entertainment | (2.2 | ) | (16.2 | ) | 0.4 | (1.6 | ) | ||||||||
Corporate and Other | (34.6 | ) | (55.4 | ) | (53.5 | ) | (55.7 | ) | |||||||
Non-GAAP adjustments | $ | 17.3 | $ | 52.9 | $ | 1,128.9 | $ | 148.8 | |||||||
Consumer Products | 2.8 | 9.1 | 1,055.3 | 36.3 | |||||||||||
Entertainment | 2.9 | 16.4 | 39.1 | 50.9 | |||||||||||
Corporate and Other | 11.6 | 27.4 | 34.5 | 61.6 | |||||||||||
Adjusted operating profit (loss) | $ | 314.8 | $ | 112.7 | $ | 1,140.0 | $ | 838.8 | |||||||
Wizards of the Coast and Digital Gaming | 283.5 | 80.9 | 1,006.8 | 632.0 | |||||||||||
Consumer Products | 53.6 | 59.6 | 112.7 | 151.6 | |||||||||||
Entertainment | 0.7 | 0.2 | 39.5 | 49.3 | |||||||||||
Corporate and Other | (23.0 | ) | (28.0 | ) | (19.0 | ) | 5.9 | ||||||||
Non-GAAP Adjustments include the following: | |||||||||||||||
Acquired intangible amortization (2) | $ | 9.8 | $ | 12.5 | $ | 47.4 | $ | 49.8 | |||||||
Strategic transformation initiatives (3) | 7.7 | 9.8 | 23.9 | 28.3 | |||||||||||
Restructuring and severance costs (4) | (0.2 | ) | 14.4 | 9.3 | 22.2 | ||||||||||
Loss on disposal of business (5) | — | 13.0 | 25.0 | 37.4 | |||||||||||
eOne Film and TV business divestiture related costs (6) | — | 3.2 | 1.4 | 11.1 | |||||||||||
Impairment of goodwill (7) | — | — | 1,021.9 | — | |||||||||||
$ | 17.3 | $ | 52.9 | $ | 1,128.9 | $ | 148.8 | ||||||||
(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. | |||||||||||||||
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 | |||||||||||||||
(all adjustments reported after-tax) | December 28, 2025 | Diluted Per Share Amount | December 29, 2024 | Diluted Per Share Amount | |||||||||||
Net earnings (loss) attributable to Hasbro, Inc. | $ | 201.6 | $ | 1.41 | $ | (34.3 | ) | $ | (0.25 | ) | |||||
Acquired intangible amortization (2) | 7.4 | 0.05 | 9.4 | 0.07 | |||||||||||
Strategic transformation initiatives (3) | 5.9 | 0.04 | 7.5 | 0.05 | |||||||||||
Restructuring and severance costs (4) | (0.1 | ) | — | 11.0 | 0.08 | ||||||||||
Loss on disposal of business (5) | — | — | 8.5 | 0.06 | |||||||||||
eOne Film and TV divestiture related costs (6) | — | — | 2.4 | 0.02 | |||||||||||
Impairment of goodwill (7) | — | — | — | — | |||||||||||
Net loss on Discovery investment (8) | — | — | 59.8 | 0.43 | |||||||||||
Net earnings attributable to Hasbro, Inc. as adjusted | $ | 214.8 | $ | 1.51 | $ | 64.3 | $ | 0.46 | |||||||
Year Ended | |||||||||||||||
(all adjustments reported after-tax) | December 28, 2025 | Diluted Per Share Amount | December 29, 2024 | Diluted Per Share Amount | |||||||||||
Net (loss) earnings attributable to Hasbro, Inc. | $ | (322.4 | ) | $ | (2.30 | ) | $ | 385.6 | $ | 2.75 | |||||
Acquired intangible amortization (2) | 35.6 | 0.25 | 37.4 | 0.27 | |||||||||||
Strategic transformation initiatives (3) | 18.3 | 0.13 | 21.6 | 0.15 | |||||||||||
Restructuring and severance costs (4) | 7.2 | 0.05 | 17.0 | 0.12 | |||||||||||
Loss on disposal of business (5) | 25.0 | 0.18 | 32.9 | 0.23 | |||||||||||
eOne Film and TV divestiture related costs (6) | 4.2 | 0.03 | 8.5 | 0.06 | |||||||||||
Impairment of goodwill (7) | 1,016.5 | 7.17 | — | — | |||||||||||
Net loss on Discovery investment (8) | — | — | 59.8 | 0.43 | |||||||||||
Net earnings attributable to Hasbro, Inc. as adjusted | $ | 784.4 | $ | 5.54 | $ | 562.8 | $ | 4.01 | |||||||
(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 $7.7 ($5.9 after-tax) and $23.9 ($18.3 after-tax) for three months and year ended December 28, 2025, respectively, and $9.8 ($7.5 after-tax) and $28.3 ($21.6 after-tax) for the three months and year ended December 29, 2024, respectively. (4) Restructuring and severance costs of ($0.2) (($0.1) after-tax) and $9.3 ($7.2 after-tax) for three months and year ended December 28, 2025, respectively, and $14.4 ($11.0 after-tax) and $22.2 ($17.0 after-tax) for the three months and year ended December 29, 2024, respectively, associated with cost-savings initiatives across the Company. (5) Loss on disposal of a business of $25.0 ($25.0 after-tax) for year ended December 28, 2025 and $13.0 ($8.5 after-tax) and $37.4 (32.9 after-tax) for the three months and year ended December 29, 2024, 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 $5.6 ($4.2 after-tax) for year ended December 28, 2025 and $3.2 ($2.4 after-tax) and $11.1 ($8.5 after-tax) for three months and year ended December 29, 2024, respectively, as a result of the sale of the eOne Film and TV business and certain retained liabilities. (7) Non-cash goodwill impairment tax impact of $1,021.9 ($1,016.5 after-tax) for the year ended December 28, 2025, in the Consumer Products segment, following completion of an interim quantitative assessment of goodwill triggered by the implementation of tariffs. (8) Impairment of the Company's Discovery JV investment of $78.2 ($59.8 after tax) for the three months and year ended December 29, 2024. This impairment charge is included in other (income) expense, net within Corporate and Other. | |||||||||||||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20260209085774/en/
Investors: Fred Wightman | Hasbro, Inc. | hasbro_investor_relations@hasbro.com
Media: Abby Hodes | Hasbro, Inc. | communications@hasbro.com
FAQ**
What specific strategies will Hasbro Inc. (HAS) employ to sustain the growth seen in the Wizards of the Coast and Digital Gaming segment, which reported a remarkable 45% increase in revenue?
How does Hasbro Inc. (HAS) plan to balance investment in its core business while maintaining shareholder returns through the announced $1 billion share repurchase program?
With a reported net loss of $2.per share, what measures is Hasbro Inc. (HAS) considering to improve profitability and restore investor confidence moving forward?
In light of the revenue decline in Consumer Products, what changes or innovations does Hasbro Inc. (HAS) see as necessary to reverse this trend in the upcoming fiscal year?
**MWN-AI FAQ is based on asking OpenAI questions about Hasbro Inc. (NASDAQ: HAS).
NASDAQ: HAS
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