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Mar 28, 2021

Hasbro Q1 2021 Earnings Report

Hasbro's Q1 2021 financial results were released, showcasing growth in revenue, operating profit, and earnings per share.

Key Takeaways

Hasbro reported a positive first quarter in 2021, marked by revenue growth of 1% to $1.11 billion, driven by strong performances in the Consumer Products and Wizards of the Coast and Digital Gaming segments. Operating profit and net earnings also saw significant increases, with adjusted EPS reaching $1.00. The company ended the quarter with a strong cash position of $1.43 billion.

First quarter revenue increased by 1% to $1.11 billion.

Consumer Products segment revenue grew by 14%, while Wizards of the Coast and Digital Gaming segment revenue increased by 15%.

Operating profit rose to $147.3 million, representing 13.2% of revenues, and net earnings increased to $116.2 million, or $0.84 per diluted share.

The company's cash position remained strong, with $1.43 billion in cash at the end of the quarter.

Total Revenue
$1.12B
Previous year: $1.11B
+0.8%
EPS
$1
Previous year: $0.57
+75.4%
Adjusted Operating Margin
15.6%
Gross Profit
$716M
Previous year: $730M
-1.9%
Cash and Equivalents
$1.43B
Previous year: $1.24B
+15.6%
Free Cash Flow
$354M
Previous year: $261M
+35.6%
Total Assets
$10.2B
Previous year: $10.4B
-2.3%

Hasbro

Hasbro

Hasbro Revenue by Geographic Location

Forward Guidance

Hasbro is targeting full-year double-digit revenue growth, supported by innovation and quality execution throughout the business.

Positive Outlook

  • The global Hasbro team executed a very good quarter.
  • Driving strong sell in and demand in the Consumer Products segment.
  • Growing both analog and digital revenues in Wizards.
  • Growing our licensed digital gaming business.
  • Positioning us to deliver growth for the full year in the Entertainment segment

Challenges Ahead

  • Entertainment segment revenue declined due to expected difficult comparisons in the TV and Film business.
  • Theatrical business continues to be impacted by COVID-related theater shutdowns.
  • Scripted TV deliveries are slated to increase later in the current year.
  • Adjusted operating profit declined on the lower revenue.
  • Partially offset by reduced advertising and promotional spend due to the lack of theatrical activity this year versus last.

Revenue & Expenses

Visualization of income flow from segment revenue to net income