Hasbro Q2 2024 Earnings Report
Key Takeaways
Hasbro reported a revenue decline of 18%, or 6% excluding the eOne divestiture, with growth in Wizards of the Coast and Digital Gaming offset by declines in Consumer Products and Entertainment. The company achieved substantial margin improvement, driven by favorable business mix, supply chain productivity, and reduced operating costs. Hasbro raised its full-year guidance and paid $97 million in cash dividends.
Revenue declined by 18% overall, but only 6% when excluding the eOne divestiture.
Wizards of the Coast and Digital Gaming segment revenue increased by 20%.
Adjusted operating margin improved to 25.0%, up 13.7 points year-over-year.
Net earnings per diluted share were reported at $0.99, with adjusted net earnings at $1.22.
Hasbro
Hasbro
Hasbro Revenue by Geographic Location
Forward Guidance
For the full year, the Company now expects: Consumer Products Segment revenue down 7% to 11%; Adjusted operating margin 4% to 6%. Wizards of the Coast Segment revenue down 1% to 3%; Operating margin of approximately 42%. Pro-Forma Entertainment segment revenue down $15 million; Adjusted operating margin of approximately 60%. Total Hasbro Adjusted EBITDA of $975 million to $1.025 billion. Gross savings target of $750 million by year end 2025.
Positive Outlook
- Invest in core business.
- Return cash to shareholders through the dividend.
- Continue to pay down debt and progress towards leverage target.
Revenue & Expenses
Visualization of income flow from segment revenue to net income