Loading...
•
Jun 29
Hasbro Q2 2025 Earnings Report
Hasbro reported its second quarter 2025 financial results, with Wizards of the Coast and Digital Gaming driving adjusted net earnings growth and an upgraded full-year outlook.
Key Takeaways
Hasbro's second quarter 2025 results showed a slight revenue decrease of 1%, primarily due to a decline in Consumer Products, which was nearly offset by strong growth in Wizards of the Coast and Digital Gaming. The company reported a significant net loss due to a non-cash goodwill impairment, but adjusted net earnings improved year-over-year, reflecting the strength of MAGIC: THE GATHERING and cost efficiencies.
Overall revenue decreased by 1% to $980.8 million, with growth in Wizards and Digital Gaming largely offsetting declines in Consumer Products.
The company reported a net loss of $855.8 million, or $6.10 per diluted share, primarily due to a $1.0 billion non-cash goodwill impairment charge.
Adjusted net earnings were $1.30 per diluted share, an improvement of $0.08 year-over-year, driven by strong MAGIC: THE GATHERING performance and a more efficient cost structure.
Wizards of the Coast and Digital Gaming revenue increased by 16%, with MAGIC: THE GATHERING revenue up 23% and Monopoly Go! contributing $44 million.
Hasbro
Hasbro
Hasbro Revenue by Segment
Hasbro Revenue by Geographic Location
Revenue by Segment
Wizards of the Coast & Digital Gaming Revenue
CapyFin.comConsumer Products Revenue
CapyFin.comEntertainment Revenue
CapyFin.comRevenue by Geographic Location
North America Revenue
CapyFin.comEurope Revenue
CapyFin.comAsia Pacific Revenue
CapyFin.comLatin America Revenue
CapyFin.com Forward Guidance
For the full year 2025, Hasbro expects total revenues to be up mid-single digits in constant currency and adjusted operating margin to be between 22% and 23%. Adjusted EBITDA is projected to be between $1.17 billion and $1.20 billion.
Positive Outlook
- Total Hasbro revenues are expected to be up mid-single digits in constant currency, an upgrade from the previous 'up slightly' outlook.
- Adjusted operating margin is projected to improve to 22%-23% from the prior 21%-22% guidance.
- Adjusted EBITDA guidance has been raised to $1.17 billion to $1.20 billion, up from $1.1 billion to $1.15 billion.
- The company's capital allocation priorities include investing in the core business and strengthening its balance sheet.
- Continued return of cash to shareholders through dividends, with $98 million paid in Q2 2025.
Challenges Ahead
- The report does not explicitly state negative forward guidance points, but acknowledges a 'dynamic macro environment'.
- No specific negative financial targets or outlooks were provided for the full year.
- The company's ability to achieve its guidance depends on successful execution of its 'Playing to Win' strategy.
- Risks associated with international operations, tariffs, and economic conditions could impact future performance.
- The company's ability to successfully compete in the play industry and further develop its digital gaming and licensing business is crucial for sustained growth.
Revenue & Expenses
Visualization of income flow from segment revenue to net income