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Jun 29, 2025
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.
Revenue by Segment
Revenue by Geographic Location
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.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
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Avg. Return Before/After Earnings
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