Hasbro Q3 2024 Earnings Report
Key Takeaways
Hasbro reported a 15% decrease in revenue, or 9% excluding the eOne divestiture, but demonstrated strength in its gaming and licensing businesses. The company's operating profit was $302 million, with an adjusted operating profit of $329 million. Hasbro is on track to meet its full-year net cost savings commitment and maintains its full year EBITDA guidance.
Revenue declined by 15%, or 9% excluding the eOne divestiture.
Operating profit was $302 million, including costs for intangible amortization and transformation.
Adjusted operating profit was $329 million, driven by favorable business mix and lower operating costs.
Hasbro is on track to deliver full-year net savings commitment.
Hasbro
Hasbro
Hasbro Revenue by Geographic Location
Forward Guidance
For the full year, the company expects Consumer Products Segment revenue down 12% to 14% with Adjusted operating margin 4% to 6%, Wizards of the Coast and Digital Gaming Segment revenue flat to down 1% with Operating margin of approximately 42%, Pro-Forma Entertainment segment revenue down $15 million with Adjusted operating margin of approximately 60%, and Total Hasbro Adjusted EBITDA of $975 million to $1.025 billion.
Positive Outlook
- Invest in core business.
- Return cash to shareholders through the dividend.
- Continue to pay down debt and progress towards leverage target.
Challenges Ahead
- Consumer Products Segment revenue down 12% to 14%
- Adjusted operating margin 4% to 6% for Consumer Products Segment
- Wizards of the Coast and Digital Gaming Segment revenue flat to down 1%
- Operating margin of approximately 42% for Wizards of the Coast and Digital Gaming Segment
- Pro-Forma Entertainment segment revenue down $15 million
Revenue & Expenses
Visualization of income flow from segment revenue to net income