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Dec 25, 2022

Hasbro Q4 2022 Earnings Report

Hasbro's Q4 2022 financial results were reported, showing a revenue decrease of 17% year-over-year, but adjusted operating profit increased by 22%.

Key Takeaways

Hasbro reported Q4 2022 revenues of $1.68 billion, a 17% decrease year-over-year. The company experienced an operating loss of $125.7 million, but adjusted operating profit increased by 22% to $269.2 million. Despite the revenue decline, MAGIC: THE GATHERING became Hasbro's first billion-dollar brand, and Wizards of the Coast and Digital Gaming had another record year.

Q4 revenue decreased by 17% year-over-year to $1.68 billion.

MAGIC: THE GATHERING reached $1 billion in revenue, becoming Hasbro's first billion-dollar brand.

Adjusted operating profit increased by 22% to $269.2 million.

The company is implementing Blueprint 2.0 with a focus on innovation, data-driven investment, and cost management.

Total Revenue
$1.68B
Previous year: $2.01B
-16.6%
EPS
$1.31
Previous year: $1.21
+8.3%
Adjusted Operating Margin
16%
Previous year: 10.9%
+46.8%
Gross Profit
$940M
Previous year: $1.1B
-14.7%
Cash and Equivalents
$513M
Previous year: $1.02B
-49.7%
Free Cash Flow
$67.2M
Previous year: $97.7M
-31.2%
Total Assets
$9.3B
Previous year: $10B
-7.4%

Hasbro

Hasbro

Hasbro Revenue by Geographic Location

Forward Guidance

The Company's full-year 2023 guidance includes revenue down low-single digits; Adjusted operating profit margin expansion of 50 to 70 basis points, excluding Operational Excellence charges and other non-GAAP items; Adjusted earnings per diluted share in the range of $4.45 to $4.55; Adjusted EBITDA approximately flat with 2022 Adjusted EBITDA; Operating cash flow in the range of $600 to $700 million.

Positive Outlook

  • Revenue down low-single digits
  • Adjusted operating profit margin expansion of 50 to 70 basis points, excluding Operational Excellence charges and other non-GAAP items
  • Adjusted earnings per diluted share in the range of $4.45 to $4.55
  • Adjusted EBITDA approximately flat with 2022 Adjusted EBITDA
  • Operating cash flow in the range of $600 to $700 million

Revenue & Expenses

Visualization of income flow from segment revenue to net income