Hasbro Sees Growth in Revenues, Earnings

PAWTUCKET: For the third quarter of 2013, Hasbro reported net revenues of $1.37 billion, up 2 percent, and adjusted net earnings of $172.5 million, up 5 percent.

The boys segment saw a dip in net revenues of 17 percent, to $392 million. Transformers and Star Wars revenues were up, though several boy-skewed brands, including Marvel and Beyblade, faced a tough comparison with 2012. The girls category had its fifth consecutive quarter of growth, increasing 29 percent to $388.7 million. Furby, My Little Pony and the launch of Nerf Rebelle all contributed to the gains.

In the preschool arena, there was a 2-percent decline in net revenues, despite growth in Play-Doh, Sesame Street and Transformers Rescue Bots products. The game category has seen four consecutive quarters of growth, this time with revenues increasing 6 percent. Magic: The Gathering, Jenga, the Elefun & Friends collection and the launch of the new Telepods gaming platform were among the brands that posted higher revenues.

The U.S. and Canada segment saw a slight dip in net revenues, which were down 5 percent to $735.6 million. International segment net revenues increased 11 percent to $582.7 million. Entertainment and licensing segment net revenues increased 13 percent to $48.6 million; this was led primarily by higher entertainment revenues as well as the addition of Backflip Studios to the arena. The entertainment and licensing segment reported operating profit of $7.6 million.

“Our brand initiatives for holiday 2013 are resonating with consumers and retailers globally as we enter the all important fourth quarter,” said Brian Goldner, Hasbro’s president and CEO. “In addition to our innovative holiday launches, our expanded presence in faster growing geographies is delivering growth, including emerging markets growth of 22 percent in the third quarter. We’ve also streamlined our organization and focused on the opportunities within our franchise and partner brand portfolio which offer the greatest long-term potential across our global brand blueprint. These strategic steps are increasingly important as we continue to operate in a challenging consumer environment in developed economies.”