Hasbro Reports Q4, Full-Year Revenue Declines

Revenues slipped by 15 percent in fiscal 2023 and by 23 percent in Q4 at Hasbro as gains in digital gaming were offset by declines in consumer products and entertainment.

“Guided by our strategy of ‘Fewer, Bigger, Better,’ we had important wins across both toys and games while making progress in our transformation during a challenging 2023,” said CEO Chris Cocks. “Despite the macroeconomic backdrop, we are entering 2024 with a healthier balance sheet, a leaner cost structure, and a diverse portfolio of industry-leading toy and game brands that support our capacity to invest in the business and maintain our commitment to returning cash to shareholders via our category-leading dividend. Our refreshed leadership team is bringing innovative new products to our fans. At the same time, we are taking the necessary actions to transform Hasbro and deliver long-term profitable growth starting with driving significant profit growth across our segments in 2024 and building momentum in our innovation pipeline between now and 2025.”

“2023 was a productive year for Hasbro, although not without some challenges.” said CFO Gina Goetter. “As we navigated the current environment, we took aggressive steps to optimize our inventory, reset the cost structure, and sharpen our portfolio focus on play with the eOne film and TV divestiture. Taken together, the actions throughout the full year have positioned the company for improved financial performance in 2024 and beyond. We are encouraged by our recent progress and remain laser focused on execution to deliver on our transformation objectives.”

Full year revenues were down 15 percent to $5 billion, with an operating loss of $1.5 billion. Entertainment revenues fell 31 percent, due to the writers strike, but the family brands unit remained healthy, delivering a 6 percent revenue gain. Consumer products revenues fell 19 percent. Wizards of the Coast and digital gaming revenues increased 10 percent.

Q4 revenues were down 23 percent to $1.3 billion, with an operating loss of $1.2 billion. Wizards of the Coast and digital gaming was up 7 percent to $363 million. Consumer products fell 25 percent to $754 million. Entertainment was down by 49 percent to $172 million.