Hasbro Inc. (NASDAQ: HAS) reported its third-quarter financial results before the markets opened on Monday. The toymaker said that it had $1.93 in earnings per share (EPS) and $1.57 billion in revenue, compared with consensus estimates that called for $2.23 in EPS and $1.71 billion in revenue. The same period of last year reportedly had EPS of $2.09 on $1.79 billion in revenue.
A fair amount of this drop in revenues can be attributed to the loss of Toys “R” Us revenues, whether it is domestically, in the United States and Canada, or internationally.
In terms of its segments, the company reported as follows:
- Franchise Brands net revenues decreased 5% year over year to $847.7 million.
- Partner Brands net revenues decreased 37% to $305.8 million.
- Hasbro Gaming net revenues remained flat at $280.8 million.
- Emerging Brands net revenues rose 2% to $135.3 million.
The company did not offer any outlook in the report. However, consensus estimates from Thomson Reuters call for $1.88 in EPS and $1.61 billion in revenue for the coming fourth quarter.
Brian Goldner, Hasbro’s board chair and chief executive, commented:
The global Hasbro team is effectively managing our business forward through a very disruptive year. The lost Toys“R”Us revenues are impacting many markets around the world, notably the U.S., Europe, Australia and Asia. The volume of product liquidated in the second quarter had a near-term impact on the third quarter sell through and shipments. We are successfully managing retail inventory and it is down significantly in the U.S. and in Europe, where we are aggressively working to clear excess inventory by year end. A growing array of retailers are now ramping new programs to take share this holiday season and we are well positioned to meet their demand.
Shares of Hasbro closed Friday at $98.04, with a consensus analyst price target of $111.77 and a 52-week trading range of $79.00 to $109.60. Following the announcement, the stock was down nearly 8% at $90.50 in early trading indications Monday.
24/7 Wall St.Essential Tips for Investing (Sponsored)
A financial advisor can help you understand the advantages and disadvantages of investment properties. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
Investing in real estate can diversify your portfolio. But expanding your horizons may add additional costs. If you’re an investor looking to minimize expenses, consider checking out online brokerages. They often offer low investment fees, helping you maximize your profit.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
