Overview
- Hasbro raised its full-year revenue growth target to 5%–7% and lifted its adjusted EBITDA and profit guidance after second-quarter sales beat expectations.
- The Wizards of the Coast and Digital Gaming unit drove the beat, with Magic: The Gathering generating roughly $545.3 million in Q2, a near 32% year-over-year rise and the first quarter above $500 million.
- The company said a late-March cybersecurity breach cut about $25 million of revenue and added roughly $11 million in incremental costs for the quarter.
- Hasbro recorded a $56 million impairment tied to its digital-games business and returned $133 million to shareholders while paying down $55 million of debt; the stock jumped about 10% after the earnings call.
- Reports from a single outlet say Hasbro plans to abandon many in-production video games and cut digital-games spending by at least 25% per year, a developing shift that the company has not yet fully confirmed.