Monopoly maker Hasbro beats revenue bets thanks to TV production bounce back
Monopoly maker Hasbro defied analysts’ estimates for quarterly revenue this morning, bolstered by a rebound in the toymaker’s television production business and demand for its collectible card game “Magic: The Gathering”.
Revenue from Hasbro’s entertainment business jumped 54 per cent in the fourth quarter ended December 26 as the company delivered new episodes of the Showtime series “Yellowjackets” and released a new “Clifford the Big Red Dog” movie.
In contrast, year-earlier results were knocked by production shutdowns brought on by the pandemic.
The company’s net revenue rose 17 per cent to $2.01bn (£1.49bn) in the fourth quarter, beating analysts’ estimates of $1.87bn (£1.38bn), according to Refinitiv IBES estimates.
The My Little Pony creator said it expects fiscal 2022 revenue to rise at a low single digit rate, compared with analysts’ estimates of a 3.9 per cent increase, according to Refinitiv IBES estimates
“The Hasbro team finished the year strong and delivered an exceptional full-year 2021, including another record revenue year for Wizards of the Coast; strong revenue growth for consumer products; and a robust, progressively more Hasbro brand-led, content slate to return to 2019 levels of deliveries for entertainment,” said Rich Stoddart, Hasbro interim chief executive officer.
“Fans and consumers are increasingly interacting with brands in more ways than ever—our unique set of strategic assets across toys and games, entertainment, digital gaming and licensing provide the foundation for maximizing the value of both our existing franchises and new IP.
Chris Cocks is set to takeover as chief exec on February 25 and is currently serving as President and Chief Operating Officer of Hasbro’s Wizards of the Coast and Digital Gaming division, a global leader in tabletop and digital gaming.
“Throughout 2021, and finishing with focused execution in the fourth quarter, the Hasbro team did an excellent job in unprecedented circumstances,” said Deborah Thomas, Hasbro chief financial officer.
“Long-term investments in our brands and capabilities have built a differentiated business with diversified capabilities to drive long-term profitable growth and enhance shareholder value,” continued Thomas.