FINWIRES · TerminalLIVE
FINWIRES

Hasbro Lifts Full-Year Revenue Outlook Following Second-Quarter Beat; Shares Jump

By
Hasbro Lifts Full-Year Revenue Outlook Following Second-Quarter Beat; Shares Jump

Hasbro (HAS) raised its full-year revenue guidance after reporting fiscal second-quarter results above Wall Street's expectations, sending the toymaker's shares higher Tuesday.

The company now anticipates revenue to increase between 5% and 7% at constant currencies for 2026, compared with its prior outlook range of 3% to 5% growth.

Net revenue for the quarter ended June 28 jumped 16% annually to $1.14 billion, exceeding the FactSet-polled consensus of $1.07 billion. Adjusted earnings fell to $1.28 a share from $1.30 a year earlier, but topped the Street's $1.14 views.

"Magic: The Gathering eclipsed $500 million in quarterly revenue for the first time in its 30-plus year history, led by the record-breaking debut of Marvel Super Heroes," Hasbro Chief Executive Chris Cocks said in an earnings release. "With strong indications for our remaining releases and line of sight to continued growth in 2027, the Magic flywheel is firing on all cylinders."

The company's shares were up 8.6% in afternoon trade, bringing its year-to-date gains to 7.7%.

Second-quarter revenue in the Wizards of the Coast and digital gaming division rose 27% to $663.8 million, driven by a 30% increase in tabletop gaming sales to $528.3 million. The digital and licensed gaming business' revenue increased 17%, while the entertainment segment saw a 20% drop related to "the nature and timing of deals," Hasbro said.

The company lost about $25 million of revenue in the quarter due to a cybersecurity event identified earlier in the year and expects to incur additional costs related to the incident in the future, it said.

Hasbro increased its share repurchase target for the year to a minimum of $200 million from $100 million, Chief Financial Officer and Chief Operating Officer Gina Goetter said in prepared remarks.

The company also outlined its plans for its digital future. "We are taking lower conviction projects out of the portfolio, reducing our annual spend base and concentrating investment behind the places where Hasbro has the best chance to build durable digital franchises," Cocks said. "We expect our total digital spend to decrease at least 25% annually by 2028."

Price: $87.41, Change: $+5.82, Percent Change: +7.13%

Related Articles

New Zealand Inflation Rises in June Quarter Amid Oil Shock
US Markets

New Zealand Inflation Rises in June Quarter Amid Oil Shock

New Zealand's annual consumer inflation rose slightly above the Reserve Bank of New Zealand's forecast in the June quarter, as the global oil shock continued to weigh on consumers.Annual consumer inflation increased 4.1% in the June quarter, above the central bank's forecast of 3.9% and up from the 3.1% increase recorded in the March quarter.According to Prices and Deflators spokesperson Nicola Growden, higher petrol prices accounted for almost a quarter of the 4.1% annual increase, with petrol prices rising more than 20% during the quarter.Diesel prices also climbed about 48% during the quarter and, together with petrol, accounted for almost two-thirds of the 1.5% quarterly increase in inflation.Westpac said the uptick was in line with its expectations and forecast headline inflation would remain above 3% through the latter part of the year, raising the prospect of further interest rate hikes at upcoming RBNZ meetings in September and December.ANZ said the inflation data was unlikely to shift the central bank from its current policy stance, as it continues to expect 25-basis-point rate hikes at the September and October meetings.The RBNZ, which targets annual inflation within a 1% to 3% range, raised interest rates by 25 basis points earlier this month but said the 2.5% cash rate remained stimulatory and that it intends to continue withdrawing monetary stimulus.

^NZ50
EU Fines AliExpress 550 Million Euros Over Sales of Illegal Products on Platform
US Markets

EU Fines AliExpress 550 Million Euros Over Sales of Illegal Products on Platform

The European Commission fined AliExpress 550 million euros for selling "illegal, unsafe or counterfeit products" on its e-commerce platform, according to a press release from the Commission on Monday.The Commission said the Alibaba Group-owned (HKG:9988) marketplace breached its obligations under the Digital Services Act (DSA) by failing to detect illegal products, enforce penalty policies for merchants selling these products, and prevent the spread of counterfeit goods.The fine marks the largest penalty issued to date under the bloc's online platform regulation. It follows the 200 million-euro fine imposed on Temu in May and the 120 million-euro fine slapped on social media platform X in December 2025.Under the EU's DSA, the maximum fine limit for violating the law is up to 6% of a group's annual global revenue.In response to anemail seeking comment, AliExpress disputed the Commission's findings, saying, "We disagree with today's decision and the disproportionate fine, which does not adequately reflect our established framework and the significant, proactive enhancements we have made."The company said it has been "firmly committed to meeting our obligations and we have invested substantial resources in risk assessment and mitigation, product safety and consumer protection."AliExpress added that it has invested "substantial resources" in risk assessment and mitigation, as well as product safety and consumer protection."We are carefully reviewing the decision and considering all available options," the company added.AliExpress has until Oct. 20 to submit an action plan to the Commission.The penalty comes as the EU pushes against low-cost Chinese e-commerce imports. The bloc abolished its 150-euro duty-free threshold for small parcels on July 1, replacing it with a temporary flat 3-euro customs duty per item.The European Council noted in an earlier explainer that the number of low-value packages -- or those valued at 150 euros -- entering the EU totaled 4.6 billion in 2024, with 91% of those shipments coming from China.

HKG:9988
Update: Wall Street Falls as Traders Await Earnings, Track Middle East Developments
US Markets

Update: Wall Street Falls as Traders Await Earnings, Track Middle East Developments

(Updates with market moves at the end of the day.)Stocks on Wall Street ended Monday's choppy trade lower as markets awaited more earnings releases this week and kept an eye on developments in the Middle East.The Dow Jones Industrial Average fell 0.6% to 51,839.26, while the S&P 500 declined 0.2% to settle at 7,443.28. The Nasdaq Composite dipped 0.1% to 25,508.07. Most sectors were in the red, led by healthcare, while communication services saw the biggest gain.This week, 86 S&P 500 companies are scheduled to release their latest quarterly financial results, Oppenheimer Asset Management said in a note. Google parent Alphabet (GOOG, GOOGL) and electric vehicle maker Tesla (TSLA) -- which are two of the so-called Magnificent 7 stocks -- are slated to report Wednesday.Intel, Philip Morris International (PM), American Express (AXP), T-Mobile US (TMUS), IBM (IBM), AT&T (T) and Verizon Communications (VZ) are among other major names expected to report this week."The reporting calendar is shifting beyond the first wave of money-center banks toward large tech, industrial and consumer names," Tigress Financial said in a note Monday. "The narrative will increasingly focus on whether (artificial intelligence) platforms, cloud providers and key cyclicals can match the strong bank prints without sparking renewed worries about margins or demand."West Texas Intermediate crude oil was up 0.6% at $82.97 a barrel in Monday late-afternoon trade, while Brent rose 0.9% to $88.88.On Sunday, the US Central Command said it completed the ninth consecutive evening of strikes against Iran. The US confirmed the passing of at least three service members during recent fighting with Iran.President Donald Trump said Monday that "every time Iran kills an American soldier they will pay for that killing many times over."Iran could resume negotiations with the US based on national interests, CNBC reported, citing Tehran's foreign ministry spokesman Esmail Baghaei. US intermediaries had continued to exchange messages with Iran, Baghaei reportedly said."If this escalation goes unchecked, we could return to an environment of wide-scale attacks across the Persian Gulf," ING Bank said in a report Monday. "Vessel flows (in the Strait of Hormuz) have essentially ground to a halt."US Treasury yields were higher, with the 10-year rate up 5.5 basis points at 4.6% and the two-year rate rising 3.9 basis points to 4.21%.In company news, Magnolia Oil & Gas (MGY) agreed to acquire privately held WildFire Energy in a roughly $4.06 billion deal, including debt, that will give it a dominant position in the Giddings field in South Texas. Magnolia Oil shares slumped 6.4%.Gold edged down 0.2% to $4,010.30 per troy ounce, while silver advanced 0.5% to $56.62 per ounce.

Dow JonesNasdaq CompositeS&P 500$AXP$GOOG$GOOGL$IBM$MGY$PM$T$TMUS$TSLA$VZ