Hasbro beats quarterly estimates on strong demand for its digital games

Reuters

Wed, May 20, 2026 at 6:31 AM EDT 1 min read

May 20 (Reuters) - Hasbro on Wednesday reported first-quarter revenue and profit above estimates, aided by strong demand for its ‌digital games such as "Magic: The Gathering", after a cybersecurity ‌incident pushed back its results.

The Play-Doh maker had forecast its preliminary first-quarter results ​last month after identifying unauthorized access to its network in late March. Hasbro had also released unaudited quarterly results in a regulatory filing last week.

Strength in the company's digital gaming business has helped it counter ‌softened demand for traditional ⁠toys due to lower consumer spending on non-essentials amid high living costs.

Quarterly revenue in its Wizards of the ⁠Coast and Digital Gaming segment rose about 26%. It had risen 46% in the year-ago quarter.

Partnerships with popular online shows and films, ​including the ​tie-up with Netflix to make ​toys and card games linked ‌to the popular "K-Pop Demon Hunters" movie, also helped boost sales.

The company reported quarterly revenue of $1 billion, compared with analysts' average estimate of $964.38 million, according to data compiled by LSEG.

It had forecast preliminary sales between $970 million and $985 million on April 23.

Hasbro also reported adjusted earnings ‌per share of $1.47, beating analysts' estimate ​of $1.13, helped by the strong demand as ​well as cost-saving initiatives.

The ​company, which sources roughly half of its U.S. ‌merchandise from countries such as China, ​Vietnam, India and ​Japan, said it recorded $8.3 million in U.S. import tariff costs, and said that it is evaluating means to obtain refunds ​following the Supreme ‌Court ruling against the duties.

Hasbro reaffirmed its annual forecast ​from February.

(Reporting by Koyena Das and Neil J Kanatt ​in Bengaluru; Editing by Devika Syamnath)