Hasbro posts bigger-than-expected quarterly sales drop on weak toy demand
Oct 24 (Reuters) - Hasbro HAS.O on Thursday posted a steeper-than-expected drop in sales for the third quarter as consumers tightened spending on toys, but the company's stringent cost controls boosted margins.
Toymakerssuch as Mattel MAT.O and Hasbro have focused on cost-savings this year to weather a slump in demand for toys.
Play-Doh parent Hasbroposted an adjusted margin of 25.7% for the quarter, up from last year's 22.8%.
Revenue fell for the ninth straight quarter to $1.28 billion, compared with estimates for a 13.8% drop to $1.30 billion, according to data compiled by LSEG.
It expects full-year revenue from its consumer products segment to fall between 12% and14%, compared withits prior forecast of a 7% to 11% decline.
Rival Mattel beat expectations for quarterly profit on Wednesday, even as it lowered its annual sales forecast heading into the crucial holiday shopping season.
Reporting by Savyata Mishra in Bengaluru; Editing by Devika Syamnath
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
