Hasbro Raises Full-Year Outlook as Digital Gaming Gains Accelerate
The toy and game maker raised its full-year revenue guidance to a range of 5% to 7% in constant currency.
Hasbro (HAS), the toy and game maker, reported second-quarter revenue that grew 16% year over year. The result marked an acceleration from the 13% growth recorded in the first quarter.
The company raised its full-year 2026 revenue guidance to 5% to 7% in constant currency, up from a previous range of 3% to 5%. Hasbro also increased its full-year adjusted operating margin guidance to 25% to 26%, compared to the previous 24% to 25%.
Growth was led by the Wizards and Digital Gaming segment, where revenue rose 27% year over year. This represented a slight acceleration from the 26% growth seen in the prior quarter. Magic: The Gathering revenue grew 32% year over year to exceed $500 million for the first time, though that growth rate slowed from 36% in the first quarter.
Monopoly Go! contributed to the digital gains, with revenue increasing sequentially to $44 million from $41 million in the first quarter. However, the Wizards and Digital Gaming operating margin compressed to 41% in the second quarter from 51% in the first.
Other segments showed mixed results. Consumer Products revenue grew 5% year over year, an improvement over the flat growth reported in the first quarter. Entertainment revenue declined 20% year over year, a slight improvement from a 24% decline in the prior quarter.
Hasbro recognized a $56 million impairment charge in the second quarter related to a refocused Digital Games portfolio for 2028 and beyond. Unauthorized network access in late March resulted in $11 million in direct incremental expenses and an estimated $25 million revenue impact for the first six months of the year.
Full-year adjusted EBITDA guidance was raised to a range of $1.45 billion to $1.50 billion, up from the previous forecast of $1.40 billion to $1.45 billion.