Hasbro Beats Q4 with $1.51 EPS, 31% Revenue Growth and $1B Buyback
Hasbro reported Q4 adjusted EPS of $1.51 versus $0.95 expected and revenues of $1.446 billion, up 31% on an 86% surge in Wizards & Digital Gaming. The board approved a $1 billion buyback, declared a $0.70 dividend and secured a Harry Potter license starting 2027, while December U.S. retail sales were flat.
1. Strong Fourth-Quarter Performance
Hasbro delivered adjusted EPS of $1.51 in Q4, surpassing the $0.95 consensus by 59%, while revenues reached $1.446 billion, up 31% year-over-year. Growth was led by an 86% increase in Wizards & Digital Gaming and 7% expansion in Consumer Products, offsetting a 5% dip in Entertainment.
2. Shareholder Returns and Licensing Deal
The board approved a new $1 billion share repurchase program and declared a quarterly dividend of $0.70 per share payable on March 4. The company also secured a multi-year global toy licensing partnership for the Harry Potter franchise beginning in 2027, expanding its franchise-based product portfolio.
3. Retail Sales Implications
U.S. retail sales in December held flat at 0.0% month-on-month, with furniture, apparel and appliances all showing declines. The flat reading on headline and ex-auto sales may signal potential consumer spending headwinds that could influence Hasbro’s retail-dependent categories in the coming quarters.