Despite a decline in Q4 revenue, the toy brand showed full-year financial growth.
NORTH AMERICA–Hasbro has revealed that its financial results for the full-year 2017 increased by 4 percent to $5.21 billion, compared to $5.02 billion in 2016.
Revenue grew for Hasbro in all major operating segments:
- The company’ U.S. and Canadian segment grew 5 percent, while the international segment increased 2 percent.
- Proceeds in the licensing and entertainment segments grew by 8 percent.
- Franchise brand earnings were up by 10 percent.
- Hasbro gaming revenues also increased by 10 percent.
- Emerging brands grew by 2 percent, while partner brands declined by 10 percent
The full-year 2017 net revenues include $79.2 million impact from foreign exchange. Other notes from the toy company’s financial results include:
- Reported net earnings for the full-year 2017 were listed at $396.6 million, or $3.12 per diluted share, compared to $551.4 million, or $4.34 per diluted share in 2016.
- Adjusted 2017 net earnings were $693.1 million, or $5.46 per diluted share, excluding a $296.5 million, or $2.33 per diluted share, impact from U.S. tax reform.
- Adjusted net earnings for the full-year 2016 were $566.1 million, or $4.46 per diluted share, excluding a post-tax $14.7 million, or $0.12 per diluted share, non-cash fourth quarter 2016 goodwill impairment charge related to Backflip Studios.
- Fourth quarter 2017 net revenues of $1.60 billion, compared to $1.63 billion in 2016. 2017 net revenues include a favorable $44.3 million from foreign exchange.
“Hasbro’s global team’s execution of our brand blueprint drove revenue gains in franchise brands, Hasbro gaming and emering brands, including immersive brand experiences across consumer products and digital gaming,” says Brian Goldner, chairman and chief executive officer, Hasbro. “Our strong performance ranked Hasbro No. 1 across the G11 markets for the full-year 2017. In the fourth quarter, Hasbro franchise brand revenues increased 11 percent. However, overall consumer demand slowed in November and December both for the industry and for Hasbro. A decline in partner brands and Europe revenues resulted in us not meeting our fourth quarter revenue expectations. Looking ahead, our innovative lines are supported by robust storytelling and digital initiatives that position us well for 2018 and beyond.”