Hasbro (HAS) Q3 2026 Earnings Report
DE:HAS Q3 2026 EPS Results
- Actual EPS
- EUR 2.59
- Consensus EPS
- EUR 1.66
- Beat/Miss
- Beat by +EUR 0.93
- One Year Ago EPS
- EUR 1.50
DE:HAS Q3 2026 Revenue Results
- Actual Revenue
- EUR 1.42B
- Expected Revenue
- EUR 1.32B
- Beat/Miss
- Beat by +EUR 106.70M
- YoY Revenue Growth
- +15.02%
Earnings Announcement Details
- Quarter
- Q3 2026
- Date
- 10/20/2026
- Time
- Before Open
- Conference Call
- Tuesday, October 20, 2026
Hasbro's next earnings date is estimated for February 16, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
The call was strongly positive, characterized by record profitability, 15% revenue growth, broad-based segment growth, raised full-year guidance, strong Magic momentum, improving Consumer Products margins, healthy cash flow, and increased shareholder returns. The main negatives were timing-related fourth-quarter declines, licensing revenue down 4%, expected Consumer Products margin normalization, input-cost and tariff pressures, and anticipated 2027 amortization-related margin pressure.
Hasbro raised full-year guidance to consolidated revenue growth of 7% to 9% year over year on a constant currency basis and adjusted EBITDA in the range of $1.575 billion to $1.625 billion; Wizzards revenue is expected to grow between 16% to 18% with operating margins of approximately 44% to 45%, Consumer Products revenue is expected to grow 1% to 3% with adjusted operating margin of 8% to 10%, and Entertainment revenue is expected to grow 3% to 5% with operating margins of approximately 65%. For the back half, Wizzards is expected to grow at a high single digits, low double digit rate, Consumer Products is expected to be up Low single digits, and Q4 Consumer Products will be flattish, maybe slightly positive; Magic would have been up around 8% to 10% in Q4 absent timing shifts but will probably be down, call it low single digits, mid single digits. Hasbro is not giving 2027 guidance today, but expects Magic to grow at mid to high single digits, Wizzards to continue operating at a healthy margin profile in the high 30s and low 40% range, and 2027 margins in the high 30s range including noncash amortization from Exodus and Warlock; digital development costs are expected to be down 20% to 25% by 2028, and the share repurchase target for the year was increased from $200 million to $400 million.
- Strong Third-Quarter Revenue and Profit GrowthHasbro reported third-quarter net revenue of $1.6 billion, up 15% year over year. Adjusted operating profit increased 52% to $541 million, adjusted operating margin expanded to 33.9% from 33.5%, adjusted diluted EPS rose 73% to $2.90, and adjusted EBITDA increased 46% to $605 million.
- Record Nine-Month Performance and Cash FlowThrough the first nine months, net revenue was $3.7 billion, up 15%; adjusted operating profit was $1.1 billion, up 35%; and adjusted operating margin expanded 440 basis points to 29.7%. Operating cash flow increased 85% to $907 million, supported by earnings growth and improved working capital.
- Raised Full-Year OutlookHasbro raised its full-year outlook to consolidated revenue growth of 7% to 9% year over year on a constant currency basis and adjusted EBITDA of $1.575 billion to $1.625 billion. Wizards revenue is expected to grow 16% to 18% with operating margins of approximately 44% to 45%; Consumer Products revenue is expected to grow 1% to 3% with adjusted operating margins of 8% to 10%; and Entertainment revenue is expected to grow 3% to 5% with operating margins of approximately 65%.
- Exceptional Wizards and Magic PerformanceWizards segment revenue grew 31% to $747 million, while Magic revenue increased 34% to $616 million in the quarter. Through nine months, Magic revenue was $1.6 billion, up 34%, with growth across tentpole releases, backlist, and Secret Lair.
- Magic Reached Record Revenue and Engagement LevelsMagic revenue topped $600 million for the first time and grew 34% versus last year. The Hobbit became the fourth best-selling set in Magic history despite having a leaner product lineup, Reality Fracture shipments exceeded expectations, and Backlist and Secret Lair were on track for record years. Hobbit prerelease participation across 13,000 Wizards Play Network partners was the highest for a Universes Beyond release, while MagicCon Atlanta sold out with badge sales up nearly 30% versus last year.
- Expanding Magic Player Base and DistributionOrganized play participants in the first nine months of 2026 were up more than 40% compared with all of 2024, with three months remaining in the year. Wizards Play Network stores grew approximately 38% to more than 13,000, Magic's mass distribution increased approximately 28%, and the brand was available in close to 40,000 doors.
- Backlist and Repeat-Player MomentumBacklist sales in the first few weeks of the fourth quarter had already surpassed all of 2025, and backlist growth was described as faster than front-list growth. Foundation, Final Fantasy, and Lord of the Rings were the largest backlist sellers by distribution in the referenced quarter.
- Positive 2027 Magic SetupHasbro expects Magic to continue growing in 2027 on top of a record 2026. All six major 2027 releases are expected to have a full product suite, production capacity is being scaled to meet demand, and fan and retail distribution continue to expand. Management stated that full product suites can produce sales per set that are upwards of 50% higher or even greater than sets with more limited product offerings.
- Strong Digital Games PipelineHasbro confirmed an April 7, 2027 launch date for Exodus and stated that Warlock follows in 2027. Warlock was the number-one most wish-listed new game from opening night, while Exodus was approaching one million wish lists and was benchmarking favorably against other releases.
- Asset-Light Licensing PlatformHasbro described its licensing model as asset light and said it is a top-five global licensor with more than $17 billion in annual retail sales. Licensing businesses across consumer products, digital, and entertainment generate nearly $700 million in annual revenue. The company is building an enterprise-wide franchise system, scaling licensed consumer products, accelerating location-based entertainment, diversifying digital licensing, and using entertainment and music to build fandom.
- Peppa Pig Licensing Initiative Delivered Strong ResultsThe Peppa Pig Baby Eazy initiative increased retail sales nearly 30% while Hasbro spent one-third less on marketing.
- Consumer Products Returned to Growth and Margin ExpansionConsumer Products revenue grew 4% to $828 million, marking the fourth consecutive quarter of toy and game revenue growth. Adjusted operating profit doubled to $178 million, and adjusted operating margin expanded to 21.5% from 11.2%, supported by supply-chain productivity, lower distribution costs, disciplined operating expense, favorable business mix, and approximately $48 million of tariff refunds.
- Entertainment-Led Brand MomentumMarvel revenue increased more than 35%, supported by theatrical releases from Marvel Studios. Hasbro also cited momentum from Transformers' 40th anniversary, Spider-Man following Brand New Day, and Doctor Doom products appearing on multiple retailers' top toy lists ahead of Avengers: Doomsday.
- Healthy Inventory PositionOwned inventory ended the quarter at $359 million, down 10% versus last year. Management stated that both owned and retail inventory were clean and well positioned for the seasonal build and upcoming entertainment slate.
- Cost Transformation and Productivity ProgressThe cost transformation program contributed $105 million during the first nine months against a full-year commitment of $150 million. Management said the savings are absorbing higher royalties and input costs while funding investment behind Magic and 27 digital game launches.
- Balance Sheet and Shareholder ReturnsHasbro ended the quarter with $851 million of cash and $576 million of short-term investments matched against its November 2026 maturity. The company contributed $226 million toward debt reduction and returned $445 million to shareholders through dividends and share repurchases. The annual share repurchase target was increased from $200 million to $400 million, with $149 million repurchased through the first nine months.
- Continued Investment in Growth OpportunitiesHasbro continues to invest behind its highest-return growth opportunities, led by Wizards, digital gaming, and licensing. Management stated that 2026 is the peak investment year for digital gaming, with the spending curve expected to begin working in the company's favor thereafter; digital development costs are expected to be down 20% to 25% by 2028.
- Positive Consumer and Category TrendsManagement described the consumer as resilient and said there was nothing going into the holidays that caused concern about the consumer. Third-quarter toy and game point-of-sale was up low single digits, trading cards were up high single digits to low double digits, and GEM Squared categories were up almost 14% year to date.
DE:HAS Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Feb 16, 2027 | 2026 (Q4) | 1.32- | 1.35 | ― | ― |
| Oct 20, 2026 | 2026 (Q3) | 1.662.59 | 1.5 | 72.62% (+1.09) | |
| Jul 21, 2026 | 2026 (Q2) | 1.031.14 | 1.16 | -1.54% (-0.02) | |
| May 20, 2026 | 2026 (Q1) | 1.071.31 | 0.93 | 41.35% (+0.38) | |
| Feb 10, 2026 | 2025 (Q4) | 0.851.35 | 0.41 | 228.26% (+0.94) | |
| Oct 23, 2025 | 2025 (Q3) | 1.461.50 | 1.54 | -2.89% (-0.04) | |
| Jul 23, 2025 | 2025 (Q2) | 0.691.16 | 1.09 | 6.56% (+0.07) | |
| Apr 24, 2025 | 2025 (Q1) | 0.600.93 | 0.54 | 70.49% (+0.38) | |
| Feb 20, 2025 | 2024 (Q4) | 0.310.41 | 0.34 | 21.05% (+0.07) | |
| Oct 24, 2024 | 2024 (Q3) | 1.151.54 | 1.46 | 5.49% (+0.08) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.