PAWTUCKET, R.I. (AP) — Toy maker Hasbro said its second-quarter profit jumped 30 percent, thanks to rising sales of Transformers action figures and Monopoly board games. But its revenue was slightly lower than what Wall Street analysts expected, and it reported weaker demand for Easy-Bake ovens and Playskool toys and softer sales in two international markets.
Shares of Hasbro Inc. tumbled more than 9 percent to $105.00 on Monday, but are still up nearly 32 percent so far this year.
Analysts at Jefferies said they were “undeterred” by Hasbro’s stock drop Monday, and said they expect the company’s earnings to grow in the next couple of years.
Hasbro said its Magic card games and Nerf blasters also performed well, while demand for Super Soaker water guns and Baby Alive dolls were weaker. It expects to sell more toys later this year when a My Little Pony movie and the latest “Star Wars” film are released.
Most Read Business Stories
- She bought a house in Seattle for $36,000 in 1973. How can she release some cash?
- Big Tech's newest thing? This Seattle author predicted it 30 years ago
- Next time your Seattle landlord hikes the rent, you may be eligible for help
- Microsoft’s $22 billion combat goggles get crucial field test with U.S. Army
- After stock market's worst start in 50 years, some see more pain ahead
The Pawtucket, Rhode Island-based company reported net income of $67.7 million, or 53 cents per share, in the three months ending July 2. That compares with $52.1 million, or 41 cents per share, in the same quarter a year ago. Those results topped Wall Street expectations, with the average estimate of five analysts surveyed by Zacks Investment Research for earnings of 46 cents per share.
Revenue rose 11 percent to $972.5 million, just below the $973 million analysts expected, according to Zacks.
Although overall international revenue rose 6 percent, Hasbro said sales in the U.K. and Brazil were soft due to economic conditions in those countries. Revenue in the U.S. and Canada rose 16 percent.
Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on HAS at https://www.zacks.com/ap/HAS
Keywords: Hasbro, Earnings Report