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As a result of bankruptcy filed by Toys"R"Us, $HAS' second largest biggest customer, the toymaker updated its revenue outlook for 4Q17 and it projected a 4-7% increase over 4Q16. For 3Q17, net earnings grew 3% to $265.6MM or $2.09 per share, which included a $0.04 per share benefit from an accounting change. Revenue grew 7% to $1.79Bil versus 3Q16.
$HAS closed public offering of $500MM of notes due 2027. The Notes will bear interest at a rate of 3.50% per year, beginning Sept. 13, 2017 with semi-annual payments commencing March 15, 2018. $HAS now plans to use net proceeds to repay all of the $350MM of its 6.30% Notes due 2017 and balance for general corporate and working capital purposes.
With 2Q17 revenue soaring 11% to $972.5MM, toymaker $HAS posted a 30% jump in net attributable earnings of $67.7MM or $0.53 per diluted share. Operating profit increased 18% to $100.0MM in the quarter with U.S. and Canada segment revenue spiking 16% up to $494.4MM.
$HAS' revenue in the International segment for 1Q17 were essentially flat at $345MM from last year. The latest quarter's revenue include a favorable $3MM impact of foreign exchange. Revenue growth in Franchise Brands, Hasbro Gaming and Emerging Brands was offset by a decline in Partner Brands.
$HAS reported a jump in 1Q17 earnings as growth in Franchise Brands, Hasbro Gaming and Emerging Brands offset the expected decline in Partner Brands. Net income rose to $68.6MM or $0.54 per share from $48.75MM or $0.38 per share last year. Net revenue grew to $849.7MM from $831.2MM.
$HAS promoted John Frascotti to President, effective immediately. Frascotti continues to report to Brian Goldner who, with today's appointment, becomes Chairman and CEO of $HAS. In this role, Frascotti will continue to lead $HAS' product design and development, global marketing, digital gaming, entertainment and consumer products initiatives.