Hasbro, the second-largest US toy maker by sales, recorded Q3 profit growth to $207.6m, beating analyst expectations.
The American toy giant’s latest quarter figures come a week after rival Mattel reported an 11% decline in third-quarter sales, as continuing decline among large brands such as Barbie and the stronger dollar hurt results.
“Brand innovation and superior market execution delivered not only underlying revenue growth, but higher profitability in a very challenging foreign exchange environment,” said President and CEO Brian Goldner.
“We have innovative play experiences and marketing initiatives across brands, demographics and geographies this holiday season and remain focused on executing and investing from continued growth in future years.”
US and Canada segment revenues increased by 5%. The US and Canada Segment’s results reflect growth in the Boys and Preschool categories, which was partially offset by a decline in the Games and Girls categories. International segment revenues increased by 14%. On a regional basis, the negative impact of foreign currency resulted in revenue declines in Europe, Latin America and Asia Pacific.
The decline of revenue in the Entertainment and Licensing Segment was largely due to the comparison with the same period last year, where sales had benefitted from the release of ‘Transformers: Age of Extinction’.