Hasbro stock surged as financials beat expectations

Hasbro Inc (NASDAQ:HAS) shares traded higher, gaining around 3%, thanks to positive second-quarter earnings.

Revenue was $995.3 million, easing past market consensus of $941.4 million – albeit, year-over-year the tally is down from $1.21 billion.

At $1.22, earnings per share was substantially better than the 78 cents that Wall Street analysts had anticipated. Net income came in at $138.5 million, compared to a $234.9 million loss a year ago.

The toy and boardgame maker highlighted a particularly strong performance in its digital division, where revenue increased by 20% to $452 million.

Revenue in Hasbro's digital gaming unit rose 20% to $452 million, driven by successful launches such as Modern Horizons 3, Monopoly Go!, and Baldur's Gate 3.

After the stronger quarterly performance, Hasbro expects to report full year earnings (adjusted EBITDA) between $975 billion and $1.025 billion.

“Hasbro is emerging as a more profitable, agile, and operationally excellent company delighting fans of all ages through the magic of play," chief executive Chris Cocks said in a statement.

Cocks, meanwhile, also noted the strength of Hasbro’s digital licensing amongst the quarter’s highlights.