Hasbro, Inc. · NASDAQ:HAS
Hasbro — Q3 2026 Earnings Presentation
34 slides from Hasbro's earnings presentation, Oct 20, 2026
Slide 1: Q3 2026 Earnings
Q3 2026 Earnings October 20, 2026
Slide 2: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures Supplemental Financial Data The financial tables accompanying this presentation include non-GAAP financial measures as defined under SEC rules, specifically Adjusted operating profit, Adjusted operating margin, Adjusted net earnings and Adjusted net earnings per di
Slide 3: Safe Harbor
Safe Harbor Certain statements in this presentation contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements, which may be identified by the use of forward-looking words or phrases, include statements relating to: our business
Slide 4: Third Quarter 2026 Highlights
Third Quarter 2026 Highlights Total revenues grew 15% led by record performance in Wizards of the Coast and REPORTED ADJUSTED growth in Consumer Products $1,595M $1,595M Net Revenue +15% +15% 31% Revenue growth in Wizards fueled by MTG's The Hobbit and Reality Fracture Consumer Products revenue grew
Slide 5: Nine Months 2026 Highlights
Nine Months 2026 Highlights REPORTED ADJUSTED Hasbro revenues grew 15% with gains in Wizards & Consumer Products $3,735M $3,735M Net Revenue 28% growth in Wizards driven by MTG’s tentpole sets, backlist and Secret Lair +15% +15% Consumer Products up 3% vs. LY behind Marvel, Star Wars, Beyblade and K
Slide 6: Highlights: Third Quarter 2026
Highlights: Third Quarter 2026 Highlights 6
Slide 7: Hasbro, Inc. Third Quarter 2026 Performance
Hasbro, Inc. Third Quarter 2026 Performance Wizards of Q3 2026 Reported Results the Coast & Consumer Entertainment Corporate Hasbro ($ millions, except earnings per share) Products & Other Digital Gaming Revenue $747 $828 $20 N/A $1,595 % vs. PY +31% +4% +9% N/A +15% Operating Profit (Loss) $367 $17
Slide 8: Hasbro, Inc. Third Quarter 2026 Performance — as Adjusted
Hasbro, Inc. Third Quarter 2026 Performance — as Adjusted Wizards of Q3 2026 Adjusted Results the Coast & Consumer Entertainment Corporate Hasbro ($ millions, except earnings per share) Products & Other Digital Gaming Revenue $747 $828 $20 N/A $1,595 % vs. PY +31% +4% +9% N/A +15% Operating Profit (
Slide 9: Hasbro, Inc. Nine Months 2026 Performance
Hasbro, Inc. Nine Months 2026 Performance Wizards of YTD 2026 Reported Results the Coast & Consumer Entertainment Corporate Hasbro ($ millions, except earnings per share) Products & Other Digital Gaming Revenue $1,993 $1,689 $53 N/A $3,735 % vs. PY +28% +3% -13% N/A +15% Operating Profit (Loss) $935
Slide 10: Hasbro, Inc. Nine Months 2026 Performance — as Adjusted
Hasbro, Inc. Nine Months 2026 Performance — as Adjusted Wizards of YTD 2026 Adjusted Results the Coast & Consumer Entertainment Corporate Hasbro ($ millions, except earnings per share) Products & Other Digital Gaming Revenue $1,993 $1,689 $53 N/A $3,735 % vs. PY +28% +3% -13% N/A +15% Operating Prof
Slide 11: Q3 2026 Operating Margin Performance
Q3 2026 Operating Margin Performance As Reported Operating Margin Drivers Adjusted Operating Margin Drivers ($ millions) Amounts may not sum due to rounding ($ millions) Amounts may not sum due to rounding Q3 2025 Op Margin 24.6% $341 Q3 2025 Op Margin (Adjusted) 25.6% $356 Volume & Mix* +5.3 pts $1
Slide 12: Nine Months 2026 Operating Margin Performance
Nine Months 2026 Operating Margin Performance As Reported Operating Margin Drivers Adjusted Operating Margin Drivers ($ millions) Amounts may not sum due to rounding ($ millions) Amounts may not sum due to rounding YTD 2025 Op Margin -8.8% ($286) YTD 2025 Op Margin (Adjusted) 25.3% $825 Volume & Mix
Slide 13: Wizards & Digital Gaming Revenue Drivers
Wizards & Digital Gaming Revenue Drivers Q3 * YTD * * *Wizards Tabletop represents tabletop Magic: The Gathering, Dungeons & Dragons, and other games; Wizards Digital represents Magic: The Gathering Arena and D&D Beyond and Digital Licensing represents our licensed digital gaming business. Totals ma
Slide 14: Wizards & Digital Gaming Op Margin Performance
Wizards & Digital Gaming Op Margin Performance Q3 YTD ‣ Growth in Magic driving favorable mix and margin 2025 Op Margin (Adjusted) 44.0% $252 46.5% $723 leverage Volume & Mix* +7.4 pts $137 +5.7 pts $315 ‣ Operating expenses include product development, Gross to Net Sales Rate -0.6 pts ($9) -0.3 pts
Slide 15: Magic: The Gathering 2026/2027 Release Cadence
Magic: The Gathering 2026/2027 Release Cadence 2026 Magic Tentpole Sets 2027 Magic Tentpole Sets Magic Statistics Player Demographics 1/23 2/5 ‣ Average tabletop player is ~35 years old 1H 3/6 ‣ Average player tenure is 5+ years 4/9 ‣ Wizards Play Network >13k stores ‣ Over 1 million unique players
Slide 16: Consumer Products Revenue Drivers
Consumer Products Revenue Drivers Q3 * YTD * *Volume & Mix represents gross sales volume impact and impact of mix on net sales. Totals may not sum due to rounding. 16
Slide 17: Consumer Products Op Margin Performance
Consumer Products Op Margin Performance Q3 YTD ‣ Q3 Adjusted operating margin includes a $48M benefit from 2025 Op Margin (Adjusted) 11.2% $89 3.6% $59 tariff refunds Volume & Mix* -1.0 pts ($7) -1.3 pts ($21) ‣ Q3 margin expanded, as productivity savings more than Gross to Net Sales Rate +1.7 pts $
Slide 18: Hasbro Cash Flow & Metrics
Hasbro Cash Flow & Metrics OPERATING CASH FLOW ‣ Operating cash flow increased ~$417M year over year driven $907 by Magic revenue growth ‣ Deployed $226M toward debt reduction and the prefunding of select maturities $490 ‣ Issued $400M to refinance 2026 maturities and retire higher-cost, long-term d
Slide 19: 2026 Guidance
2026 Guidance1 FY 2026 Guidance FY 2026 Guidance (Current) (Prior) Net Revenues (Constant Currency) Up 7% to 9% Up 5% to 7% Adjusted Operating Margin 27% to 28% 25% to 26% Adjusted EBITDA $1.575B to $1.625B $1.45B to $1.50B Tax Rate* 22.5% to 23.5% 22.5% to 23.5% Capex ~$225M ~$225M *Tax rate repres
Slide 20: Operational Excellence Program
Operational Excellence Program PATH TO $1B OF GROSS COST SAVINGS ‣ YTD 2026 we delivered ~$105M of gross savings across Supply $1B Chain, Product Development and Approx. Net Savings SG&A ‣ On track to deliver our 2026 commitment; savings are absorbing higher royalties and input costs while funding i
Slide 21: Medium-term Guidance (2025-2027)
Medium-term Guidance (2025-2027)1 Key Metric Measure Tracking Revenue (Constant Currency) Mid-Single Digit Growth CAGR Ahead Tracking Adjusted Operating Margin 50bps to 100bps Average Expansion per year Ahead On Track Cost Savings* $1B Gross Cost Savings Achieved Capital Allocation 2.5x Gross Debt t
Slide 22: Supplemental Financial Information
Supplemental Financial Information
Slide 23: Gross Margin Performance
Gross Margin Performance Q3 YTD ‣ Gross Profit +$439M YoY YTD 2025 Gross Margin 69.6% $966 73.4% $2,390 ‣ Underlying Gross Volume & Mix* -0.7 pts $105 -0.5 pts $284 Margin drivers Gross to Net Sales Rate +0.6 pts $37 +0.2 pts $33 ‣ Business mix ‣ Higher volume COS Savings vs. Cost Inflation* +3.8 pt
Slide 24: Hasbro Performance in GEM2 Categories
Hasbro Performance in GEM2 Categories YTD Growth Share (August) Change GEM2 Categories +13.8% -0.9 pts Action Figures & Accessories +7.8% -0.3 pts Build communities, encourage Games exc. STCG +4.5% Flat repeat engagement, and extend across platforms & generations Strategic Trading Card Games +32.0%
Slide 25: Condensed Consolidated Balance Sheets
Condensed Consolidated September 27, 2026 September 28, 2025 ASSETS Balance Current Assets: Cash and cash equivalents $ 850.7 $ 620.9 Sheets1 Short-term investments 576.2 — Accounts receivable, net 1,110.3 995.2 Inventories 358.9 396.7 Prepaid expenses and other current assets 343.1 397.2 (Unaudited
Slide 26: Consolidated Statement of Operations
Consolidated Statement of Three Months Ended September 27, 2026 September 28, 2025 Nine Months Ended September 27, 2026 September 28, 2025 Operations1 % of Net % of Net % of Net % of Net Amount Revenues Amount Revenues Amount Revenues Amount Revenues Net sales $ 1,451.0 91.0 % $ 1,234.9 89.0 % $ 3,3
Slide 27: Condensed Consolidated Statement of Cash Flows
Condensed Nine months ended September 27, 2026 September 28, 2025 Consolidated Cash flows from operating activities: Net earnings (loss) $ 755.8 $ (521.3) Statement of Impairment of goodwill — 1,021.9 Impairment of capitalized software 56.4 — Cash Flows1 Loss on disposal of business — 25.0 Other non
Slide 28: Segment Results — As Reported and As Adjusted Q3 2026
Segment Results — As Three Months Ended September 27, 2026 Three Months Ended September 28, 2025 % Reported and Non-GAAP Non-GAAP Operating Results: As Reported Adjustments(2) Adjusted As Reported Adjustments(2) Adjusted Change Total Company Results: As Adjusted1 External Net Revenues Operating Prof
Slide 29: Segment Results — As Reported and As Adjusted Q3 2026 continued
Segment Results — As September 27, Three Months Ended September 28, Reported Wizards of the Coast and Digital Gaming Net Revenues by Category: 2026 2025 % Change Tabletop Gaming $ 613.1 $ 441.8 39% and As Digital and Licensed Gaming Net revenues $ 134.1 747.2 $ 130.2 572.0 3% 31% Adjusted Q3 Three M
Slide 30: Segment Results — As Reported and As Adjusted YTD 2026
Segment Results — As Nine Months Ended September 27, 2026 Nine Months Ended September 28, 2025 Reported Operating Results: As Reported Non-GAAP Adjustments Adjusted As Reported Non-GAAP Adjustments Adjusted % Change and As Total Company Results: External Net Revenues $ 3,735.1 $ — $ 3,735.1 $ 3,255.
Slide 31: Segment Results — As Reported and As Adjusted YTD 2026 continued
Segment Results — As September 27, Nine Months Ended September 28, Reported Wizards of the Coast and Digital Gaming Net Revenues by Category 2026 2025 % Change Tabletop Gaming $ 1,602.1 $ 1,191.9 34% and As Digital and Licensed Gaming 390.9 364.6 7% Net revenues $ 1,993.0 $ 1,556.5 28% Adjusted YTD
Slide 32: Reconciliation of Non-GAAP Financial Measures
Reconciliation Three Months Ended September 27, September 28, Nine Months Ended September 27, September 28, of Non-GAAP Reconciliation of EBITDA and Adjusted EBITDA: (1) 2026 2025 2026 2025 Net earnings (loss) attributable to Hasbro, Inc. $ 394.5 $ 233.2 $ 753.8 $ (524.0) Financial Interest expense
Slide 33: Reconciliation of Non-GAAP Financial Measures
Three Months Ended Nine Months Ended September 27, September 28, Reconciliation Recon ciliation of Adjusted Operating Profit (Loss): (1) 2026 2025 September 27, 2026 September 28, 2025 Operating Profit (Loss): $ 517.3 $ 341.1 $ 1,040.1 $ (286.4) Wizards of the Coast and Digital Gaming 367.4 251.5 93
Slide 34: Reconciliation of Non-GAAP Financial Measures
Reconciliation of Net Earnings and Earnings per Share: (1) Three Months Ended Reconciliation Net Earnings Attributable to Hasbro $ September 27, 2026 394.5 $ Diluted Per Share Amount 2.77 $ September 28, 2025 233.2 $ Diluted Per Share Amount 1.64 of Non-GAAP Acquired intangible amortization (2) Stra