Slide 1: 2021 Earnings
2021 Earnings APRIL 27, 2021
Slide 2: 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 future pe
Slide 3: Supplemental Financial Data: Use of Non-GAAP Financial Measures
Supplemental Financial Data Use of Non-GAAP Financial Measures The financial tables accompanying this presentation include non-GAAP financial measures as defined under SEC rules, specifically Adjusted operating profit, Adjusted net earnings and Adjusted earnings per diluted share, which exclude, whe
Slide 4: Hasbro's Brand Blueprint
Hasbro’s Brand Blueprint Strategy for Growth 4
Slide 5: Creating the World's Best Play & Entertainment Experiences
Creating the World’s Best Play & Entertainment Experiences Supercharging Q1 2021 DELIVERS A Strong Financial the Blueprint STRONG START TO 2021 Position • Q1 2021 Growth in Consumer Creating immersive experiences Products and Wizards of the Q1 2021 Net Revenues: $1.11B that drive higher value & capt
Slide 6: Q1 2021 Snapshot
2021 Net Revenues $1.11B snapshot Operating Profit As Reported $147.3M As Adjusted* $174.1M Net Earnings As Reported $116.2M As Adjusted* $138.4M EPS: As Reported $0.84 per diluted share *The As Adjusted figures are As Adjusted* $1.00 per diluted share non-GAAP financial measures. A reconciliation o
Slide 7: 2021 Announcements & Highlights
2021 ANNOUNCEMENTS & HIGHLIGHTS Launched on mobile March 2021 PARTNER BRAND
Slide 8: 2021 Announcements & Highlights: TV Projects
CAST ADDITIONS NEW TV PARTNERSHIPS Keke Beau Constance Palmer Willimon Wu WINNER TV Projects in NOMINEE Production Hugh Regé-Jean Sophia Across Grant Page Lillis Scripted and Unscripted 2021 ANNOUNCEMENTS & HIGHLIGHTS Projects in 10 Years Development 3 Grammy on Across Film & TV Wins for Kaytranada
Slide 9: First Quarter Net Revenue & Operating Profit Performance
First Quarter Net Revenue & Operating Profit Performance Q1 NET REVENUES OPERATING PROFIT (LOSS) +1% +15% As Adjusted $1,106 $1,115 2021 $152 $174 $147 $ Millions, unaudited 2020 $(23) 2020 Adjusted 2021 2020 2021 2020 2020 Adj* 2021 2021 Adj* 2021 Adjusted Consumer Products segment +14%; Wizards of
Slide 10: First Quarter Brand Portfolio Performance
First Quarter Brand Portfolio Performance Q1 2021 Q1 Q1 % FRANCHISE BRANDS Total 2021 2020 CHANGE Up including, MAGIC: THE GATHERING, PLAY-DOH, NERF, TRANSFORMERS and Gaming FRANCHISE BRANDS $492 $397 +24% BABY ALIVE. Q1 2021 $365M PARTNER BRANDS +7% PARTNER BRANDS $188 $182 +3% Growth in the quarte
Slide 11: Consumer Products Segment
Consumer Products Segment Q1 NET REVENUES OPERATING PROFIT (LOSS) +14% >+100% 2021 $654 $573 $32 $(10) $ Millions, unaudited 2020 2021 Revenue growth across Hasbro brands and • Revenue growth across all Operating Profit growth driven by product portfolio, including Franchise Brands, geographic regio
Slide 12: Consumer Products Segment Net Revenues by Geography
Consumer Products Segment Net Revenues by Geography Q1 2021 Q1 2020 % CHANGE ($ Millions, unaudited) AS REPORTED AS REPORTED NORTH $363 $322 +13% AMERICA EUROPE 188 157 +20% ASIA PACIFIC 65 58 +11% LATIN AMERICA 38 36 +6% TOTAL $654M $573M +14% SEGMENT 12
Slide 13: Wizards of the Coast & Digital Gaming Segment
Wizards of the Coast & Digital Gaming Segment Q1 NET REVENUES OPERATING PROFIT +15% +15% $110 $242 2021 $96 $211 $ Millions, unaudited 2020 2021 Revenue growth in MAGIC:THE GATHERING and Higher revenues drove increased Operating Profit, Revenues include a positive DUNGEONS & DRAGONS; Licensed Digita
Slide 14: Entertainment Segment
Entertainment Segment Q1 NET REVENUES OPERATING PROFIT (LOSS) -32% -29% $323 $59 As Adjusted 2021 $42 $219 $17 $(64) $ Millions, unaudited 2020 2020 Adjusted 2021 2021 Adjusted Entertainment segment revenues declined as Adjusted Operating Profit decreased due to lower expected in the quarter; Revenu
Slide 15: Segment Performance Historical
Segment Performance Historical PRO FORMA FY 2020 FY 2020 FY 2019 FY 2019 (Millions of Dollars) As Reported As Adjusted As Reported As Adjusted Consumer Products Net Revenues $3,646.9 $3,646.9 $4,005.9 $4,005.9 Operating Profit 308.1 308.1 361.3 361.3 EBITDA 443.3 480.3 545.0 586.9 Wizards of the Coa
Slide 16: First Quarter 2021 Net Earnings
First Quarter 2021 Net Earnings Diluted FIRST QUARTER Shares $138 Q1 2021 150 $116 138.1M vs. $1.00 per Q1 2020 100 $78 $0.84 per diluted share 137.1M diluted share 50 $0.57 per diluted share $ Millions, unaudited 0 $(0.51) per diluted share -50 $(70) -100 2020 2020 Adj* 2021 2021 Adj* • Total Non-O
Slide 17: Key Cash Flow & Balance Sheet Data
Key Cash Flow & Balance Sheet Data YEAR ENDED $ Millions, unaudited MAR 28, 2021 MAR 29, 2020 NOTES Cash $1,430 $1,238 Strong cash position Long-term Debt $4,674 $5,156 Retired $300M in debt due in May 2021 Depreciation $25 $24 Full-year Depreciation target is ~$160M Amortization of Intangibles $33
Slide 18: Corporate Social Responsibility
CORPORATE SOCIAL RESPONSIBILITY Our commitment to CSR reflects our desire to help build a safer, more sustainable and inclusive company and world for all. Product & Content Environmental Human Rights & Culture & Human Safety Responsibility Ethical Sourcing Capital Management 18
Slide 19: Creating the World's Best Play & Entertainment Experiences: Mission, Purpose, Values
OUR MISSION OUR PURPOSE Creating the Making the World’s Best Play World a Better Place & Entertainment for All Children, Experiences Fans and Families OUR VALUES PASSION CREATIVITY INTEGRITY COMMUNITY INCLUSION 19
Slide 20: Supplemental Financial Information
Supplemental Financial 3. Information ay
Slide 21: Condensed Consolidated Balance Sheets
Condensed Consolidated Balance Sheets (Millions of Dollars) March 28, 2021 March 29, 2020 ASSETS Cash and Cash Equivalents $ 1,430.4 $ 1,237.9 Accounts Receivable, Net 810.4 963.8 Inventories 429.2 444.4 Prepaid Expenses and Other Current Assets 566.0 672.4 Total Current Assets 3,236.0 3,318.5 Prope
Slide 22: Condensed Statements of Operations
Condensed Statements of Operations (Millions of Dollars and Shares Except Per Share Data) Quarter Ended March 28, % Net March 29, % Net 2021 Revenues 2020 Revenues Net Revenues $ 1,114.8 100.0% $ 1,105.6 100.0% Costs and Expenses: Cost of Sales 289.9 26.0% 262.7 23.8% Program Cost Amortization 97.5
Slide 23: Condensed Consolidated Cash Flows
Condensed Consolidated Cash Flows (Millions of Dollars) Quarter Ended March 28, March 29, 2021 2020 Cash Flows from Operating Activities: Net Earnings (Loss) $ 117.5 $ (67.9) Other Non-Cash Adjustments 193.8 249.5 Changes in Operating Assets and Liabilities 66.3 110.0 Net Cash Provided by Operating
Slide 24: Supplemental Financial Data: Segment Operating Results
SUPPLEMENTAL FINANCIAL DATA SEGMENT OPERATING RESULTS-AS REPORTED and AS ADJUSTED (Millions of Dollars) (Unaudited) Effective in the first quarter of 2021, the Company reorganized its reportable segments to Consumer Products, Wizards of the Coast and Digital Gaming, Entertainment, and Corporate and
Slide 25: Reconciliation of Adjusted Operating Profit
SUPPLEMENTAL FINANCIAL DATA RECONCILIATION OF NON-GAAP FINANCIAL MEASURES Reconciliation of Adjusted Operating Profit (Unaudited) (Millions of Dollars) Quarter Ended March 28, March 29, 2021 2020 Operating Profit (Loss) $ 147.3 $ (23.3) Consumer Products 32.3 (9.7) Wizards of the Coast and Digital G
Slide 26: Reconciliation of EBITDA and Adjusted EBITDA
SUPPLEMENTAL FINANCIAL DATA RECONCILIATION OF NON-GAAP FINANCIAL MEASURES Adjusted EBITDA by Segment: (Unaudited) (Millions of Dollars) Consumer Products $ 65.9 $ 15.7 Reconciliation of EBITDA and Adjusted EBITDA Wizards of the Coast and Digital Gaming 114.9 99.0 Entertainment 72.3 65.0 Corporate an
Slide 27: Reconciliation of Net Earnings and Earnings per Share
SUPPLEMENTAL FINANCIAL DATA RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited) (Millions of Dollars) Reconciliation of Net Earnings and Earnings per Share Quarter Ended Diluted Diluted (all adjustments reported after-tax) March 28, 2021 Per Share Amount March 29, 2020 Per Share Amount Net Ear
Slide 28: Reconciliation of Adjusted Operating Profit (Pro Forma)
SUPPLEMENTAL FINANCIAL DATA RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited) (Millions of Dollars) Reconciliation of Adjusted Operating Profit For comparability, the quarters and year ended December 29, 2019 includes the pro forma results for the eOne acquisition. Pro Forma reconciliations
Slide 29: Reconciliation of EBITDA and Adjusted EBITDA (Pro Forma)
SUPPLEMENTAL FINANCIAL DATA RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited) (Millions of Dollars) Reconciliation of EBITDA and Adjusted EBITDA For comparability, the quarters and year ended December 29, 2019 includes the pro forma results for the eOne acquisition. Pro Forma reconciliations