Hasbro, Inc. reported preliminary first-quarter revenue that exceeded Wall Street expectations, driven by strong demand for its flagship trading-card franchise Magic: The Gathering, even as a cybersecurity incident delayed the release of full results.
The company said it expects revenue in the range of $970 million to $985 million for the quarter, ahead of analyst estimates of $908.9 million, according to LSEG data.
Hasbro noted the figures are based on unaudited preliminary information.
Shares of the toymaker rose as much as 7.9% in premarket trading in New York before trimming gains to around 5%. The stock has gained about 10.5% so far this year, outperforming rival Mattel, Inc., whose shares have declined 23% over the same period.
Cyberattack delays full earnings release
Hasbro said it was unable to release full quarterly results due to a previously disclosed cybersecurity breach.
The company identified unauthorized access to its network in late March and took certain systems offline as a precaution.
On Thursday, Hasbro said the unauthorized access “has been contained” and that it is working to fully restore systems and operations.
The company added that the breach did not affect its first-quarter financial results, though it has delayed the compilation of necessary information.
The company now expects to release full quarterly earnings on May 20, before the market opens.
While the incident did not impact first-quarter performance, Hasbro warned that costs related to the investigation will weigh on the second quarter. It also expects disruptions to order processing, shipping, and invoicing in the current quarter.
Magic: The Gathering drives revenue growth
Revenue growth was supported by continued strength in Hasbro’s Wizards of the Coast and digital gaming segment, particularly its popular tabletop franchise Magic: The Gathering.
The game’s release cadence has remained unaffected by the cybersecurity incident, with planned launches continuing into the second quarter.
Hasbro has increasingly leaned on its gaming portfolio, including Magic: The Gathering and Dungeons & Dragons, to offset softer demand in traditional toy categories.
The company said growth in the segment has been supported by expanded distribution, new-player acquisition, and strong repeat purchases from collectors.
The company expects operating profit for the first quarter to be between $235 million and $245 million, with adjusted operating profit projected at $250 million to $260 million.
Near-term disruption, long-term outlook intact
In its consumer products segment, Hasbro said it continues to take orders and ship products but anticipates “some impact” on revenue and operating profit in the second quarter due to delays tied to the cybersecurity incident.
The company expects any shipment disruptions to be temporary, with delayed orders likely to be fulfilled in the second half of 2026.
Despite the near-term challenges, Hasbro reaffirmed its full-year outlook, projecting revenue growth of 3% to 5% in constant currency and adjusted EBITDA of $1.4 billion to $1.45 billion.
The stronger-than-expected preliminary results underscore the company’s ongoing shift toward higher-margin gaming and digital segments, even as operational disruptions and cautious consumer spending continue to weigh on the broader toy industry.
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