Hasbro Gears Up for Q1 Earnings: What's in the Offing for the Stock?

Core Viewpoint - Hasbro, Inc. is set to report its first-quarter fiscal 2025 results on April 24, with expectations of earnings growth and revenue increase compared to the previous year [1][2]. Financial Estimates - The Zacks Consensus Estimate for earnings is 67 cents per share, reflecting a growth of 9.8% from 61 cents reported a year ago [2]. - Revenue estimates stand at $769.7 million, indicating a rise of 1.6% from the prior-year quarter [2]. Performance Factors - Strong performance in the MAGIC ecosystem, growth in licensing, and lower promotional discounts are expected to positively impact Hasbro's results [3]. - The focus on entertainment pipeline, strategic partnerships, and new product innovations is anticipated to contribute to favorable outcomes [3]. Revenue Projections - Franchise brand revenues are projected to increase by 1% year over year to$ 612.8 million, while Partner brands are expected to grow by 5.1% to $92.1 million [4]. - Portfolio brand revenues are predicted to decline by 4.4% year over year to$ 60.3 million [4]. Gaming Demand - Hasbro is experiencing strong demand in gaming, with a diverse gaming portfolio and initiatives aimed at enhancing gaming experiences across various platforms [5]. - The company's shift towards technology-driven toys and product launches is likely to support long-term profit growth [5]. External Challenges - The uncertain global tariff environment may continue to impact Hasbro's operations, raising production costs and potentially affecting sales and profitability [6]. - Tariffs on Chinese imports and possible retaliatory measures have previously strained operations and are expected to affect performance in the upcoming quarter [6]. Earnings Prediction Model - The current model does not predict an earnings beat for Hasbro, with an Earnings ESP of -4.19% and a Zacks Rank of 3 [7].