Hasbro Q1 revenue jumps 13% on Magic: The Gathering expansion
Hasbro (NASDAQ:HAS) reported its financial results for the first quarter of 2026, delivering substantial top- and bottom-line expansion anchored by robust demand for its trading card franchises and mobile gaming partnerships.
Total net revenues for the quarter increased 13% year-over-year to $1 billion, up from $887.1 million in the first quarter of 2025.
The company’s operating profit climbed 58% to $270 million, yielding a 27% operating margin.
On an adjusted basis, operating profit rose 29% to $287 million, boosted by scaled margins and a highly profitable product mix.
Net earnings for the period reached $1.39 per diluted share, while adjusted net earnings came in at $1.47 per diluted share.
Operational performance was heavily driven by the Wizards and Digital Gaming segment, where revenues jumped 26% year-over-year to $582 million.
Within this division, Magic: The Gathering revenue surged 36%, propelled by the first-quarter market releases of Lorwyn Eclipsed and the Teenage Mutant Ninja Turtles crossover edition under its Universes Beyond banner.
Additionally, the licensed mobile title Monopoly Go! sustained its commercial tailwinds, contributing $41 million to top-line gaming revenues during the three-month period.
The segment's operating profit reached $298 million, operating at a 51% margin.
In contrast, Hasbro’s traditional retail and entertainment divisions faced a mixed demand environment.
The Consumer Products segment recorded flat revenues of $397.9 million, as market share gains within key toy and board game categories were balanced by difficult year-over-year licensing comparisons.
The segment reported an adjusted operating loss of $41 million, reflecting normal seasonal fluctuations and incremental tariff expenses, though brand momentum for Star Wars merchandise increased ahead of an upcoming theatrical film release.
Meanwhile, the Entertainment segment saw revenues decline 24% to $20.3 million due to the structural timing of distribution agreements, though lower royalty expenses allowed the division to post a modest operating profit of $17 million.
Capital management initiatives during the quarter included returning $106 million to equity holders via dividend distributions and open-market share repurchases.
Hasbro also deployed $96 million toward structural debt reduction, supported by the issuance of $400 million in new notes.