Shares of toymaker Hasbro (HAS) are falling on Tuesday after posting its fourth-quarter earnings, missing out on expectations, with $1.29 billion in revenue versus an expected $1.36 billion. In addition, the company posted its full-year 2024 guidance, predicting its consumer products segment revenue to decline by 7-12% with an operating margin of 4-6%, disappointing investors.
CRFA Analyst Zachary Warring joins Yahoo Finance to discuss Hasbro’s performance and how the toy company can move forward in this consumer environment.
Warring explains how Hasbro arrived here:
“I think what the big thing was with the balance sheet was inventories are now back down to below 2019 levels. They started to pay down some debt. They’ve got somedebt coming due in November which we expect them to pay down, pay off, and not refinance. And we think now they’ve kind of laid the groundwork to make some slow improvements through this year. They’ve guided for basically down 5% revenues and some improvement to operating margins.”
For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.
Editor’s note: This article was written by Nicholas Jacobino
