Segment Revenue: Consumer Products fell 11%, Wizards of the Coast and Digital Gaming decreased 11%. Entertainment segment revenues declined 3%.

Selling, distribution, and administration costs rose 16.3%. The company incurred an operating loss of $(188.6) million versus an operating income of $219.1 million.

The company held $216.6 million in cash and equivalents as of July 2, 2023.

Adjusted EPS of $0.49 missed the analyst consensus of $0.58.

Adjusted EBITDA for the quarter declined 36% to $198.6 million.

The company's next dividend of $0.70 per share will be payable on August 15, 2023, to shareholders of record on August 1, 2023.

Outlook: Hasbro sees FY23 revenue to decline 3-6% (prior view: down low-single digits), driven by the Entertainment Segment.

HAS updated Entertainment Segment guidance to reflect the reality of the writers' and actors' strikes on the eOne Film and TV business. HAS reduced outlook on Entertainment to down 25 to 30%.

The company's outlook across the Consumer Products Segment is unchanged, and Wizards of the Coast and Digital Gaming Segment revenue outlook is higher than prior guidance.

Hasbro expects adjusted operating margin up 20 to 50 basis points versus last year and continues to expect operating cash flow of $600 million - $700 million.

Price Action: HAS shares are trading higher by 1.85% at $65.56 in premarket on the last check Thursday.