Feb 10 (Reuters) – Hasbro on Tuesday forecast annual revenue below Wall Street estimates, as the toy maker grapples with consumers pushing back on non-essential purchases, including toys, due to economic uncertainty.
Several consumer-facing companies have flagged tepid spending on discretionary items such as toys, electronics and apparel, as low to middle-income consumers remain under pressure from rising product prices tied to U.S. President Donald Trump’s import tariffs.
Hasbro, however, beat fourth-quarter revenue estimates as demand ticked up during the holiday season.
Fourth-quarter revenue came in at $1.45 billion, compared with analysts’ average estimate of $1.26 billion, according to data compiled by LSEG.
The Play-Doh maker reported a profit of $1.41 per share, compared with a loss of 25 cents per share a year ago.
Shares of the company were up about 2% in premarket trading after Hasbro also announced a $1 billion share repurchase program on Tuesday.
The company expects annual revenue to grow in the range of 3% to 5%, compared with analysts’ average estimate of a 5.16% rise.
(Reporting by Anuja Bharat Mistry in Bengaluru; Editing by Shinjini Ganguli)
