Hasbro was missing $100 million worth of toys that were either stuck at ports or in warehouses that it had hoped to have by September, the company said in its most recent financial statement.
Supply chain disruptions, including port congestion, have forced the maker of Nerf blasters, Monopoly and Play-Doh, to “work around the clock” to secure transport for its goods, the company said on an earnings call on Tuesday.
The majority of the $100 million worth of delayed toys arrived in October instead of in the quarter ended Sept. 26, putting a dent in the Hasbro’s revenues.
Still, the Pawtucket, RI-based company — whose longtime chief executive Brian Goldner just lost his battle with cancer — beat Wall Street’s earnings expectations and delivered sales in line with estimates, led by a spike in the company’s entertainment division.
Consumer products sales declined by 3 percent to $1.3 billion due to “low stock levels,” the company said.
Entertainment sales popped by 76 percent to $327 million — fueled by such television programs as Yellowjackets, The Rookie and Fear the Walking Dead.
And digital gaming grew by 32 percent to $360 million, led by Magic: The Gathering, Dungeon & Dragons.
Overall revenue was up 11 percent to $1.97 billion in the quarter.
Hasbro said it expects 2021 revenue to rise 13% to 16%, compared with analysts’ estimates of a 14.2% rise.
Rival Mattel also had a strong quarter, posting an 8 percent sales increase to $1.8 billion compared to a year ago and the company said it expected to meet most of the consumer demand for its most popular toys, including Barbie and Hot Wheels.
Hasbro’s shares by midday Tuesday were up nearly 4 percent to $92.