Hasbro, Inc. (NASDAQ: HAS) today reported financial results for the second quarter 2014. Net revenues for the second quarter 2014 increased 8% to $829.3 million from $766.3 million in 2013. Foreign exchange had an unfavorable $1.2 million impact on second quarter revenues.
Net earnings for the second quarter 2014 were $33.5 million, or $0.26 per diluted share, compared to $36.5 million, or $0.28 per diluted share, in 2013. Excluding an unfavorable tax adjustment of $13.8 million, or $0.10 per diluted share, adjusted net earnings for the second quarter 2014 were $47.3 million, or $0.36 per diluted share. Excluding pre-tax partial pension settlement charges of $2.5 million, or $0.01 per diluted share, associated with restructuring actions, adjusted net earnings for the second quarter 2013 were $38.3 million, or $0.29 per diluted share.
“Second quarter performance reflects our continuing re-imagination of brands across the brand blueprint and the positive impact of our investment and focus on strategic growth opportunities within Hasbro,” said Brian Goldner, Hasbro’s President and Chief Executive Officer. “Hasbro Franchise Brands, Emerging Markets and the Entertainment and Licensing segment posted strong second quarter growth. The combination of great brand innovation and storytelling is resonating with consumers globally to deliver revenue and profit improvements across multiple product categories and segments.”
“While delivering our second quarter, we continued to focus on long-term strategic investments in our brands, our systems and our capital structure,” said Deborah Thomas, Hasbro’s Chief Financial Officer. “Notably, we successfully refinanced $425 million of debt, raising a total of $600 million at the lowest coupon rate in our history. Our inventory is positioned to support consumer demand in the all-important holiday period, and our cash position remains strong after returning $325 million to shareholders through share repurchases and dividends in the first six months of the year.”Second Quarter 2014 Major Segment Performance
|Net Revenues ($ Millions)||Operating Profit ($ Millions)|
|Q2 2014||Q2 2013||% Change||Q2 2014||Q2 2013||% Change|
|U.S. and Canada||$383.0||$389.2||-2%||$46.9||$59.0||-20%|
|Entertainment and Licensing||$47.7||$35.3||+35%||$14.6||$3.7||+295%|