Hasbro Is Increasingly Reliant on TV and Movies, and That's A Bad Thing at the Moment
Demand for toys and games helped prop Hasbro (NASDAQ: HAS) early on in the pandemic, but the company's luck wasn't as good in the second quarter of 2020. Earnings results released Monday show revenue took a steep tumble year-over-year, even as the company's gaming segment performed quite well once again.
The culprit? It would seem the company is suffering collateral damage from the delay of movie releases, and some TV productions are getting delayed by the redundancy crisis that has emerged due to COVID-19.
After posting decent results to kick off 2020, supply chain issues (some factories were shuttered due to the pandemic), retail store closures, and the delay of TV and movie programming (especially at the recently acquired EntertainmentOne TV and movie production studio) conspired against Hasbro in Q2. The gaming segment was the lone area of strength, but it wasn't enough to offset a big year-over-year tumble.
Source Fool.com
