“Magic” & “Transformers” Help Hasbro

Hasbro, parent company of Wizards of the Coast – makers of popular collectible card game Magic the Gathering – reports that its third quarter profit is up 10% compared to the same time period a year ago, according to ICv2.com. However, while sales were reportedly off by 7% in the United States and Canada, stronger international sales provided the revenue for such growth.

It seems these latest earnings reports were driven by two things: Transformers and Magic: the Gathering. Sales for Hasbro’s “Toys for Boys” category grew by 15% and reached $534.6 million on the strength of Transformers and the Marvel Studios toys from both Thor and Captain America. Meanwhile, sales for the “Toys for Girls” category declined by 4% to $259.1 million.

Additionally, sales of “puzzles and games” declined for Hasbro by 6% to $364.7 million. However, apparently during a conference call with industry analysts, Hasbro CEO Brian Goldner mentioned Magic: the Gathering by name, singling it out as one of the Hasbro brands that is doing well, saying: “Taking a closer look at our overall third quarter results, we had several Hasbro brands perform well and contribute to our overall growth. Baby Alive, My Little Pony, Magic the Gathering, and Transformers, including the new KRE-O-branded products, all continued their growth trends in the quarter.”

Hasbro’s net income for the quarter rose to $171 million or $1.27 per share, which was below the $1.31 that analysts had forecast, marking the fourth consecutive quarter in which Hasbro had failed to meet the Street’s expectations.