Hasbro warns of hit to holiday sales from supply chain issues

Above Article Content Ad

A Monopoly board recreation by Hasbro Gaming is seen on this illustration photograph August 13, 2017. REUTERS/Thomas White/Illustration/File Picture GLOBAL BUSINESS WEEK AHEAD

Oct 26 (Reuters) – Hasbro Inc mentioned on Tuesday international provide chain disruptions price it about $100 million in misplaced toy orders within the third quarter, and the corporate warned of an additional hit to gross sales through the essential vacation procuring season.

Whereas demand has surged during the last yr, manufacturing unit shutdowns, a scarcity of container ships and lengthy port delays have fueled fears of a scarcity of toys to place below Christmas timber through the vacation season.

The maker of “Transformers” toys and Nerf blasters mentioned the vast majority of the $100 million in orders that weren’t stuffed within the third quarter had been delivered, and it was working “across the clock” to safe transport for its items.

Hasbro mentioned it expects 2021 income to rise 13% to 16%, in contrast with analysts’ estimates of a 14.2% rise, in response to Refinitiv IBES estimates.

“We’ve orders to help the excessive finish of the income progress vary, however there are provide chain elements out of our management which may influence our means to completely obtain the upside,” the corporate’s Chief Monetary Officer Deborah Thomas mentioned.

Final week, rival Mattel Inc raised its 2021 gross sales forecast, saying it was using quite a few methods together with pulling ahead manufacturing and contracting extra ocean freight capability to ring in a robust vacation season.

Hasbro’s web income rose 11% to $1.97 billion within the third quarter ended Sept. 26, in keeping with estimates.

On an adjusted foundation, the corporate earned $1.96 per share, in contrast with estimates of $1.69 per share.

Reporting by Uday Sampath in Bengaluru; Modifying by Shinjini Ganguli and Shounak Dasgupta


Source link

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button