Hasbro revenue misses as sales of games, girls' toys fall further
By Nayan Das
(Reuters) - Toymaker Hasbro Inc (HAS.O: Quote) reported lower-than-expected quarterly revenue, hurt by a strong dollar and lower sales of its games and toys for girls.
Shares of the company, which makes Monopoly board game and My Little Pony toys, fell as much as 8.2 percent on Monday.
Toymakers including Hasbro and Barbie doll maker Mattel Inc (MAT.O: Quote) have seen declining sales of toys for girls as children increasingly opt for gadgets and tablets.
Revenue in Hasbro's games category fell 8 percent in the third quarter, due to weak demand for its "Magic: The Gathering" and other games.
Revenue in the toys for girls category fell 28 percent, the fourth straight quarter of decline, as demand for My Little Pony and Furby toys weakened.
Games and toys for girls together account for nearly half of Hasbro's total revenue.
Oppenheimer & Co Inc analyst Sean McGowan said the fall in sales of girls' toys was a concern.
"If the weakness in girls' toys is the result of competitive shifts, then there isn't much to be done," he said. "Other than heavy promotion or an acquisition, there is not much that Hasbro, or any other toy company, can do to change a product's performance in the short term." Continued...