Brian, you, morning Thank good and everyone.
results outstanding very in gains Our dynamic of quarter strong entire a producing our reflect second revenue environment. team, quarterly the execution global and profit
was led brands, several but growth by from Revenue came THE GATHERING. MAGIC:
of half in of a and first in the expectations. Given release and our year the ahead robust positive last forecasted was more which schedule, first the this we a weighted strong it heavily versus brand, for Magic came to half momentum
Magic's MARVEL in other PLAY-DOH, growth Brands, was From the RANGERS End products further brand, notably Game of Spider-Man: launch from support Avengers: also growth revenue POWER in MONOPOLY supported Franchise and Home. the and Far and Hasbro of by
increase increase profit with and gross The XX%. margin. operating cost quarter's XXX revenues cost-saving to higher XXX a point basis contributed delivered our in mix favorable point in we basis margin Combined management, activities a ongoing and to
During the prior this the at performance this the other estimate to investments less we U.S. Due liability, the $XXX.X primarily line. within is liability settled pre-tax expense charge provided pension recorded of Toy of our charge quarter, of $XXX $XXX million our plan than to a we million settlement successfully Fair. million and the to
The for charge $X.XX we share the $X.XX per reported share second included per settlement. quarter for pension a the
cash charge, $X.XX cash. adjusted the flow over generating million share. was with the we XX-month billion in operating quarter in trailing ended the period, After Excluding $X.X $XXX.X per EPS
inventory, in level Our declining good inventory and both quality is $XX.X in the position, of million year-over-year. a
Brands with along XX%. increased increased, behind launch the Partner and THE Marvel Gaming and revenues the Within Hasbro our PLAY-DOH, RANGERS declined. MONOPOLY. GATHERING MAGIC: segment segments, in led POWER including U.S. TRANSFORMERS growth revenues while Emerging Franchise Brands by Brand and increased revenues, Canada
at quarter was inventory of quality. good slightly Retail end and down
As to season. continue buying they've spoke business influence are this focused retailers' past this inventory will in on retailers Brian than with had their less we running and to, expect decisions holiday the
for and higher by with $XXX.X million. partially increased revenue Operating increase segment and was The expense. growth the profit XX% only associated THE was to POWER higher MAGIC: expense asset offset amortization GATHERING intangible by led warehousing driven by RANGERS
tariffs. into position Warehousing the planned, potential of expense product country more included than to ahead bringing ourselves
As a result, our U.S. increased. on-hand inventory also
the potential tremendous a the business. implementation job complex tariffs. an It this mentioned, on quarter extremely assessing Brian of implications As with acting did issue, and team within the far-reaching is
could importer, bring retailers increase products product, which revenues the We borne in the the tax notified would this like price the inventory, This this during higher how tariff this to tariffs namely pass price this cadence our quarter. the on tariffed would point, impact customer be rate, been to into the footprint. Hasbro. the manufacturing While of items. on our on country. our and primarily the increases review through the by business, no I product enacted at to is have in prices We would plan on A U.S. of the our
tariff changes Given implementation, were price enacted. no the of status
of in location, produced known of China. being directly direct delivered for the XXXX, as contract In through XX% Tariffs have direct would items take option to in our revenues ownership this U.S. U.S. program Retailers were or our and inventory the manufacturing import. eliminate essentially Canada from import.
and it In second retailers the are fact, direct all orders, watching some closely. in import briefly quarter, paused
percent to expect import see as we year. total result, a a orders the direct decline of As this
build programs primary can be costs of warehousing income we shipping near-term, ultimately Hasbro tax over impact our mix the increases would importer. rate. and and and other This the time, will the expenses in While and
ownership the product cadence is mean of passed retailer to between revenues quarters. also the would later, This impacting
quarter, they product would the import U.S. Instead, on dates. direct quarter For the itself. place retailers orders some during take example, shelf fourth the in quarter first this for in first
would have initial period impact it time, this While over an in would quarter shipment. out level on fourth the
the management we've our as as been of footprint manufacturing discussed Finally, past, diversifying years. in for part our risk program, several we've
increased this During as the more have and in our we costs. accelerate further our to program plans taken invested quarter, a on resources result,
be we sold China year, believe to global get will supply year-end network. in an can and from the part XX% products XX% continue XXXX. we China, of we Last the by to came important of approximately our U.S.
U.S. in We from We've to tariffs XX% consumers continue U.S. to they happen, also business sourced are address prepared and disruptive the would to and of they near if the believe be done work very term. in but products sold the our manufacturers.
impact International negative $XX.X Moving a including million Revenues to segment. declined from X%, foreign exchange. the
led Asia segment behind by Pacific. decline. the Franchise in absent and in segment FX. FX, growth and MAGIC: in increased in by RANGERS. THE Excluding X% Marvel. behind Latin Partner on-hand POWER but this and Hasbro inventories Brands America retail excluding quarter revenues in revenues Europe Led GATHERING Revenues Brand were declined to continue flat, with the grew down. in growth Europe, revenues X% FX were Emerging Brands increased Gaming
Arena operating segment MAGIC: the lesser drove and our Digital resulted licensing XX% $XX.X and favorable revenue The to driven grew primarily continued management. The improvement Licensing segment a Magic: million. by profit profit million. Digital GATHERING mix, product The THE to in focus growth $XX.X increased cost gaming, consumer Gathering to extent, revenues and Entertainment, International growth. from on
gaming Operating marketing due to in segment $X.X production future profit higher expense declined and game program the development. increased in digital to and million investments
the in total continue we growth, of to & gaming brands. profitable DRAGONS discussed, long-term X% GATHERING particularly have in company to program half DUNGEONS range THE future As full year MAGIC: production anticipate X.X%. revenue, we revenue We in drive to of from and of initiatives amortization be first the down our rate investing X.X%
Hasbro signed first XXXX. we entered remind balance September agreement Also, in the beta meaningful XXXX revenues Looking the at for television quarter we digital the for and of quarter for the streaming you, programming year. recorded of during fourth of our game a segment, in third open Arena year the last multi-year I'd the
revenue. focus favorable impact operating Hasbro the margin spoke to profit and or to million this improvement, $XXX.X I improved to gross with the investments contributed improved program and Higher continued have a higher amortization. earlier in Overall, improvement of management. by XX% partially of notably factors our and cost-saving on activity asset offset along revenues expense, This I most production already higher discussed, gaming, was intangible digital cost
includes profit, Turning U.S. for our the operating other million to $XXX.X million charge results liability. settling of pretax below our pension expense $XXX.X plan
year primarily loss $XX.X other million last increased charge, versus transaction foreign and was this income to games Excluding due year. this currency
end year. trend last and could to high tariffs. Our the We was potential will our above rate guided to range the for tax versus the potentially slightly full believe our end XX.X% quarter year high due to rate own to underlying of XX.X% to go response middle XX% tax the XX.X%
Our evident balance is to at financial cash last days. including flow billion, DSOs in cash strength position $X.X and quarter year of our inventory, flat sheet lower end and XX strong
incentive profit revenues their profit spoken recognize I today largest and We also discussed communicated our will given know higher managing This inventory on our our planned about we and are versus a both we as We lower are this the year. and unplanned and planned incremental outlook year retailers and and carrying investing timing point-of-sale. enter focused expenses increasing expenses driving compensation for have includes of levels, absorbing. year ago. and of we that that the be as Brian while revenue have quarters that
expect return to growth That being in continue XXXX. profitable we to to said,
continuing have and to executed brands we excited deliver teams invest amazing Our the on this start growth. coming excellent while for and initiatives holiday the an future to many are to entertainment year season,
will now call open We the for questions.
