Hasbro stock surges, as gaming strength helps boost profit and revenue above expectations

Shares of Hasbro Inc.
HAS,
+0.42%
rallied 2.8% toward a one-year high in premarket trading Monday, after the toy maker reported fourth-quarter profit and revenue that rose above expectations, as strength in gaming offset a miss in its franchise brands business. Net income increased to $105.2 million, or 76 cents a share, from $95.5 million, or 69 cents a share, in the year-ago period. Excluding nonrecurring items, adjusted earnings per share grew to $1.27 from 90 cents, above the FactSet consensus of $1.14. Revenue rose 4% to $1.72 billion, topping the FactSet consensus of $1.69 billion. Among the business segments, Franchise Brands revenue rose 7% to $705.2 million to miss the FactSet consensus of $730.8 million; Partner Brands revenue declined 14% to $349.6 million, in line with expectations of $349.4 million; and Hasbro Gaming revenue jumped 21% to $298.5 million to beat expectations of $279.1 million. “We continue to see strong retail, consumer and audience support for our brands and content as we look to the coming year,” said Chief Financial Officer Deborah Thomas. The stock has advanced 15.3% over the past three months through Friday, while the S&P 500
SPX,
+0.39%
has gained 10.8%.