Transformers toys demand helps Hasbro beat revenue estimates

[April 23, 2019]    (Reuters) - Toymaker Hasbro Inc reported a surprise rise in quarterly revenue on Tuesday as the box-office success of the "BumbleBee" movie drove sales of its Transformers action toys, sending its shares up nearly 9 percent.

A spin-off from the "Transformers" franchise, "BumbleBee" was the first film to come out of an expanded partnership between Hasbro and Paramount Pictures. It made nearly $470 million worldwide, according to Box Office Mojo.

Revenue from the company's franchise brands segment, which includes the company's legacy toys, rose 9 percent to $393.6 million, beating analysts' average estimate of $361.7 million.

Sales were also boosted by demand for Play-Doh and Magic:The Gathering collectible card game.

The company reported net earnings of $26.7 million, or 21 cents per share, in the first quarter ended March 31, compared with a loss of $112.5 million, or 90 cents per share, a year earlier.

Net revenues rose to 2.3 percent to $732.5 million, while analysts were expecting $661.3 million, according to IBES data from Refinitiv.

(Reporting by Uday Sampath in Bengaluru; Editing by Saumyadeb Chakrabarty)

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