UPDATE: Hasbro Q3 profit roughly halves to lag estimates as inflation hits consumer, shares fall 3% premarket

Hasbro Inc. shares slid 3% in premarket trade Tuesday, after the toy company posted third-quarter earnings that roughly halved versus the year-earlier period as retailers sped up shipments for the holiday season and customers showed the pressures from high inflation. The company posted net income of $129.2 million, or 93 cents a share, for the quarter, down from $235.2 million, or $1.83 a share, in the year-earlier period. Adjusted per-share earnings came to $1.42, below the $1.52 FactSet consensus. Revenue fell 15% to $1.676 billion from $1.970 billion, matching the FactSet consensus. "As expected, the third quarter is our most difficult comparison and was further impacted by increasing price sensitivity for the average consumer," CEO Chris Cocks said in a statement. The numbers were also impacted by the acceleration of consumer product shipments by retailers fearing supply chain challenges heading into the holiday season, he said. "To achieve our full-year outlook, we are projecting Hasbro's fourth quarter revenue to be approximately flat versus last year on a constant currency basis with particular strength from our Wizards and Digital Gaming segment," he said. Growth is expected to be led by a strong quarter for "MAGIC: THE GATHERING," which is celebrating its 30th anniversary as the company's first ever $1 billion brand, he said. Shares have fallen 33% in the year to date, while the S&P 500 has fallen 23%.

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