hit tracker
Wednesday, March 22, 2023
HomeLatest NewsHasbro will cut 15% of its workforce after its 'slowdown' in revenue...

Hasbro will cut 15% of its workforce after its ‘slowdown’ in revenue in 2022

Date: March 22, 2023 Time: 22:43:47

The American toy firm Hasbro has reported an internal restructuring and reorganization plan that will cause a 15% cut in the workforce, which means that more than 1,000 employees around the world will lose their jobs so that the company can save on its high costs.

This adjustment, together with the investments in the supply chain, aims to save in costs between 250 and 300 million dollars (230-276 million euros) per year by 2025 in order to recover the profitability of the brand. In this way in 2022 (1,544 million euros) due to the bad sales season.

“The changes are necessary to return the business to a leading and competitive position within the industry”

Also among the expected changes is the departure of Eric Nyman, president and chief operating officer, an 18-year veteran of the company. From now on, the consumer products division, which posted 10% less revenue than a year ago, will be headed directly by CEO Chris Cocks.

Cocks has also defended that these layoffs occur because sales were well below expectations in the last Christmas campaign, which has been weighed down by inflation. In the whole of the year, the company has reduced its turnover by 9% to 5,860 million.

Digital games avoid a major blow

While the traditional toy sector has forced this situation, the business segment dedicated to digital games and the publisher Wizards of the Coast billed more than 339 million dollars, reflecting an increase of 22% compared to 2021 revenue. The two brands have generated approximately 1,330 million in revenues in their respective lines, which show a growth of 3%.

From Hasbro they have explained that the division of these products has built a solid foundation for the future of direct sales to the consumer, through its brands such as Hasbro Pulse. Lego.

Puck Henry
Puck Henry
Puck Henry is an editor for ePrimefeed covering all types of news.

Most Popular

Recent Comments