Hasbro CEO predicts strong year as Magic revenue increases 45 percent in Q1

In a recent earnings call, Hasbro's CEO Chris Cocks announced that revenue from Magic: The Gathering (MTG) surged by 45% year-on-year in the first quarter of 2025. This remarkable growth can be attributed partly to the strong pre-sales of the upcoming MTG Final Fantasy set, which Cocks expects to be the best-selling set of all time on its first day of release, set for June 13, 2025. This development is particularly significant as it positions Wizards of the Coast as a vital component of Hasbro's overall strategy, especially amidst challenges posed by tariffs on imports from China. Cocks elaborated that various factors, including resurgence of interest in older sets and exceptional performance in digital and physical game sales, contributed to the uptick in revenue. The popularity of the Universes Beyond initiative, which aims to attract both new and former players with themed sets, has also expanded the active player base of Magic significantly. Cocks expressed optimism about the future, stating that the engagement with existing players is only getting stronger, fostering a network effect within the collecting community. However, while the financial outlook appears glowing for now, concerns about the potential impact of tariffs were raised. Hasbro projects a hit of between $100 million to $300 million due to tariffs, driven primarily by the reliance on manufacturing in China for many of their toy products. Cocks cited the necessity of creating flexibility within their supply chain and hinted that moving production to other countries could be a strategy moving forward, though this shift comes at a higher cost compared to manufacturing in China. In conclusion, while Hasbro currently revels in the success of MTG and anticipates continued growth due to the upcoming Final Fantasy release, the uncertainty around tariffs continues to loom large. The dual focus of the management on both expanding their gaming segment and navigating the complexities of international trade showcases the tightrope that Hasbro must walk to maintain its growth trajectory alongside managing external pressures.