WotC $HAS Fourth Quarter 2025 Earnings Call + D&D and Chris Cocks on AI usage transcript excerpt (26Feb10)

aiouh

Adventurer
Full presentation:

8-K (Current Events) Filing

1770734304720.png

Non-WotC seems to be taking a massive non-recurring hit to their operations this year.
1770734356250.png

Management adjusted paints a different picture, with WotC&Digital still outearning the rest by a large margin.

1770734501961.png


For Accounting nerds, items added back in in the adjusted Earnings


Excerpt from Earnings Call from Chris Cocks:

(Can't post the whole thing currently as my information software license doesn't allow it. Full official transcripts will be public later)

In the fourth quarter, we also shared more about our self-published video game strategy, including a new gameplay trailer for our science fiction RPG Exodus and the first reveal of our D&D Action Adventure game, War Lock. Both titles have been in development since 2019 and are led by some of the most experienced, creative and development talent in the industry. The response has validated our confidence. Since debuting at the game awards, trailers for these titles have been viewed more than 100 million times across social, gaming and owned channels. We expect both games to launch in 2027, beginning with Exodus in the first part of the year. We will share much more later this year, including extended gameplay walk-throughs that allow fans to fully step into the world's archetype entertainment and [indiscernible] Imbok have built. All of this reflects meaningful change, new partnerships, new distribution, new digital capabilities and it represents only part of what we have in motion. In 2026, we expect our largest year ever with our longest-standing partner, the Walt Disney Company. We are launching products tied to four major films. Disney and Pixar, Toy Story 5, Star Wars, the [indiscernible] Mandalorian and Gogo, Spider-Man Brand New Day and Marvel Studios Avengers Doomsday, alongside an all-new Magic collaboration with Marvel Superheroes. We also have a strong lineup of collectibles and exclusives, including standout pulse drops later this year. We're introducing creative new ways to experience PLAY-DOH that age up the brand later this year. Peppa Pigs, Baby Sister EV will celebrate a year of first as she approaches her first birthday, and we recently announced that Peppa's younger brother, George is moderately deaf as we continue to champion stories that reflect real children and families around the world. Transformers will begin celebrating the 40th anniversary of the 1986 animated film with a new product line and surprises throughout the year. D&D has major category expansions coming later this year, alongside continued growth on D&D beyond. We also announced a partnership with HBO and Craig Mason on a Balder gate series. Coming off the success of the last of us, Craig demonstrated what is possible when games serve as premium source material. That success reinforces our strategy to unlock long-term value by bringing our world to life with top-tier creative partners across more than 60 active entertainment projects.

Before I close, I want to address AI, and how we're using it at Hasbro
. We're taking a human-centric creator-led approach. AI is a tool that helps our teams move faster and focus on higher-value work, but people make the decisions and people own the creative outcomes. Teams also have choice in how they use it, including not to use it at all when it doesn't fit the work or the brand. We're beyond experimentation. We're deploying AI across financial planning, forecasting, order management, supply chain operations, training and everyday productivity. Under enterprise controls and clear guidelines around responsible use and IP protection. Anyone who knows me knows I'm an enthusiastic AI user and that mindset extends across the enterprise. We're partnering with best-in-class platforms, including Google Gemini, OpenAI and 11 labs to embed AI into workflows where it adds real value. The impact is tangible. Over the next year, we anticipate these workflows will free up more than 1 million hours of lower-value work, and we're reinvesting that capacity into innovation, creativity and serving fans. Our portfolio of IP and the creators and talent behind it are the foundation of this strategy. Great IP plus great storytelling is durable as technology evolves, and it positions us to benefit from disruption rather than being displaced by it.

In toys, AI-assisted design, paired with 3D printing has fundamentally improved our process. We've reduced time from concept to physical prototype by roughly 80%, enabling faster iteration and more experimentation with human judgment and human craft determining what ultimately gets selected and turned into a final product. We believe the winners in AI will be companies that combine deep IP, creative talent and disciplined deployment. That's exactly where Hasbro sits. As we enter 2026, we view playing to Win and more importantly, the execution behind it by our Hasbro, Wizards of the Coast and digital studio teams as a clear success. Despite market volatility and a shift in consumer environment, we returned this company to growth in a meaningful way. We delighted more than 1 billion kids, families and fans, secured partnerships that further underwrite future growth, advanced our evolution to a digital-first play an IP company and delivered record profits for our shareholders.

In 2026, we expect that momentum to continue. Hasbro is firmly back on the growth trajectory powered by play, partnership, new digital capabilities and most importantly, our extraordinary brands.
 

log in or register to remove this ad



Someone who speaks corporate: what does "category expansions" mean? Is that putting D&D on lunch boxes, or is it something in the game sphere?

D&D IP used for a product that isn't a TTRPG, and likely something that doesn't already use D&D IP (so likely not a video game either, for example). D&D on lunch boxes is closer to what this is.
 







Remove ads

Top