WotC Hasbro's CEO Reports OGL-Related D&D Beyond Cancellations Had Minimal Impact

Hasbro held a quarterly earnings call recently in which CEO Chris Cocks (who formerly ran WotC before being promoted) indicated that the OGL controversy had a "comparatively minor" impact on D&D's revenue due to D&D Beyond subscription cancellations. He also noted that D&D grew by 20% in 2022 (Magic: the Gathering revenues grew by an astonishing 40% in Quarter 4!)

WotC as a whole was up 22% in Q4 2022.

Lastly, on D&D, we misfired on updating our Open Gaming License, a key vehicle for creators to share or commercialize their D&D inspired content. Our best practice is to work collaboratively with our community, gather feedback, and build experiences that inspire players and creators alike - it's how we make our games among the best in the industry. We have since course corrected and are delivering a strong outcome for the community and game.

 

[LordEntrails]

Well, looks like WotC is continuing putting out misleading statements to the public.

No. Just because many members of the public do not understand corporate financials and how quarterly earnings calls are done does not mean WotC or Hasbro has done anything misleading. These calls are not directed to the general public. Though available to the public, the are directed at financial investors who have specific financial interests and expectations. And legal requirements.

It's like walking into a lawyers' convention and then complaining you don't know what they are talking about because you have no knowledge of legal jargon. Or a thousand other possible examples of sub-cultures and specific jargon (like gamer speak, or geek talk, or...)

 

[LuisCarlos17f]

When there is a lot of money, you shouldn't be surprised about "conspirancies".

In ordinary circustances Hasbro only should worry about to stand enough time until the end of the storm and the arrival of new happy days, but my fear is 2023 is going to be a very hard year for global economy and for megacorporations. In the worst case Hasbro would be acquired by a bigger company, but we can't bet what megacorporation is going to survive this year.

We shouldn't worry about the end of D&D. Now it is a too valious brand.

 

[darjr]

Hasbro Admits Missteps With Wizards of the Coast

Hasbro execs Deborah Thomas and Chris Cocks addressed the controversies with the Dungeons & Dragons Open Gaming License and Magic: The Gathering.

gizmodo.com

 

[Scribe]

Hasbro Admits Missteps With Wizards of the Coast

Hasbro execs Deborah Thomas and Chris Cocks addressed the controversies with the Dungeons & Dragons Open Gaming License and Magic: The Gathering.

gizmodo.com

In the words of a good friend, nothing will radicalize you faster than listening to an investor’s call at 8:30 a.m. It’s a reminder that companies really do only care about money—and it is, frankly, soul-sucking, though it’s also unsurprising that nobody addressed culture or community. Ultimately, it feels like Wizards is putting out the message that it’s progressing slowly but steadily, citing one and low two-digit profit increases over the year; the Q1 earnings will eventually give us a better idea if Wizards is really doing as well with that post-OGL goodwill campaign. The company made nearly $6 billion in net revenue last year, so I’m not sure we’ll see the impact of the loss of two months of revenue (if that) from DDB unsubscribes.

 

[darjr]

A publicly traded company, in some ways we are not the customers. The shareholders are.

 

[Parmandur]

A publicly traded company, in some ways we are not the customers. The shareholders are.

In the corporate world, everyone is a customer. Member sof other teams are customers, members of your own team are customers, the executives are customers, everyone. ABC, Always Be Selling.

Not even an exaggeration, I heard the VP of Dale's at a company I worked for make that case in a big meeting once. And, he ain't wrong. Everything is a negotiation in business, internal or external, end customers or investors.

 

[Parmandur]

And I'll note...that was the Vice President of a privately held company, not a publicly traded one!

 

[darjr]

And I'll note...that was the Vice President of a privately held company, not a publicly traded one!

Private company. Publicly traded ones can be a whole other thing.

 

[Clint_L]

Well, looks like WotC is continuing putting out misleading statements to the public.

This isn't to the public, it's to shareholders. Meaning that putting out misleading statements can land you in serious legal trouble. There is arguably some minor spin here, but the statements have to be factual.

 

[Parmandur]

Private company. Publicly traded ones can be a whole other thing.

But the principle holds true: anyone with whom one does business is a customer. Publicly traded companies have significant external customers on both ends, but in the end having to answer to a handful of private owner or a large number of public owners is still dealing with customers for everyone in the company.