Financial Analysis

Commitments and Contingencies The Company enters into license agreements with strategic partners, inventors, designers and others for the use of intellectual properties in its products. Certain of these agreements require the Company to pay fixed and determinable royalty amounts or nonrefundable licensing fees, regardless of future sales or performance. Under terms of existing agreements as of December 28, 2025, the Company is unconditionally obligated to make the following payments, net of amounts previously paid and recorded as prepaid royalties: 2026: $90.4 million; 2027: $112.0 million; 2028: $111.1 million; 2029: $110.7 million; 2030: $102.0 million; and thereafter: $100.8 million. Certain licensing agreements also include contingent minimum guarantees or performance-based payments that become payable only upon the occurrence of specified future events. Such contingent amounts are not included in the amounts above. As of December 28, 2025, the Company had $30.7 million of prepaid royalties, all of which are included in Prepaid expenses and other current assets. Interest payment obligations on the Company's fixed-rate long-term debt are as follows: 2026: $153.9 million; 2027: $136.3 million; 2028: $119.7 million; 2029: $112.4 million; 2030: $77.3 million; and thereafter: $614.1 million. Refer to Note 12, Long-Term Debt and Other Financing, for additional information on the Company's long-term debt. As of December 28, 2025, the Company estimates payments related to invento …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

"Share-Based Awards The Company has reserved 6.5 million shares of its common stock for issuance upon exercise of options and other awards granted or to be granted under stock incentive plans for employees and for non-employee members of the Board of Directors (collectively, the Plans). These awards generally vest and are expensed in equal annual amounts over three years. The plans provide that options be granted at exercise prices not less than the market value of the underlying common stock on the date the option is granted and options and share awards are adjusted for such changes as stock splits and stock dividends. Options are exercisable for periods of no more than seven years after date of grant. Upon exercise in the case of stock options, grant in the case of restricted stock or vesting in the case of performance based contingent stock and restricted stock unit grants, shares are issued out of available treasury shares. The Companys current plan permits the granting of awards in the form of stock, stock appreciation rights, stock awards and cash awards in addition to stock options. Total compensation expense related to stock options, restricted stock units, including those awards made to non-employee members of its Board of Directors, and stock performance awards during 2025, 2024 and 2023 was $80.4 million, $50.8 million and $71.9 million, respectively, and $72.3 million, $43.6 million and $62.7 million, respectively, after tax effects. Total share-based compensation …

DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock · excerpt; the full note is in the filing

Fair Value of Financial Instruments The Company measures certain financial instruments at fair value. The fair value hierarchy consists of three levels: Level 1 fair values are based on quoted market prices in active markets for identical assets or liabilities that the entity has the ability to access; Level 2 fair values are those based on quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable data for substantially the full term of the assets or liabilities; Level 3 fair values are based on inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. There have been no transfers between levels within the fair value hierarchy. As of December 28, 2025 and December 29, 2024, the Company had the following assets and liabilities measured at fair value in its Consolidated Balance Sheets: Fair Value Fair Value Measurements Using: (In millions) Level 1 Level 2 Level 3 December 28, 2025 Assets: Available-for-sale securities $ 106.0 $ 106.0 $ $ Derivative financial instruments 2.0 2.0 $ 108.0 $ 106.0 $ 2.0 $ Liabilities: Derivative financial instruments $ 8.7 $ $ 8.7 $ December 29, 2024 Assets: Available-for-sale securities $ 0.6 $ 0.6 $ $ Derivative financial instruments 9.7 9.7 $ 10.3 $ 0.6 $ 9.7 $ Liabilities: Derivative financial instruments $ 1.7 $ $ 1.7 $ As of December 28, 2025, the Company held $ …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing

Goodwill and Intangible Assets Goodwill Changes in the carrying amount of goodwill, by operating segment are as follows: (In millions) Wizards of the Coast and Digital Gaming Consumer Products Entertainment Total Balance, December 31, 2023 $ 371.7 $ 1,582.3 $ 325.2 $ 2,279.2 Foreign exchange translation (0.7) (0.3) (1.0) Balance, December 29, 2024 371.0 1,582.0 325.2 2,278.2 Impairment (1,021.9) (1,021.9) Foreign exchange translation (0.5) 0.9 0.4 Balance, December 28, 2025 $ 370.5 $ 561.0 $ 325.2 $ 1,256.7 The Company performs an annual impairment assessment on goodwill. This annual impairment assessment is performed in the fourth quarter of the Companys fiscal year. During the fourth quarter of 2025, the Company performed a qualitative goodwill assessment with respect to each of its reporting units. Based on its qualitative assessments, the Company determined it is not more likely than not that the carrying values exceed the fair values for any of its reporting units. As a result, the Company concluded it was not necessary to perform a quantitative test for impairment of goodwill for any reporting unit. In addition to the annual test, if an event occurs or circumstances change that indicate that the carrying value of a reporting unit may not be recoverable, the Company will perform an interim impairment test. Due to increased tariffs, including reciprocal tariffs announced by the U.S. government in April 2025, the escalation of ongoing trade policy disputes between internat …

GoodwillAndIntangibleAssetsDisclosureTextBlock · excerpt; the full note is in the filing

"Income Taxes The components of (Loss) earnings before income taxes, determined by tax jurisdiction, are as follows: (In millions) 2025 2024 2023 United States $ (160.8) $ 325.2 $ (356.9) International 58.8 171.8 (1,352.2) Total (loss) earnings before income taxes $ (102.0) $ 497.0 $ (1,709.1) Income taxes attributable to (Loss) earnings before income taxes are: (In millions) 2025 2024 2023 Current: United States $ 2.2 $ 47.0 $ (29.0) State and local (0.6) 11.0 (6.4) International 56.0 65.2 57.6 57.6 123.2 22.2 Deferred: United States 125.9 (2.2) (36.3) State and local 21.3 (9.7) (3.0) International 11.4 (8.7) (204.2) 158.6 (20.6) (243.5) Total tax expense (benefit) $ 216.2 $ 102.6 $ (221.3) The following table presents the 2025 rate reconciliation between Income tax expense and statutory expectations, after the adoption of ASU 2023-09: 2025 (In millions) Amount Percent U.S. federal statutory tax rate $ (21.4) 21.0 % State and local income taxes, net of federal income tax effect (1) 16.3 (16.0) Foreign tax effects Canada Difference in statutory tax rate (0.3) 0.3 Quebec income taxes 1.7 (1.7) Other 0.6 (0.6) Switzerland Difference in statutory tax rate (22.7) 22.3 Canton income taxes 10.2 (10.0) Swiss deferred tax asset translation (4.0) 3.9 Nontaxable income (2.1) 2.0 Other (0.7) 0.7 China Difference in statutory tax rate 0.5 (0.5) Withholding tax 8.0 (7.8) Other 0.3 (0.3) Germany Difference in statutory tax rate (0.1) 0.1 Pension adjustment (1.3) 1.3 Other (0.6) 0.6 United …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

Leases The Company has operating lease agreements for offices and certain types of equipment and vehicles. The operating leases have remaining terms of 1 to 13 years, some of which include options to extend lease terms or options to terminate current lease terms at certain times, subject to notification requirements set out in the lease agreement. Payments under certain of the lease agreements may be subject to adjustment based on a consumer price index or other inflationary indices. Any adjustments to these payments based on the related indices is recorded to expense as incurred. The Company has elected the short-term lease practical expedient in accordance with ASC Topic 842 , Leases (ASC Topic 842) that allows entities to recognize lease payments on a straight-line basis over the lease term for leases with a term of 12 months or less. Lease expense recognized for such leases was $0.4 million, $0.5 million, and $0.6 million for the years ended 2025, 2024 and 2023, respectively. Real estate taxes, insurance and maintenance expenses are generally obligations of the Company. The Company capitalizes non-lease components for equipment leases, but expenses non-lease components as incurred for real estate, which amounted to $8.6 million, $8.2 million, and $11.3 million in 2025, 2024 and 2023, respectively. Operating lease costs for capitalized leases amounted to $32.8 million, $35.4 million and $44.2 million for each of the years ended 2025, 2024 and 2023, respectively. During 202 …

LesseeOperatingLeasesTextBlock · excerpt; the full note is in the filing

"Long-Term Debt and Other Financing Components of Long-term debt are as follows: (In millions) 2025 2024 Carrying Cost Fair Value Carrying Cost Fair Value 3.90% Notes Due 2029 $ 900.0 $ 885.2 $ 900.0 $ 845.6 6.05% Notes Due 2034 500.0 530.7 500.0 502.2 6.35% Notes Due 2040 500.0 526.1 500.0 507.5 3.55% Notes Due 2026 497.0 495.3 591.9 578.0 3.50% Notes Due 2027 475.0 470.3 500.0 481.5 5.10% Notes Due 2044 300.0 267.5 300.0 261.3 6.60% Debentures Due 2028 109.9 116.4 109.9 114.4 Total long-term debt 3,281.9 3,291.5 3,401.8 3,290.5 Less: Deferred debt expenses 17.0 21.0 Less: Current portion of long-term debt 497.0 495.3 Long-term debt $ 2,767.9 $ 2,796.2 $ 3,380.8 $ 3,290.5 In November 2019, in conjunction with the Company's acquisition of eOne, the Company issued an aggregate of $2.4 billion of senior unsecured debt securities (the ""Notes"") consisting of the following tranches: $300.0 million of notes due 2022 (the ""2022 Notes"") that bear interest at a fixed rate of 2.60%, $500.0 million of notes due 2024 (the ""2024 Notes"") that bear interest at a fixed rate of 3.00%, $675.0 million of notes due 2026 (the ""2026 Notes"") that bear interest at a fixed rate of 3.55%, and $900.0 million of notes due 2029 (the ""2029 Notes"") that bear interest at a fixed rate of 3.90%. Net proceeds from the issuance of the Notes, after deduction of $20.0 million of underwriting discount and fees, totaled $2.4 billion. These costs are being amortized over the life of the Notes outstanding, …

LongTermDebtTextBlock · excerpt; the full note is in the filing

"Recently Adopted Accounting Pronouncements In December 2023, the FASB issued Accounting Standard Update (""ASU"") 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures . The amendments in this update enhance the transparency and decision usefulness of income tax disclosures. This amendment requires public companies to disclose specific categories in the rate reconciliation and provide additional information for reconciling items that meet a quantitative threshold. Additionally, under the amendment, entities are required to disclose the amount of income taxes paid disaggregated by federal, state and foreign taxes, as well as disaggregated by material individual jurisdictions. Finally, the amendment requires entities to disclose income from continuing operations before income tax expense disaggregated between domestic and foreign and income tax expense from continuing operations disaggregated by federal, state and foreign. The new standard is effective for fiscal years beginning after December 15, 2024. The Company adopted this standard as part of this Annual Report. Refer to Note 13, Income Taxes, for the revised disclosures consistent with the new standard. Accounting Standards Issued But Not Yet Adopted In November 2024, the FASB issued ASU 2024-03, Income StatementReporting Comprehensive IncomeExpense Disaggregation Disclosures . The new standard requires enhanced additional disclosures related to certain expense categories. The new standard is effectiv …

NewAccountingPronouncementsPolicyPolicyTextBlock · excerpt; the full note is in the filing

Retirement Plans Pension and Postretirement Benefits The Company recognizes an asset or liability for each of its defined benefit pension plans equal to the difference between the projected benefit obligation of the plan and the fair value of the plans assets. Actuarial gains and losses and prior service costs that have not yet been included in income are recognized in the Consolidated Balance Sheets in AOCL. Reclassifications to earnings (losses) from AOCL related to pension and postretirement plans are recorded to Other (income) expense. Expenses related to the Companys defined benefit pension plans for 2025, 2024 and 2023 were approximately $4.7 million, $3.0 million and $4.0 million, respectively, and were recorded within Other (income) expense. United States Plans The Company sponsors a defined benefit retirement plan, which pays benefits to eligible employees at the time of retirement, using actuarial formulas based upon a participants years of credited service and compensation. The plan is closed and frozen to all employees. The Company also provides certain postretirement health care and life insurance benefits to eligible employees, primarily employees who retired prior to January 1, 2020. Amounts related to the defined benefit retirements plan and other postretirement plans recognized in the Companys consolidated financial statements are determined on an actuarial basis. Reconciliations of the beginning and ending balances for the projected benefit obligation, the f …

PensionAndOtherPostretirementBenefitsDisclosureTextBlock · excerpt; the full note is in the filing

"Restructuring Actions Starting in 2022, the Company implemented its Operational Excellence program (""the Program""), an ongoing enterprise-wide initiative intended to improve our business through programs that include targeted cost-savings, supply chain transformation and certain other restructuring actions designed to drive growth and enhance shareholder value. The Company's organizational structure changes have resulted and will further result in workforce reductions as well as the reallocation of people and resources. The Company currently anticipates that these changes will be substantially complete over the next three to six months. Charges related to the Program were recorded in Selling, distribution and administration expense within Corporate and Other. Going forward, the Company may implement further cost-saving initiatives under the Program that could result in additional restructuring charges including severance and other employee charges. The liability balance associated with Program related restructuring actions consisted of severance payments recorded within Accrued liabilities in the Consolidated Balance Sheets as follows: (In millions) 2025 2024 Balance, beginning of year $ 46.9 $ 81.2 Charges 9.0 22.2 Payments (36.6) (56.5) Balance, end of year $ 19.3 $ 46.9 Total restructuring charges incurred to date under the Program as of December 28, 2025 equal $163.5 million"

RestructuringAndRelatedActivitiesDisclosureTextBlock

Revenue Recognition Contract Assets and Liabilities In the ordinary course of business, the Company enters into contracts to license certain of the Companys intellectual property, providing licensees right-to-use or access such intellectual property for use in the production and sale of consumer products and digital game development, location-based entertainment, and for use within content for distribution over streaming platforms and for television and film. The Company also licenses owned television and film content for distribution to third parties in formats that include broadcast, digital streaming and theatrical. Through these arrangements, the Company may receive advanced royalty payments from licensees, either in advance of a licensees subsequent sales to customers or prior to the completion of the Companys performance obligation. In addition, the Wizards of the Coast and Digital Gaming segment may receive advanced payments from end users of its digital games at the time of the initial purchase, through in-application purchases or through subscription services. The Company defers revenues on all licensee and digital gaming advanced payments until the respective performance obligations are satisfied. The Company records the aggregate deferred revenues as contract liabilities, with the current portion recorded within Accrued liabilities and the long-term portion recorded within Other liabilities in the Companys Consolidated Balance Sheets. The Company records contract a …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

"Segment Reporting The Company's reportable segments are strategic business units that offer different products and services. They are managed separately because the business requires different technology and marketing strategies. The Company's reportable segments are as follows: The Wizards of the Coast and Digital Gaming business engages in the promotion of the Company's brands through the development of trading card, role-playing and digital game experiences based on Hasbro and Wizards of the Coast games. Additionally, we license certain of our brands to other third-party digital game developers who transform Hasbro brand-based characters and other intellectual properties, into digital gaming experiences. The Consumer Products segment engages in the sourcing, marketing and sales of toy and game products around the world. The Consumer Products business also promotes the Company's brands through the out-licensing of our trademarks, characters and other brand and intellectual property rights to third parties, through the sale of branded consumer products such as toys and apparel. Additionally, through license agreements with third parties, we develop and sell products based on popular third-party brands. The Entertainment segment engages in the development and production of Hasbro-branded entertainment content including film, television, childrens programming, digital content and live entertainment focused on Hasbro-owned properties. Corporate and Other, which does not meet t …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

"Summary of Significant Accounting Policies Overview: Hasbro, Inc., a Rhode Island corporation, and its consolidated subsidiaries are referred to in these consolidated financial statements and notes as we, our, us, the Company or Hasbro. The Company's three reportable segments consist of: Consumer Products, Wizards of the Coast and Digital Gaming, and Entertainment. Corporate and Other, which does not meet the criteria to be an operating segment, provides management and administrative services to the Company's principal reporting segments. Principles of Consolidation: The consolidated financial statements include the accounts of Hasbro, Inc. and all majority-owned subsidiaries. Investments representing 20% to 50% ownership interests in other companies are accounted for using the equity method. For those majority-owned subsidiaries that are not 100% owned by Hasbro, the interests of the minority owners are accounted for as noncontrolling interests. All intercompany balances and transactions have been eliminated. Basis of Presentation: Hasbros fiscal year ends on the last Sunday in December. The fiscal years ended December 28, 2025 and December 29, 2024 were fifty-two week periods. The fiscal year ended December 31, 2023 was a fifty-three week period. Certain amounts have been reclassified to conform to current year presentation. Use of Estimates: The consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (""GAAP"") …

SignificantAccountingPoliciesTextBlock · excerpt; the full note is in the filing

Commitments and Contingencies Contingencies The Company is subject to claims related to product and other commercial matters. In determining costs to accrue related to these items, the Company carefully analyzes cases and considers the likelihood of adverse judgments or outcomes, as well as the potential range of possible loss. The Company accrues for matters when losses are both probable and estimable. Any amounts accrued for these matters are monitored on an ongoing basis and are updated based on new developments or new information as it becomes available for each matter. Litigation and Other Claims The Company from time to time may be subject to lawsuits and other claims related to product, commercial, employee, environmental and other matters in the normal course of business. In determining costs to accrue related to these items, the Company carefully analyzes cases and considers the likelihood of adverse judgments or outcomes, as well as the potential range of possible loss. The Company accrues for matters when losses are both probable and estimable. Any amounts accrued for these matters are monitored on an ongoing basis and are updated based on new developments or new information as it becomes available for each matter. Environmental Liabilities The Company monitors for any estimated environmental contingencies related to its current physical locations and former owned or leased facilities in which it is responsible for environmental matters. The Company has estimated a …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

"Long-Term Debt and Other Financing The carrying costs, which are equal to the outstanding principal amounts, and fair values of the Company's long-term borrowings are as follows: June 28, 2026 June 29, 2025 December 28, 2025 Carrying Cost Fair Value Carrying Cost Fair Value Carrying Cost Fair Value 3.90% Notes Due 2029 $ 900.0 $ 876.7 $ 900.0 $ 866.4 $ 900.0 $ 885.2 6.05% Notes Due 2034 500.0 525.1 500.0 514.9 500.0 530.7 3.55% Notes Due 2026 497.0 495.7 554.9 547.2 497.0 495.3 6.35% Notes Due 2040 470.0 493.8 500.0 507.3 500.0 526.1 3.50% Notes Due 2027 415.0 410.5 475.0 463.9 475.0 470.3 4.65% Notes Due 2031 400.0 396.0 5.10% Notes Due 2044 265.0 238.0 300.0 258.5 300.0 267.5 6.60% Debentures Due 2028 109.9 114.2 109.9 116.8 109.9 116.4 Total long-term debt 3,556.9 3,550.0 3,339.8 3,275.0 3,281.9 3,291.5 Less: deferred debt expenses 18.7 18.9 17.0 Less: Current portion of long-term debt 497.0 495.7 497.0 495.3 Long-term debt $ 3,041.2 $ 3,054.3 $ 3,320.9 $ 3,275.0 $ 2,767.9 $ 2,796.2 During the three and six months ended June 28, 2026, the Company repurchased $55.2 million and $125.0 million, respectively, of its 2027, 2040, and 2044 Notes and recorded a gain on extinguishment of $0.2 million and $1.7 million, respectively, in Other expense (income), net in the Consolidated Statements of Operations. For the three and six months ended June 29, 2025, the Company repurchased $11.5 million and $61.9 million, respectively, of its 2026 and 2027 Notes and recorded a gain on extin …

DebtDisclosureTextBlock · excerpt; the full note is in the filing

Fair Value of Financial Instruments The Company measures certain financial instruments at fair value. The fair value hierarchy consists of three levels: Level 1 fair values are based on quoted market prices in active markets for identical assets or liabilities that the entity has the ability to access; Level 2 fair values are those based on quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable data for substantially the full term of the assets or liabilities; Level 3 fair values are based on inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. There have been no transfers between levels within the fair value hierarchy. As of June 28, 2026, June 29, 2025 and December 28, 2025, the Company had the following assets and liabilities measured at fair value in its Consolidated Balance Sheets: Fair Value Measurements Using: Fair Value Level 1 Level 2 Level 3 June 28, 2026 Assets: Available-for-sale securities $ 527.9 $ 527.9 $ $ Derivative financial instruments 3.3 3.3 $ 531.2 $ 527.9 $ 3.3 $ Liabilities: Derivative financial instruments $ 5.3 $ $ 5.3 $ June 29, 2025 Assets: Available-for-sale securities $ 10.8 $ 10.8 $ $ Derivative financial instruments 2.3 2.3 $ 13.1 $ 10.8 $ 2.3 $ Liabilities: Derivative financial instruments $ 11.5 $ $ 11.5 $ December 28, 2025 Assets: Available-for-sale secu …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing

"Income Taxes The Company and its subsidiaries file income tax returns in the United States and various state and international jurisdictions. In the normal course of business, the Company is regularly audited by U.S. federal, state and local, and international tax authorities in various tax jurisdictions. The effective tax rate (""ETR"") was 22.7% and 20.3% for the three and six months ended June 28, 2026, and (4.9)% and (11.4)% for the three and six months ended June 29, 2025. The following items impacted the ETR during 2026 and 2025: During the three months ended June 28, 2026 the Company recorded a net discrete tax benefit of $1.0 million, primarily associated with the release of uncertain tax positions resulting from the expiration of certain international statutes of limitations. During the three months ended June 29, 2025 the Company recorded a non-cash goodwill impairment of $1,021.9 million with no corresponding tax benefit within the Consumer Products segment. The Company also recorded a net discrete tax benefit of $5.9 million, primarily associated with the release of a valuation allowance. During the six months ended June 28, 2026 the Company recorded a net discrete tax benefit of $9.8 million, primarily associated with share-based compensation. During the six months ended June 29, 2025 the Company recorded a non-cash goodwill impairment of $1,021.9 million within the Consumer Products segment and an unfavorable adjustment to the Loss on disposal of the eOne Film …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

Leases During the first six months of 2026, the Company entered into several significant new operating leases, primarily relating to office and warehousing facilities located within the United States, with initial lease terms ranging from approximately 10 to 12 years. The following is a reconciliation of future undiscounted cash flows to the operating liabilities, and the related right-of-use assets, included in our Consolidated Balance Sheets as of June 28, 2026: June 28, 2026 2026 $ 21.9 2027 46.8 2028 45.5 2029 33.3 2030 30.5 Thereafter 261.7 Total future lease payments (1) 439.7 Less: imputed interest 99.7 Present value of future operating lease payments 340.0 Less: current portion of operating lease liabilities (2) 30.8 Non-current operating lease liability (3) $ 309.2 Operating lease right-of-use assets, net (4) 301.6 (1) Lease cash flow activity is displayed net within the Statements of Cash Flows, total gross Right of Use Assets and Lease Liabilities added during the six months ended were $221.8 million. (2) Included in Accrued liabilities on the Consolidated Balance Sheets (3) Included in Other liabilities on the Consolidated Balance Sheets (4) Included in Property, plant and equipment on the Consolidated Balance Sheets

LesseeOperatingLeasesTextBlock

"Recently Adopted Accounting Pronouncements During the three and six months ended June 28, 2026, there were no recently adopted accounting standards that had a material effect on the Companys financial statements. Accounting Standards Issued But Not Yet Adopted In November 2024, the Financial Accounting Standards Board (""FASB"") issued Accounting Standards Update (""ASU"") 2024-03, Income StatementReporting Comprehensive IncomeExpense Disaggregation Disclosures . The new standard requires enhanced additional disclosures related to certain expense categories. The new standard is effective for fiscal years beginning after December 15, 2026. We are assessing the effect on our 2027 annual consolidated financial statement disclosures and in future interim periods thereafter. At this time, we anticipate adoption will result in additional disclosures within our consolidated financial statements; however adoption will not impact our consolidated balance sheets or statements of operations. In September 2025, the FASB issued ASU 2025-06, IntangiblesGoodwill and Other Internal-Use Software (Subtopic 350-40) . The standard removes all references to the previously existing software development project stages and requires entities to start capitalizing software costs when management has authorized and committed funding to a software project and it is probable that the project will be completed with its intended functionality. The new standard is effective for fiscal years beginning after …

NewAccountingPronouncementsPolicyPolicyTextBlock · excerpt; the full note is in the filing

"Restructuring Actions Starting in 2022, the Company implemented its Operational Excellence program (""the Program""), an ongoing enterprise-wide initiative intended to improve our business through programs that include targeted cost-savings, supply chain transformation and certain other restructuring actions designed to drive growth and enhance shareholder value. The Company's organizational structure changes have resulted and will further result in workforce reductions as well as the reallocation of people and resources. The Company currently anticipates that these changes will be substantially complete over the next three to six months. Charges related to the Program were recorded in Selling, distribution and administration expense within Corporate and Other. Going forward, the Company may implement further cost-saving initiatives under the Program that could result in additional restructuring charges including severance and other employee charges. The liability balance associated with the Program related restructuring actions consisted of severance payments recorded within Accrued liabilities in the Consolidated Balance Sheets as follows: Six Months Ended June 28, 2026 June 29, 2025 Balance, beginning of period $ 19.3 $ 46.9 Charges 13.7 8.6 Payments (15.4) (22.0) Balance, end of period $ 17.6 $ 33.5 Total restructuring charges incurred to date under the Program as of June 28, 2026 equals $177.2 million."

RestructuringAndRelatedActivitiesDisclosureTextBlock

Revenue Recognition Revenue is recognized when control of the promised goods, functional intellectual property or production is transferred to the customers or licensees, in an amount that reflects the consideration the Company expects to be entitled to in exchange for transferring those goods. The Company accounts for a contract when it has approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance, and collectability of consideration is probable. The majority of the Companys revenues are derived from sales of finished products to customers. Refer to Note 1, Summary of Significant Accounting Policies, of the Company's 2025 Form 10-K for the Company's revenue recognition accounting policy. Contract Assets and Liabilities In the ordinary course of business, the Company enters into arrangements that result in the recognition of contract assets and contract liabilities. The Company records the current portion of contract assets and contract liabilities in Prepaid expenses and other current assets and Accrued liabilities, respectively, and the long-term portion within Other assets and Other liabilities, respectively, in the Company's Consolidated Balance Sheets. The opening and closing balances of contract assets and contract liabilities are as follows: June 28, 2026 June 29, 2025 Contract Assets: Balance, beginning of period $ 282.9 $ 241.4 Balance, end of period $ 252.7 $ 270.1 Contrac …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

"Segment Reporting The Company's reportable segments are strategic business units that offer different products and services. They are managed separately because the business requires different technology and marketing strategies. The Company's three reportable segments are as follows: The Wizards of the Coast and Digital Gaming business engages in the promotion of the Company's brands through the development of trading card, role-playing and digital game experiences based on Hasbro and Wizards of the Coast games. Additionally, we license certain of our brands to other third-party digital game developers who transform Hasbro brand-based characters and other intellectual properties, into digital gaming experiences. The Consumer Products segment engages in the sourcing, marketing and sales of toy and game products around the world. The Consumer Products business also promotes the Company's brands through the out-licensing of our trademarks, characters and other brand and intellectual property rights to third parties, through the sale of branded consumer products such as toys and apparel. Additionally, through license agreements with third parties, we develop and sell products based on popular third-party brands. The Entertainment segment develops, produces, and monetizes Hasbro-branded entertainment content including film, television, childrens programming, digital content and live entertainment focused on Hasbro-owned properties. Corporate and Other, which does not meet the cr …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing