🧾 What This Document Is

This is a press release filed as an "exhibit" to a Form 8-K. An 8-K is a report companies use to announce major, time-sensitive news to investors. In this case, Hasbro is sharing its preliminary first-quarter results early, updating on a recent cyberattack, and confirming the date for its full quarterly report.

🏢 What The Company Does

👉 In simple terms, Hasbro is the giant behind iconic games and toys like Magic: The Gathering, Monopoly, Nerf, and Play-Doh. They create and license entertainment for kids and adults, making money from selling physical products, digital games, movies, and TV shows.

💰 Financial Highlights: A Strong Start

Hasbro's preliminary numbers for Q1 2026 show solid growth compared to last year.

• Revenue: Approximately $970 to $985 million, up 9-11% from last year.
• Operating Profit: Approximately $235 to $245 million, a big jump of 38-44%.
• Adjusted Operating Profit: This is the key metric management highlights. It's approximately $250 to $260 million, up 12-17%. The difference between this and the standard profit above is explained by one-time costs like restructuring.

👉 Why it matters: This shows the company's core business is growing, especially its hit game, Magic: The Gathering, which they call out as a strength.

🔮 Full-Year 2026 Guidance: No Change

Despite the Q1 news, Hasbro is sticking to its forecast for the entire year. They still expect:

• Total revenue to grow 3-5% (when currency effects are excluded).
• An Adjusted Operating Margin of 24-25%.
• Adjusted EBITDA (another measure of profit) between $1.40 and $1.45 billion.

👉 Why it matters: Reiterating guidance after a cyber incident signals management's confidence that the problem is under control and won't derail the full-year plan.

🔐 The Cyberattack Update

Hasbro confirms there was unauthorized access to its network. Here’s the current status:

• Contained: They believe the breach is stopped.
• Impact on Q1: No direct financial hit to the first quarter.
• Impact on Reporting: The attack caused delays in getting their Q1 report ready, which is why this preliminary info is coming out now.
• Impact on Operations: Some systems were shut down proactively, causing shipping delays in their Consumer Products segment for Q2. However, Magic: The Gathering shipments are unaffected.
• Costs: Q2 will include extra costs for the investigation and advisors.

👉 Why it matters: While the financial hit seems limited, it created operational headaches and delays. The key positive is that their most important product line, Magic: The Gathering, kept rolling.

📦 The "Adjusted" Profit Explained

Hasbro uses a non-GAAP "Adjusted Operating Profit" to show what profit looks like without unusual, one-time costs. Here’s how they get from the standard profit to the adjusted figure for Q1:

Item	Low Estimate	High Estimate
Standard Operating Profit	$235 million	$245 million
+ Costs for acquired patents/brands	$10 million	$10 million
+ Strategy project costs	$1 million	$1 million
+ Restructuring & severance	$5 million	$5 million
= Adjusted Operating Profit	$250 million	$260 million

📅 What's Next & Key Dates

• Full Q1 Results: Will be released before the market opens on May 20, 2026.
• Earnings Conference Call: Scheduled for 8:30 a.m. Eastern Time on May 20, 2026. A webcast will be available at https://investor.hasbro.com/.
• Investor Contact: Fred Wightman | [email protected]
• Media Contact: Abby Hodes | [email protected]

⚖️ Big Picture: Strengths & Risks

• 👍 Strengths: Strong Q1 growth driven by a flagship product (Magic). Maintaining full-year guidance shows resilience. Clear communication about the cyber incident.
• ⚠️ Risks: The cyberattack caused operational delays and could lead to unexpected costs. The preliminary numbers are not final and could change. The toy and game business is highly competitive and depends on successful new product launches.

🧠 The Analogy

Imagine your favorite sports team's coach holding a press conference before the official season stats are out. He says, "We're ahead of last year's pace, we're not changing our goal to win the championship, and yes, we had a water leak in the locker room that delayed our paperwork, but it's fixed and hasn't affected our games." That's essentially what this Hasbro filing is.

🧩 Final Takeaway

Hasbro's business is off to a strong, growing start in 2026, led by Magic: The Gathering. While a cybersecurity incident created some operational mess and reporting delays, the company believes it's contained and isn't changing its positive outlook for the full year. The main takeaway is a story of underlying strength navigating a contained disruption.