Hasbro CEO Chris Cocks Talks 2026 Outlook, Earnings

Summary

Bloomberg Talks Podcast Summary

Episode: "Hasbro CEO Chris Cocks Talks 2026 Outlook, Earnings"

Air Date: July 21, 2026
Host(s): Dani Burger, Isabel Lee, Danielle Poly
Guest: Chris Cocks, CEO of Hasbro

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Episode Overview

This episode features an in-depth conversation with Hasbro CEO Chris Cocks following the company’s record-breaking second quarter results. The discussion covers Hasbro’s evolving strategy, particularly a sharpened focus on trading card and role-playing games, successful franchise performance, shifts in consumer behavior, AI’s role at Hasbro, and the company’s resilience in a volatile environment. Cocks also addresses concerns about franchise reliance and provides insights into Hasbro's diversified licensing business.

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Key Discussion Points & Insights

1. Hasbro’s Strategic Refocus: Video Games vs. Core Franchises

[00:32–02:22]

• Video Game Division Downsizing:
  • Hasbro recently canceled multiple video game projects.
  • Cocks explains that Hasbro reviewed its portfolio, deciding to double down on trading card games (TCGs) and role-playing games (RPGs)—areas like Magic the Gathering and Dungeons & Dragons, where Hasbro sees unique strengths.
• Partnership Approach:
  • Instead of building everything in-house, Hasbro leverages over 100 licensing partners globally for genres like strategy and action games.
  • Chris Cocks:

    “We decided to refocus...trading card games and role playing games were really vital to franchises like Magic the Gathering and D and D. We're doubling down on those...We can work with those kinds of partners who are experts in those genres and create a real one, two punch.” ([01:34])

2. AI at Hasbro: Early Adoption, Practical Application

[02:22–03:11]

• Current Use of AI:
  • Primarily used for productivity, not creative execution.
  • The toy division uses AI for some conceptual work, but creative choices remain with humans.
  • AI in video game development is “basically not used at all” at Hasbro.
  • Chris Cocks:

    “Our toy division does it for some concepting, but at the end of the day a human is driving all the taste decisions...inside of games and video games, I would say AI is basically not used at all.” ([02:34])

• Future Outlook:
  • Hasbro will continue monitoring industry trends and evaluating AI’s role as tools evolve.

3. Changing Consumer Behavior: Rise of “GEM²” Categories

[03:11–04:36]

• GEM² Explained:
  • Stands for gamified, entertainment-driven, multi-purchase, multi-generational categories.
  • A significant boom in these segments, driving explosive fan-driven growth, particularly in franchises (Magic the Gathering; Marvel/Star Wars expansions).
• Adults and 'Kid' Brands:
  • Products once for children (e.g., Play-Doh) are now extended to adult collectors and hobbyists (e.g., Play-Doh Blooms for creating/displaying floral bouquets).
  • Chris Cocks:

    “I think that build and display dynamic, that play being more than just something for kids, collection being more than something for just nerds like myself, but much broader. I think that's powering the entire play industry right now.” ([04:19])

4. Macroeconomic & Trade Pressures: Resilience Through Diversification

[04:43–05:59]

• Tariffs and Market Volatility:
  • Hasbro faces volatility from changing trade policies and fluctuations in commodities.
  • The strategy is a diversified approach: Magic the Gathering, a robust licensing portfolio, and classic toys.
• Fundamental Strength:
  • Broad-based business helps buffer against policy and market shocks.
  • This underpins Hasbro’s improved annual guidance and bullish midterm outlook.
  • Chris Cocks:

    “Let's have really good, solid fundamentals...by having that diversification...we're able to weather whatever the market or whatever policies are thrown at us.” ([05:19])

5. Franchise Reliance: Beyond Magic the Gathering

[05:59–07:07]

• Licensing is a Major Pillar:
  • Hasbro is the third-largest licensor in entertainment, after Warner Brothers.
  • Licensing business generates $700–$750 million in revenue with operating margins above 60%.
  • Emphasizes a “multi-leg” growth/profit story: TCG/RPG focus, licensing, and a wide array of toys.
  • Chris Cocks:

    “When you think about magic, that's a big business for us. But when you think about that licensing business, that's also another very strong leg in our stool.” ([06:32]) “Hasbro's a multi leg story, multi leg growth story and a multi leg profit story with each of them starting to fire on all cylinders.” ([06:49])

6. Consumer Strength and Revenue Resilience

[07:07–08:00]

• Broad-Based Consumer Strength:
  • Noticing demand increases across demographics, income groups, and retailers.
  • The “K-shaped” consumer trends of early post-pandemic period are giving way to stronger, more even demand.
  • Toy industry up 3% through May; Hasbro is benefiting broadly.

7. Addressing Industry News & Partnerships: GameStop & eBay

[08:00–08:25]

• GameStop and Collectibles:
  • Host briefly asks about Ryan Cohen’s reported attempt to buy eBay.
  • Cocks diplomatically sidesteps the topic, focusing on GameStop’s positive engagement with TCGs and collectibles.
  • Chris Cocks:

    “They're one of our fastest growing accounts and so we're partnering with them closely on that.” ([08:18])

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Notable Quotes & Memorable Moments

• On refocusing Hasbro’s gaming strategy:

  “What can Hasbro be best in the world at? What can we uniquely do differently than anyone else?” - Chris Cocks ([01:22])

• On future-proofing Hasbro:

  “By having that diversification, by having brands that have a variety of different target audiences, we're able to weather whatever the market or whatever policies are thrown at us.” - Chris Cocks ([05:19])

• On broadening the play industry:

  “I think nerds is better than kiddos. Like, I would rather be referred to as a nerd than a kiddo.” - Dani Burger ([04:36])

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Timestamps for Major Segments

• 00:32 – Introduction, Magic: the Gathering milestone, and Hasbro’s strategic refocus
• 01:18 – Video game project cancellations and renewed emphasis on TCGs/RPGs
• 02:22 – Application and future of AI at Hasbro
• 03:11 – Rapid evolution in consumer behavior and rise of “GEM²”
• 04:43 – Discussion of tariffs, global volatility, and Hasbro’s hedging approach
• 05:59 – Diversification and reliance on power franchises/licensing
• 07:07 – Strength of current consumer activity across segments
• 08:03 – Brief note on GameStop and collectibles partnership

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Tone & Closing

The conversation is upbeat and candid, with Cocks providing specifics and context for Hasbro’s successes and current strategy while deftly navigating around more speculative or sensitive industry news. The hosts maintain a lively, conversational tone, with moments of humor and enthusiastic engagement.

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For listeners seeking insights into Hasbro’s business fundamentals, consumer trends, and how a classic toy company navigates digital transformation and macroeconomic volatility, this episode offers concise, actionable highlights directly from the top.

Transcript

[A]

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[B]

Welcome to our global TV and radio audiences. I'm Dani Burger alongside Isabel Lee and Danielle Poly. Hasbro shares are surging after the company raised its full year outlook, topping second quarter expectations with Magic the Gathering once again driving growth. The franchise topped $500 million in quarterly revenue for the first time in its 38 plus year history. Joining us now is Hasbro CEO Chris Cox. Chris, wonderful to have you on. Congratulations for this milestone and I know that this has been a huge part of your growth strategy and it's pay off with Magic the Gathering. But I do have to start out asking. Last time you and I had spoken, one of the other big parts of your growth strategy was your video game division. But you've now announced that you're canceling multi multiple video game projects. Can you just walk us through the thinking?

[C]

Well, I think most video game companies in a given year will have a variety of products in different stages of development and we're no different. I think what we did is over the last six to nine months we took a relook at our portfolio and said, okay, what can Hasbro be best in the world at? What can we uniquely do differently than anyone else? And we decided to refocus. And you know, the decision we made was trading card games and role playing games were really vital to franchises like Magic the Gathering and D and D. We're doubling down on those. But other categories like strategy games, action, stealth, you know, we work with over a thousand partners around the world with a very large licensing business. We're the number one digital licensor in the world, working with nearly 100 partners. We can work with those kinds of partners who are experts in those genres and create a real one, two punch. Hasbro being a leader in TCGs and RPGs and then our partners really helping to extend our brands elsewhere. And that's really kind of what today's messaging was all about.

[D]

And sticking with games. How are you using AI when you develop these?

[C]

AI is still pretty early days. We use it across the company mostly for productivity. Our toy division does it for some concepting, but at the end of the day a human is driving all the taste decisions and the ultimate execution inside of games and video games, I would say AI is basically not used at all. You know, will that change over time? I think we'll look at what the state of the tools are, where the industry is going, and certainly we will, we will use what makes sense. I think the video game industry has a real history of being an early technology adopter and, you know, we'll take our marks from what the best in the business are doing.

[D]

What are you seeing with respect to consumer behavior or demand that's maybe not yet showing up in the data but that you're planning for?

[C]

Well, gosh, I think the biggest thing that we're seeing is this boom in these categories that we call GEM squared, those categories that are gamified, entertainment driven, multiple, multi purchase and multi generational. You know, I think other companies maybe call it Kiddo. That's been a power trend over the last couple of years and we certainly see it taking off moving forward. I think you're seeing that in strength with Magic the Gathering. You're seeing that with, you know, growth that we have in Marvel and Star wars, which is really fan generated. You know, the kid business continues to be good, but fans are really what's being explosive in that. And with new initiatives like we're seeing with, you know, traditionally kid products like Play doh with what we're doing with the new product called Blooms, which is, you know, an ability for older consumers to create beautiful bouquets of bouquets of flowers to build and display. I think that build and display dynamic, that play being more than just something for kids, collection being more than something for just nerds like myself, but much broader. I think that's powering the entire play industry right now and is a power trend that I don't think is going to go away anytime soon.

[B]

Can I just say, I think nerds is better than kiddos. Like, I would rather be referred to as a nerd than a Kindle. I'm just, I'm just going to put that out there.

[D]

Chris.

[B]

Look, when it comes to maybe some of the more like traditional toys, the things that rely on imports, I know this industry has had a lot of volatility and at the moment the White House has been relying on Section 122 tariffs that expires this Friday. How are you and the team thinking about that expiration? Are you looking at any hedging options? Bracing for anything in particular, especially as you start to lock in holiday shipments?

[C]

I think it's been A pretty volatile environment over the last couple of years between trade policy, you know, commodities pricing. We've certainly seen that with oil. I think our focus is just let's have really good, solid fundamentals. Let's have a broad based, diversified business where we don't rely too much on any one thing. You know, for Hasbro, we have Magic the Gathering, which is a huge power brand for us. We have a huge licensing business that's heavily diversified and we have a beloved toy business. And so I think by having that diversification, by having brands that have a variety of different target audiences, we're able to weather whatever the market or whatever policies are thrown at us. And I, you know, I think that underlies kind of the strength and bullishness of the raise that we had for this year and our mid term guide for 2027 and beyond.

[D]

You mentioned magic, and we know that it keeps driving your growth. But do you think Hasbro is becoming too reliant on one power franchise?

[C]

Well, I think what you don't see maybe under the hood in an artifact of our, of our reporting is just how big our licensing businesses. Hasbro is the third biggest licensor in the entire entertainment industry behind, I think only Warner Brothers today. That's a big business for us that's very profitable. You know, sizing it, I'd say it's 700 to $750 million, generating operating profits in excess of 60%. So when you think about magic, that's a big business for us. But when you think about that licensing business, that's also another very strong leg in our stool. And then when you couple with that, with a very diversified toy business that goes across a whole bunch of different categories and a whole bunch of different audiences. I really think Hasbro's a multi leg story, multi leg growth story and a multi leg profit story with each of them starting to fire on all cylinders. Like what you saw last quarter and you saw continue into this quarter.

[D]

Yeah, this quarter's revenue was very high. And your business has been extremely resilient to what's been going on in the broader economy. My question is around the consumer and if you're seeing any slowdown in spike spending in any particular segments or anything that might impact future revenue, I think

[C]

if you would have asked me that a couple of quarters ago, we would have said, yeah, you know, we were seeing more of a K shaped kind of recovery or K shaped consumer behavior. But if anything, we're seeing broadening strength in the consumer. You know, we're seeing across price points. We're seeing it across demographics, we're seeing it across income groups. The toy industry as a whole is up over 3% through May. You know, Hasbro is certainly benefiting from that and it's very broad based across multiple retailers, multiple genres and multiple consumer types. So. Hey Chris, point.

[B]

I just want to jump in.

[C]

Play the consumer strengthening.

[B]

I just want to jump in just because we have 45 seconds left. I know you know the GameStop business while you partner with them. Any again, just quickly here, any thoughts on Ryan Cohen's attempt to buy eBay?

[C]

No thoughts on GameStop's overall strategy. I'm glad that they're leaning into trading cards and collectibles. They're one of our fastest growing accounts and so we're partnering with them closely on that.

[B]

Very well, diplomatically answered.

[E]

Love that.

[B]

Chris, thank you so much for joining us. Hasbro CEO Chris Cox when you're running

[E]

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