No Happy Holidays for Hasbro After Toys 'R' Us Collapse

*By Bridgette Webb* These are troubling times for Hasbro. The toy maker announced Monday that it will lay off up to 10 percent of its employees as it ー and the industry at large ー adjusts to a tougher marketplace without Toys "R" Us. "The moment of truth has arrived to see if their business can survive this type of shock," Nathan Bomey, business reporter for USA Today, said Monday in an interview on Cheddar. "I don't think that anyone expects them to face a serious crisis, but this is a test as powers shift to companies like Amazon ($AMZN) and Walmart ($WMT) and Target ($TGT) in the toy industry." Hasbro ($HAS) has not yet disclosed how many of its 5,400 global employees will be out of the job. But the company said that it expects the cuts to save between $30 million to $40 million a year by 2020. The company also reported revenue of $1.57 billion for its latest quarter, way below analysts' expectations of $1.71 billion and down 12 percent from a year ago. Sales internationally were down 24 percent. With the troubles at Toys "R" Us, many have suggested that toy makers re-direct their efforts to bigger sellers like Amazon and Walmart. But Bomey said the real issue is not where companies sell their products, but rather if those products still hold the same demand. "\[What matters\] is ultimately if kids want to play with toys at all," he said. "\[It's\] an existential crisis, if you will, because with iPads and iPhones taking over kids' playtime, ultimately they will have to figure out if they can create the digital products that will connect with kids." For full interview [click here](https://cheddar.com/videos/hasbro-is-still-hurting-from-toys-r-us-closure).

More In Business

Drones are Altering Farming and Growing Food Forever

When one thinks of agriculture, it brings up thoughts of tractors, yet unmanned drones have found one of their newest homes in agriculture.

Why Aren’t There More IPOs? Blame Fed Chair Powell (And Those Rates)

After the 2021 boom, IPO activity slowed down significantly, in part due to monetary policy – but things are getting moving again with tech-friendly companies like Iboutta and Rubrik making a public debut.

With An Increasing Demand In Mental Health Services, This CEO Wants To Use Tech To Change the Therapy Game

With an increasing demand for mental health services, one person wanted to change the therapy game. In 2017, CEO Alex Katz founded Two Chairs, a company that uses technology to match patients with the right therapist.

You Can Actually Lose Money on Real Estate (Even in This Market)

Not only is April Financial Literacy Month, it’s also the kickoff of the spring homebuying season. So now is the time to make sure you have a financial plan in place – and why it might not be wise for that to include buying your first home.

This Region Has the U.S. Beat When it Comes to Fighting Inflation

While the U.S. may slowly be on the path to lowering inflation (and therefore interest rates), Europe has thoroughly trounced America, putting it on the path to lower rates by this summer.

Housing Market Reports Are Here: April Insights and Economic Impact

April's release of the monthly Housing Starts and Building Permits reports by the Census Bureau provides crucial insights into the construction activity in the housing market. These reports are an economic indicator, shedding light on the current state of the housing market and its broader economic impact.

Load More