- Toy and game maker Hasbro said it will increase prices just in time for the holiday season.
- Hasbro says the increase in prices is due to supply chain issues.
- It’s unclear how much the price will increase.
- See more stories on Insider’s business page.
Holiday season is right around the corner, and toy and game maker Hasbro warned of increased prices in the months leading up to it.
“We successfully established price increases that go into effect during the third quarter and provide an offset to the rising input and freight costs in the business,” CEO Brian D. Goldner said in a quarterly earnings call Monday. “These supply chain pressures are meaningful, but given the strength in our business, the actions we have taken, combined with our global footprint, we continue to believe we can meet our full-year targets.”
An analyst asked about specifics of the hike, but Goldner said only that a 10% increase would be “a bit high,” suggesting a single-digit increase is more likely.
“We are implementing price increases for toys and games during the third quarter,” CFO Deb Thomas said. “We expect this to offset the rising costs in freight and commodities we continue to see across the business.”
Hasbro is home to toys like My Little Pony, Transformers, Power Rangers, G.I. Joe, Monopoly, Nerf, Twister and more.
Supply chain issues have plagued a plethora of industries from poultry to computer chips, gas, feminine products, lumber, and even shortages of workers. Those have led to price increases across the board, as inflation increased 0.9% from May to June, Insider previously reported.
Hasbro’s overall revenue increased 54% in the second quarter compared to last year, and 9% when compared to the same quarter of 2019.