Hasbro To Cut 1,100 Jobs, Shut Down Its Providence Office

(RTTNews) - Toymaker Hasbro Inc. (HAS) disclosed in a regulatory filing that it intends to cut 1,100 jobs and shut down its Providence office due to ongoing challenges in the toy industry. This decision follows a previous 800 job cuts earlier this year.

The move is prompted by lower-than-expected toy sales in the first nine months of 2023, and these challenges are anticipated to persist into the coming year.

In January 2023, Hasbro announced the intention to eliminate about 1,000 positions from its global workforce, or about 15% of global full-time employees.

Hasbro said Monday that the company's Providence, Rhode Island office is not fully utilized, and as a result, the company has decided to vacate the space when the lease term concludes in January 2025. Employees from the Providence office will be relocated to the company's headquarters in Pawtucket, Rhode Island.

Hasbro now expects to deliver gross annual run-rate cost savings of about $350 million to $400 million by the end of 2025, up from its previous estimate of $250 million to $300 million.

HAS closed Monday's regular trading $48.89 up $0.19 or 0.39%. But in the after-hours trading, the stock dropped $2.68 or 5.48%.