Hasbro will lay off up to 10 percent of its employees, according to CNN Business.
The company has not yet revealed exactly how many of its 5,400 employees will lose their jobs, but CNN reports that the cuts would save the company between $30 million and $40 million per year by 2020.
This news comes shortly after Hasbro released its 2018 third quarter financial report. The report showed revenues of $1.57 billion for the quarter, a 12 percent decrease from the same quarter last year.
The most significant decline came in the international segment, with a 24 percent decrease in net revenue from the third quarter of 2017. The greatest net revenue increase came in the entertainment and licensing segment, which increased 45 percent.
Hasbro sites the loss of Toys “R” Us in the U.S., Australia, Europe, and Asia Pacific, as well as changing consumer behaviors, for the overall revenue decline.
Net earnings for the third quarter 2018 were $263.9 million, or $2.06 per diluted share, compared to $265.6 million, or $2.09 per diluted share, for the third quarter of 2017.
Hasbro reported Franchise Brand revenue growth in Monopoly, Play-Doh, Magic: The Gathering, and Baby Alive brands. This growth was offset by declines in Nerf, My Little Pony, and Transformers.
Hasbro Gaming revenue increased slightly to $280.8 million, with specific revenue gains in Dungeons and Dragons, Duel Masters, Jenga, and Don’t Step In It.