Thursday, 16 February 2023 11:02

Magic: The Gathering sees record year, exceeds $1B in revenue

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Magic: The Gathering sees record year, exceeds $1B in revenue WOTC

Magic: The Gathering has surpassed $1 billion in revenue for parent company Hasbro, according to the company's fourth quarter and full-year 2022 financial results.

In fact, in the fourth quarter of 2022 alone, Hasbro's total gaming category, which includes all gaming revenue from MTG to Monopoly, totaled $581.8 million.  The company says that is up 5% versus the fourth quarter 2021, and $1,997.5 million, which is down 5% versus the full-year 2021.

"...we delivered our first billion-dollar brand in Magic: The Gathering and another record year at Wizards of the Coast and Digital Gaming, we grew key investment areas including licensing and direct to consumer, and we improved adjusted operating profit margin," says Hasbro CEO Chris Cocks.  "We also reduced owned and retail inventory levels from the third quarter peak and we are working to reduce them further this year."

Overall, Wizards of the Coast and Hasbro's digital gaming segment saw increased revenue of 3%.  Tabletop gaming revenue increased 12%, which Hasbro says more than offsets the 23% decline in digital revenue that the company states is due to fewer new digital gaming releases in 2022 versus 2021.  Furthermore, operating profit for WotC and digital gaming was down 2% due to higher product cost, royalties due to Universes Beyond growth and product development.

"Each tent pole set release through the first three quarters crossed $100 million in revenue for the first time and the fourth quarter release, The Brothers War, is on track to do so in 2023," said the company via press release.  "Warhammer 40K Universes Beyond Commander deck was reprinted three times to meet robust player demand and Dominaria Remastered released on January 13, 2023 and was supported by initial shipments in the fourth quarter of 2022."

As for 2023, Hasbro says they expect mid-single digit growth for WotC and digital gaming as the company looks to build on the Universes Beyond franchise and invest for long-term growth in such brands.