G.I. Joe toy maker Hasbro, Inc. reported its first quarter profits were down 71 percent. Weak revenue--especially in games and puzzles, and girls' toys--increased spending on product development, and investment in the HUB television joint-venture were cited as contributing factors.
The first quarter is typically slow for toy makers, but a decrease in demand for toys during the holiday season forced retailers to hold back on first quarter orders, as they tried to unload excess holiday inventory.
Revenue of boy's toys increased 25 percent on the strength of Beyblade, a spinning top toy based on a Japanese manga series.