Hasbro’s revenue dipped 15% to US$1.68 billion in Q3 compared to the same period last year, due to supply chain changes and a lack of new major kids movies, according to the company’s Q3 financial report.

“As expected, the third quarter is our most difficult comparison and was further impacted by increasing price sensitivity for the average consumer,” said CEO Chris Cocks in a release. He predicts that Hasbro’s Q4 revenue will be flat compared to 2021 (which would put net revenues around US$2 billion), and that its Wizards of the Coast and digital gaming segments will drive growth.

There were decreases across all of Hasbro’s major segments in Q3. Its consumer products business dropped 10% to US$1.16 billion, and for the full year CP is expected to show a low-single-digit decline compared to 2021, according to the report.

The Wizards of the Coast and digital gaming segments sank 16% to US$303.5 million, while the entertainment category fell 35% to US$211.6 million. Family brands revenue also dropped, because the company didn’t have a big family-friendly content release as it did with last year’s My Little Pony: A New Generation film, the report noted.

Earlier this month, Hasbro shared plans to prioritize its Wizards of the Coast business (which owns the Dungeons & Dragons and Magic: The Gathering brands) and focus on franchise brands like Peppa Pig and Transformers. The plan is to increase profits and save US$250-300 million in costs by 2025.

Looking forward, the company expects the trading card and digital game Magic: The Gathering will have one of its biggest Q4s as Hasbro celebrates the 30th anniversary of its first-ever US$1-billion brand. Into the final quarter and 2023, Hasbro is rolling out merchandise for seven big-budget films headed for theaters and more than 20 titles slated for streamers, including Black Panther: Wakanda Forever (pictured) and the Transformers: EarthSpark series, both set to launch in November.