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Income Taxes (Tables) | 12 Months Ended
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Dec. 25, 2022
Income Tax Disclosure [Abstract] |
Schedule of Components of Earnings Before Income Taxes, Determined by Tax Jurisdiction | The components of earnings before income taxes, determined by tax jurisdiction, are as follows:
(In millions) | 2022 |  | 2021 |  | 2020
United States | $ | 17.0 |  |  | 236.8 |  |  | 191.5 |
International | 244.5 |  |  | 345.1 |  |  | 130.6 |
Total earnings before income taxes | $ | 261.5 |  |  | 581.9 |  |  | 322.1 |
Schedule of Income Taxes Attributable to Earnings Before Income Taxes | Income taxes attributable to earnings before income taxes are:
(In millions) | 2022 |  | 2021 |  | 2020
Current |  |  |  |  |
United States | $ | 93.8 |  |  | 59.5 |  |  | 22.3 |
State and local | 18.0 |  |  | 15.4 |  |  | 6.2 |
International | 76.8 |  |  | 42.9 |  |  | 37.9 |
| 188.6 |  |  | 117.8 |  |  | 66.4 |
Deferred |  |  |  |  |
United States | (105.7) |  |  | 7.1 |  |  | 27.2 |
State and local | (16.6) |  |  | (0.3) |  |  | (10.8) |
International | (7.8) |  |  | 22.0 |  |  | 13.9 |
| (130.1) |  |  | 28.8 |  |  | 30.3 |
Total income taxes | $ | 58.5 |  |  | 146.6 |  |  | 96.7 |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of the statutory United States federal income tax rate to Hasbro’s effective income tax rate is as follows:
| 2022 |  | 2021 |  | 2020
Statutory income tax rate | 21.0 | % |  | 21.0 | % |  | 21.0 | %
State and local income taxes, net | 1.2 |  |  | 1.5 |  |  | 2.2 |
Tax on international earnings | (4.0) |  |  | (1.1) |  |  | (3.5) |
Domestic tax on foreign earnings | (6.5) |  |  | (1.7) |  |  | (2.7) |
Change in unrecognized tax benefits | 3.1 |  |  | (3.4) |  |  | 4.1 |
Change in valuation allowance | 9.7 |  |  | (1.6) |  |  | 4.5 |
Share-based compensation | 1.4 |  |  | (0.6) |  |  | (0.4) |
Research and development tax credits | (3.5) |  |  | (1.1) |  |  | (1.6) |
Deferred tax rate change | — |  |  | 6.5 |  |  | 3.6 |
Officers' compensation | 1.9 |  |  | 1.9 |  |  | 1.4 |
Loss on disposition of business | 1.5 |  |  | 3.9 |  |  | — |
Other, net | (3.4) |  |  | (0.1) |  |  | 1.4 |
| 22.4 | % |  | 25.2 | % |  | 30.0 | %
Schedule of Deferred Tax Assets and Liabilities | The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities at December 25, 2022 and December 26, 2021 are:
(In millions) | 2022 |  | 2021
Deferred tax assets: |  |  |
Accounts receivable | $ | 28.8 |  |  | 30.8 |
Inventories | 22.6 |  |  | 14.1 |
Loss and credit carryforwards | 175.3 |  |  | 179.1 |
Operating leases | 11.2 |  |  | 17.8 |
Operating expenses | 29.9 |  |  | 29.9 |
Pension | 9.1 |  |  | 16.3 |
Other compensation | 50.7 |  |  | 37.3 |
Postretirement benefits | 5.7 |  |  | 8.5 |
Interest rate hedge | 4.5 |  |  | 4.7 |
Tax sharing agreement | 0.3 |  |  | 1.5 |
Deferred revenue | 4.4 |  |  | 4.0 |
Capitalized research and experimentation | 81.2 |  |  | 26.1 |
Other | 11.7 |  |  | 13.5 |
Gross deferred tax assets | 435.4 |  |  | 383.6 |
Deferred tax liabilities: |  |  |
Depreciation and amortization of long-lived assets | 61.8 |  |  | 170.5 |
Equity method investment | 14.9 |  |  | 13.1 |
Operating leases | 9.3 |  |  | 15.1 |
Foreign exchange | — |  |  | 13.7 |
Prepaid expenses | 4.4 |  |  | 3.5 |
Other | 15.4 |  |  | 12.3 |
Gross deferred tax liabilities | 105.8 |  |  | 228.2 |
Valuation allowance | (189.8) |  |  | (171.2) |
Net deferred income taxes | $ | 139.8 |  |  | (15.8) |
Schedule of Deferred Tax Assets and Liabilities by Balance Sheet Location | At December 25, 2022 and December 26, 2021, the Company’s net deferred income taxes are recorded in the consolidated balance sheets as follows:
(In millions) | 2022 |  | 2021
Other assets | $ | 262.1 |  |  | 132.1 |
Other liabilities | (122.3) |  |  | (147.9) |
Net deferred income taxes | $ | 139.8 |  |  | (15.8) |
Schedule of Unrecognized Tax Benefits Roll Forward | A reconciliation of unrecognized tax benefits, excluding potential interest and penalties, for the fiscal years ended December 25, 2022, December 26, 2021, and December 27, 2020 is as follows:
(In millions) | 2022 |  | 2021 |  | 2020
Balance at beginning of year | $ | 50.6 |  |  | 67.8 |  |  | 36.7 |
Gross increases in prior period tax positions | 0.9 |  |  | 0.6 |  |  | 12.7 |
Gross increase from acquisition | — |  |  | — |  |  | 13.7 |
Gross decreases in prior period tax positions | (0.2) |  |  | (12.0) |  |  | — |
Gross increases in current period tax positions | 28.6 |  |  | 4.6 |  |  | 11.7 |
Decrease related to settlements with tax authorities | — |  |  | (2.7) |  |  | — |
Decreases from the expiration of statute of limitations | (2.1) |  |  | (7.7) |  |  | (7.0) |
Balance at end of year | $ | 77.8 |  |  | 50.6 |  |  | 67.8 |

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