BUZZ-U.S. toy industry to shrink as customers turn thrifty, inventory jumps - MGA CEO

** Reduced consumer spending amid high inflation could alter the U.S. toy industry's historically recession-proof status, says Isaac Larian, founder and CEO of private toymaker MGA Entertainment ** Expects industry to decline 10%-12% this year, Larian https://www.linkedin.com/in/isaaclarian says in an interview with JPM

** Adds oversupply of inventory at retail pressuring open-to-buy orders for the rest of 2022, with higher-priced toys weighing on the industry's growth ** Toymaker Hasbro Inc said in April it would have to raise prices further to cope with soaring costs and was taking steps to mitigate pinching profit margins

** Larian adds moderating raw materials inflation, freight rates, and supply chain relief could provide the industry a margin tailwind in 2023 ** YTD, Hasbro down ~21%, while rival Mattel up 3.5%

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