Hasbro Inc. fell after reporting quarterly results that missed Wall Street estimates on sales and earnings and lowering its annual revenue forecast due to a softer toy market heading into the holiday season.

Third-quarter earnings fell to $1.64 a share, Hasbro said, missing the $1.68 average of analyst estimates, according to Bloomberg consensus. Sales fell to $1.5 billion, missing projections of $1.65 billion. The maker of Monopoly and Transformers now expects its revenue to fall by 13-15%.

Competitor Mattel Inc. reported quarterly results Wednesday that beat Wall Street estimates after riding the success of Barbie, the summer blockbuster from Warner Bros, while also citing tougher conditions in the broader toy industry following a pandemic-fueled boom in spending that has since tapered off.

Hasbro said its entertainment segment was down 42%, attributing the decline in part to the writers and actors strikes in Hollywood.

Shares fell 12.3% to $48 at 9:48 a.m. in New York.

Mattel also tumbled 11.8% to $17.73.

The Wizards of the Coast and digital gaming segment, which oversees the hit Magic: The Gathering franchise, continued to be the biggest driver of growth, generating $423 million in sales, beating estimates of $385 million.

“I think our games portfolio is second to none, and it’s really broad-based across genres and player demographics,” Chief Executive Officer Chris Cocks said in a call.

“Strong 3Q results from its digital gaming segment, and a continued focus on cutting corporate costs, aren’t enough to offset toy challenges,” wrote Lindsay Dutch, a Bloomberg Intelligence analyst.

Hasbro said the sale of its eOne film and TV business is on schedule to close by the end of the year.