Strong sales of Star Wars merchandise and lower costs helped Hasbro, the second-largest toymaker, report a 15 per cent rise in fourth-quarter profits. But revenue in the games segment fell 13 per cent amid weaker sales of trading cards and board games.

Faced with competition from consumer electronic products such as the Xbox 360 gaming console and iPod, toymakers are increasingly adding technology to their toys and trying to cross-market their successful brands with other forms of media, including films, video games and music.