Lego in strong interim showing for 2019 - The Post

Lego in strong interim showing for 2019

Formidable growth in China has seen revenue and consumer sales increase

Lego recently unveiled its ‘Friends’ Central Perk set (photo: Lego)
September 3rd, 2019 12:53 pm| by Christian W

The Danish toy producer Lego has enjoyed a solid first half to 2019 with its interim financial results indicating growth in a number of key areas.

Aside from consumer sales popping up 5 percent compared to the first half of 2018, the firm saw an increase in revenue (4 percent) for the first time since 2017. The net operating profit fell slightly from 3.0 to 2.7 billion kroner.

“We are satisfied with our performance given the transformative shifts that continue to reshape the global toy industry. Against this backdrop, we continue to grow consumer sales and market share in our largest markets,” said Lego CEO Niels B Christiansen.

READ ALSO: Lego a massive hit in China

China holds the key
The figures also revealed that Lego has invested heavily in growth – the 11.3 billion kroner shelled out is the highest ever and the first time since its significant round of lay-offs in 2017 that investment has increased.

Lego plans to open 160 new shops across the world this year, focusing particularly on China where 140 of its 590 shops worldwide are expected to be situated by the end of the year. E-trade is another area the company is investing significantly into.

Lego has seen two-figure growth rates in China so far this year, while growth was in the single digits in the US and western Europe markets.

Top selling themes for Lego were listed as being Lego City, Lego Marvel Avengers, Lego Technic, Lego Creator, Lego Friends and Lego Star Wars.