Lego's Colorful Bricks Outshine Rivals Amid Global Toy Market Stagnation

Lego's vibrant plastic bricks have outperformed the global toy market in the first half of the year, particularly in Europe and North America. Sales surged 13% compared to last year’s 1%. CEO Niels Christiansen expects this growth trend to continue, with the company shifting focus to its popular themes and expanding store locations.

Lego's colorful plastic bricks have continued to outperform the global toy market, especially in Europe and North America, according to the Denmark-based company. In the first half of the year, Lego's sales surged by 13% to 31 billion Danish crowns ($4.65 billion), far outperforming rivals like Mattel and Hasbro, whose sales have lagged.

CEO Niels Christiansen noted that the company has captured a significant market share, citing a rise in operating profit by 26% to 8.1 billion crowns. He now anticipates double-digit sales growth for 2024, exceeding previous forecasts of single-digit growth. Christiansen explained that while the number of new stores being opened this year is lower—around 100 locations—Lego's focus is now on Europe and North America due to decreased consumer spending in China.

Popular themes like Lego Icons, City, Technic, and Star Wars have driven this success, bolstered by the launch of approximately 300 new sets in the first half of the year. Consumers have particularly favored models representing iconic landmarks such as the Eiffel Tower and Titanic.

(With inputs from agencies.)