The LEGO Group today announced its total revenue of DKK 27.4 billion (approximately 29.3 billion yuan) for the first six months since 2023, up 1% from the first half of 2022 and 3% in sales, better than the overall figure of the declining toy market, thus also driving its strong market share growth.
The best performing LEGO lineups are LEGO City, LEGO Friends, LEGO Star Wars, LEGO ICONS and LEGO Technic Series.
Image from the LEGO Group Press Center
Compared to the same period in 2022, this figure is a significant decrease from last year, and compared to the first half of 2021, the performance revenue growth rate in the first half of 2022 was 17%, and sales soared by 13%. However, the LEGO Group said in its earnings report that the global toy industry has experienced a challenging six months and is in line with expectations for the first half of this year.
The LEGO Group also pointed out that in the first half of 2022, despite "excellent" results, profit margins declined, from DKK 7.9 billion to DKK 6.4 billion, while net profit also declined, from DKK 6.2 billion to DKK 5.1 billion, due to accelerated manufacturing and online sales.
Niels B. Christiansen, CEO of the LEGO Group, said: "We are pleased with our performance, especially for the toy industry, these six months have been challenging, and the demand for our products has allowed us to exceed the industry average and increase our market share accordingly. Our strong financial position allows us to make long-term investments, particularly in areas such as networking, sustainability and manufacturing. Overall, after three years of extraordinary growth, our performance has met our expectations and we are grateful to our wonderful colleagues who work hard every day. ”
Coinciding with the financial statements, we note that the LEGO Group has seen the strongest sales in mature markets such as the United States, while the results in China are clearly affected by some economic conditions. The new crown epidemic shopping habits directly led to the decline in local sales performance, although the LEGO Group did not release specific data for China in the first half of the year, but they hinted that by the end of 2023, they will disclose the full global financial data.
Despite a slight decline in profits and a slowdown in growth, the LEGO Group's performance in the first half of the year is still well ahead of pre-pandemic levels and it is still stable in the market. Revenue remained at a healthy level of DKK 27.4 billion, an increase of DKK 400 million over the same period in 2022.
Niels B. Christiansen added, "We remain fully focused on inspiring and nurturing the imaginations of more children around the world, and we are proud to have the financial position to accomplish our mission today and will continue to invest to ensure we continue to serve generations to come." ”