Lego posts strong H1 double-digit growth in major markets

World-leading toy maker the Lego group on Wednesday posted a strong double-digit growth for the first half year in major markets, including China, driven by strong sales, which are boosted from its investment e-commerce and product innovation despite the global pandemic impacting the toy industry.

The group reported its earnings for the six months ending June 20 and said revenue grew 7 percent to DKK 15.7 billion ($2.5 billion) compared with the same period in 2019. Consumer sales grew 14 percent compared with that of last year. Its brand's global market share increased.

Lego's operating profit was DKK 3.9 billion, an increase of 11 percent compared with 2019. ?

"During the first half, we saw the benefits of our investments in long-term growth initiatives, such as e-commerce and product innovation. Our strong portfolio appealed to builders of all ages and our recently upgraded e-commerce platform and agile global supply chain allowed us to fulfill online demand. We also collaborated closely with our retail partners to ensure they could continue to supply their shoppers online," Niels B. Christiansen, Lego group CEO, said. ?

The group delivered double digit consumer sales growth in its major markets, including the Americas, Western Europe, Asia Pacific and China.

Speaking on the trends shaping the toy industry, the CEO said digitalization and e-commerce are accelerating as a result of the pandemic.

"We saw strong growth in digital and traditional play, a rapid shift to e-commerce and the importance of having a truly global operating model," he said.

The company launched a digital initiative, "Let's Build Together", to bring learning through play to children whose education was disrupted due to the pandemic. The initiative saw thousands of hours of online content and play ideas reach more than 80 million users around the world.