Lego builds sales and profits in 2012
By PRW Staff
Posted 21 February 2013
Lego, the Danish toy group, announced it had seen sales rise by 25% in 2012, as new and established product ranges found favour with consumers.
The group, which produces hundreds of millions of small plastic building bricks every year, said revenue of DKr23.4bn (£2.73bn) was 25% higher than 2011’s figure, while operating profits of DKr7.9bn (£900m) were 40% higher than in the previous year.
Pre-tax profits were up 36% at DKr7.5bn (£875m).
The company said sales of its ‘Lego Friends’ product, introduced at the beginning of 2012, had proved to be a “huge success” and it had not been able to satisfy demand, despite an increase in production capacity.
Lego said its City and Star Wars lines had topped best-seller lists again in 2012.
Double-digit sales growth had been achieved “in most markets”, it said, notably North America. Asia, while small in market terms, was growing, and Europe had seen growth in all markets, despite the region's economic woes.
However it warned that economic challenges in many European and North American markets “are expected to result in lower growth rates for the company than in recent years”, although it expected to deliver “satisfactory results” for 2013.
Earlier this month Lego, which employs approximately 10,400 staff worldwide, announced it was axing nearly 400 jobs at one of its plants in Denmark.
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