Key facts
- Lego sales increased 21% to 41.9 billion Danish crowns in the first half.
- Net profit grew 32% to 8.6 billion Danish crowns.
- Growth was driven by sets related to the World Cup, Formula 1, K-Pop Demon Hunters, and Star Wars.
- The company is expanding solar energy capacity at its factories.
- Lego is transitioning to paper bags in its packaging.
Lego has reported record first-half sales, with revenue growing 21% to 41.9 billion Danish kroner (£4.8 billion). Pre-tax profit also saw a significant increase of 32%, reaching 8.6 billion Danish kroner (£1 billion).
The company attributed this strong performance to a robust product portfolio, highlighting particular success with its World Cup and Formula 1 themed sets, which generated "strong consumer excitement." Other contributing factors included continued interest in its established Star Wars and Ninjago ranges, as well as its new K-Pop Demon Hunters range, inspired by a popular Netflix animated film.
CEO Niels B Christiansen described the World Cup range, featuring a replica trophy and figurines of star players like Lionel Messi and Cristiano Ronaldo, as a "breakthrough" in accessing new demand. He noted that the ability for consumers to express their passions and fandoms through the brand is a key driver of success.
Lego acknowledged an increase in logistics and input costs due to the US-Iran war and the closure of the Strait of Hormuz. While Finance Chief Jesper Anderson stated this had no material impact in the first half, he anticipates some cost increases in the latter half of the year.
The company is continuing to invest in sustainability initiatives, including fitting all factories with solar panels and aiming to transition to paper bags for packaging by next year. Lego is also investing in "smart brick" technology, which incorporates sound and light effects, though its specific applications are yet to be revealed.