Amidst the global pandemic, a notable surge has been witnessed in the sector of entertainment. Companies offering services related to entertainment have experienced a rise in their shares, despite facing production challenges due to the pandemic. One such company benefitting from this trend is the renowned creative toy brand, Lego, as more families engage in building activities at home.
Headquartered in Billund, Denmark, Lego reported a significant 19% increase in net profits over the past year, accompanied by a 21% rise in consumer sales globally, resulting in approximately 43.7 billion Danish krone, equivalent to around $6.99 billion USD.
CEO Niels Christiansen expressed, “It is really a result of a tremendous effort by the entire organization, especially with all the things we’ve had to cope with throughout the year,” in an interview with CNBC.
Despite challenges posed by the pandemic, such as the closure of production plants in Mexico and China alongside retail locations, Lego’s marketability remained robust. Recent profitable endeavors include the launch of sets inspired by popular franchises like “Super Mario” and “Star Wars.”
Sales of Lego sets surged last year as more children stayed home during global pandemic lockdowns – and parents bought the colorful plastic brick toys to keep them entertained during days of isolation. ABC News
— ABC News (@ABC) March 10, 2021
Christiansen attributed the recent success of Lego not solely to the pandemic but also to strategic measures implemented years earlier to enhance digital operations and expand into the Chinese market.
“The past year has shown the importance of having an agile, responsive business built on strong digital foundations,” stated Christiansen, anticipating further sales growth in 2021.
