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Profit up at LEGO

LEGO has released its annual results, which reveal a rise in both sales and profit.

The results show double-digit growth for UK sales for the fifth consecutive year and profit for the year before tax amounted to £345 million against £197 million in 2008. The company’s revenue amounted to £1,394 million against £1,015 million in 2008.

In the UK, LEGO sales grew by 28 per cent and the company increased its market share from 3.3 per cent in 2008 to 4.6 per cent in 2009. The company also became the number one Star Wars manufacturer with 50 per cent of the total licence

LEGO City and LEGO Star Wars generated the highest sales for the brand in 2009 and with the launch of the product line LEGO Games, the LEGO Group entered the product category of board games for the first time. The games were only released in Great Britain and the German-speaking countries, but sales exceeded expectations considerably. As a result of their success, LEGO Games will be released in North America and the rest of Europe in 2010.

Marko Ilincic, MD of LEGO UK and Ireland, comments: “We are extremely pleased with our results for 2009. It’s still a tough time for the market but the current trend for nostalgic toys and public demand for brands they know and trust has meant that we’ve fared well. Our classic product lines continue to drive sales whilst the introduction of LEGO board games has helped fuel growth further. We’ve already had a good start to 2010 and based on the positive sales figures in 2009 we predict continued double digit growth for LEGO UK and Ireland throughout the balance of this year.”

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