Lego outbuilds competitors with 10% jump in revenue

Lego, the Danish building-block maker featured in a film that's led US ticket sales for three weekends, said full-year revenue advanced 10 per cent with growth in all major markets, outpacing its key competitors.

Sales rose to 25.38 billion kroner (€3.4 billion) in 2013, the Billund-based company said in a statement today. Net income increased 9 per cent to 6.12 billion kroner.

“In less than 10 years, we have now more than quadrupled our revenue,” chief executive Joergen Vig Knudstorp said in the statement.

“In 2013 we successfully developed and launched products that children put high on their wish list all over the world.”

El Segundo, California-based Barbie-maker Mattel said on January 31st that 2013 sales increased by 1 per cent to $6.48 billion, while Pawtucket, Rhode Island-based Hasbro said on February 10th that its full-year sales were little changed at $4.08 billion.

The global toy market declined slightly in value last year, according to Lego, which said it achieved sales growth in all major markets.

Lego posted “single-digit” growth in the US, UK and northern European markets, while achieving “double- digit” expansion in most other markets with very strong growth in Asia.

Its Star Wars line and its Duplo sets for toddlers were among Lego’s best-selling products in 2013, according to the company, which has said it sells 34 sets a second during the Christmas season.

The plastic brickmaker forecast the global toy market will expand by “low single-digits” in the future and said it plans to outgrow the market and gain share.

Lego, whose name is derived from the Danish words for “play well,” is controlled by the family of carpenter Ole Kirk Kristiansen, who founded the business in 1932.

Bloomberg