The Lego Company Profits from the Pandemic
OREANDA-NEWS. Lego's profit for the first half of 2021 more than doubled in the first half of 2021. According to Bloomberg, the toy maker capitalized on customers who needed to entertain children stranded at home during lockdowns.
Lego's net profit rose 140 percent to 6.3 billion kronor ($ 990 million). The company's revenue increased 46 percent and sales rose 36 percent. The company also opened 60 new brand stores, more than 40 of which are located in China.
The company's securities rose in price at the auction on September 27. The stock climbed 1.03 percent to $ 10.84. Since the beginning of the year, the company's securities have grown from $ 9.71 to 11.6 percent.
“In the second half of 2021, we expect continued strong demand for our products,” CEO Niels Christiansen said in a statement. "Over the long term, we expect revenue growth to stabilize to a more sustainable level as people return to pre-pandemic spending patterns."
Families around the world have increased their spending on consumer goods as entertainment outside the home has become unavailable. In 2020, Lego was already recording record profits and sales at the height of the pandemic. The company said its performance received an additional boost in 2021 with the removal of coronavirus-related restrictions. Factories can now operate without interruption, and most stores have reopened.