Store openings in China and powerful demand in Western Europe and the Americas have delivered Lego 17 per cent gross sales progress because the toymaker appears to be like to outpace the market.
The family-owned firm identified for its vibrant plastic bricks mentioned gross sales rose to 64.6 billion Danish crowns ($A13.78 billion) final yr, when it opened 155 new shops, bringing the overall variety of Lego retailers globally to greater than 900.
“We have really good momentum and I think it will continue in 2023,” Lego chief government Niels Christiansen informed Reuters.
Lego plans to open one other 145 shops this yr, largely in China, which Christiansen mentioned he expects will assist develop gross sales by a excessive single-digit proportion.
Top sellers final yr included Lego’s Star Wars and Harry Potter constructing units and its City and Technic ranges.
The Danish firm, which employs greater than 27,000 folks globally, skilled gross sales spikes each throughout the pandemic, when many individuals stayed dwelling, and after lockdowns had been lifted.
“After a few extraordinary years we may see a return to more normal growth,” Christiansen mentioned.
“But we believe we can continue to outpace the market.”
Lego’s working revenue of 17.9 billion crowns was up 5 per cent from a yr earlier, after 32 per cent progress the earlier yr.
Christiansen mentioned it had raised costs on some merchandise in September however by lower than will increase in its enter prices.
“High growth in sales has helped us compensate for those extra costs on freight, energy and raw materials,” he mentioned.
The CEO mentioned Lego has no fast plans to boost costs and he was optimistic prices of freight and uncooked supplies had been coming down.
As a part of its technique of inserting manufacturing near its key markets, Lego plans to start working new factories in Vietnam and Virginia, within the United States, in 2024 and 2025, respectively.
Source: www.perthnow.com.au
