Danish block maker The LEGO Group continued to prove its mass global appeal in the first half of its 2024 financial year, with consumer sales surging 14% and total revenues adding 13%.
Operating profit jumped 26% to 8.1 billion Danish krone (£920 million) with free cash flow sticking to the script at £340 million.
“The company delivered double-digit growth on the top- and bottom-line and significantly outpaced the toy industry, gaining market share,” the group declared.
“Top-line growth was driven by strong demand for its large and diverse portfolio, especially in the Americas and Europe, and excellent execution in all markets.
“At the same time, the LEGO Group continued to increase spending on strategic initiatives to drive short- and long-term growth.”
Speaking to Reuters, chief executive Niels Christiansen espoused Lego’s ESG virtues by announcing a shift from fossil fuel-derived plastic materials to pricier renewable and recycled plastic.
"This means a significant increase in the cost of producing a Lego brick," said Christiansen, who called it a “privilege” to put Lego’s money where its mouth is.
Christiansen said Lego’s suppliers are using used cooking oil and other industrial waste from the food industry to replace virgin fossil fuels.
Lego has remained a family-run, privately owned company since its formation in 1932.