The Danish toy maker stated Wednesday that gross sales jumped 14% within the first half of 2020 in comparison with the identical interval final 12 months. CEO Niels Christiansen pointed to investments in e-commerce as essential throughout a interval during which retail stores where shut.
Lego’s working revenue rose 11% to $622 million in consequence.
It is not just Lego. Recreation makers have been on a tear as social distancing restrictions encourage many individuals to seek out new methods to go the time.
Nintendo’s working revenue surged 428% in its most up-to-date quarter because the Change console and “Animal Crossing” recreation continued to drive gross sales. The corporate’s shares are up 35% this 12 months.
However, toy conglomerates like Mattel and Hasbro (HAS) have struggled. These firms have cited manufacturing and distribution points tied to the pandemic as large roadblocks of their most up-to-date quarters.
“We entered the second quarter with intensive retail closures and distribution challenges and needed to take in a full quarter of Covid-19 affect,” Mattel (MAT) CEO Ynon Kreiz stated in an announcement in July. Between April and June, the Barbie-maker noticed web gross sales drop 15% in comparison with 2019.
Hasbro’s inventory is down 22% year-to-date, whereas Mattel is off 18%. The businesses at the moment are looking forward to the vacation season, which they hope may also help make up some misplaced floor.
