The Danish toy maker stated Wednesday that sales jumped 14% in the first half of 2020 in comparison with the similar interval final yr. CEO Niels Christiansen pointed to investments in e-commerce as essential during a interval through which
retail shops the place shut.
Lego’s working revenue rose 11% to $622 million in consequence.
It’s
not simply Lego. Game makers have been on a tear as social distancing restrictions encourage many individuals to search out new methods to cross the time.
Nintendo’s working revenue surged 428% in its most up-to-date quarter as the Switch console and “Animal Crossing” sport continued to drive sales. The firm’s shares are up 35% this yr.
On the different hand, 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 extensive retail closures and distribution challenges and had to absorb a full quarter of Covid-19 impact,”
Mattel (MAT) CEO Ynon Kreiz stated in an announcement in July. Between April and June, the Barbie-maker noticed web sales drop 15% in comparison with 2019.
Hasbro’s inventory is down 22% year-to-date, whereas Mattel is off 18%. The firms are now waiting for the vacation season, which they hope may also help make up some misplaced floor.