Lego UK hits record £500m in sales despite declining toy market

Lego has defied a global slump in toy sales, with its UK arm posting record revenue of over £500m last year.

The Berkshire-based business reported a 12% rise in revenue to £502m in the year to 31 December 2024 according to The Times, despite what it described as “economic challenges” including inflation and a softening toy market.

Pre-tax profit jumped to £43,m up from £24.2m the year before, while net profit hit £35.5m. This marked a sharp turnaround from a £4.5m loss the previous year, which was largely due to a one-off tax issue that the company said has now been resolved.

The results mark Lego’s seventh consecutive year of sales and profit growth in the UK.

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The toy giant credited the success of its UK performance to launches including Lego Star Wars: Rebuild the Galaxy on Disney+, and popular licensed sets such as Lilo & Stitch. It expects these lines to help drive single-digit revenue growth in the current financial year.

Lego UK, which employs nearly 1,700 staff, did not pay a dividend to its parent company during the period.

The wider Lego Group saw global revenue rise 13% to DKr74.3 billion (£8.4bn), with net profit up 5% to DKr13.8 billion. Its performance once again outpaced the global toy market, which fell 1% last year — following a 7% drop in 2023, the most challenging year for the toy industry in over 15 years.

Meanwhile rivals Mattel and Hasbro both saw sales fall over the same period, with Hasbro’s revenues impacted by the sale of its TV and film arm.

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