Thursday, March 4, 2010

Lego is on fire

Lego reports profits were up a whopping 63% globally in 2009!

I think you'd be hard pressed to find ANY company that could boast those kinds of gains in the past two years, let alone one. Especially in retail.

Lego really is the current king of the toy industry and while the Star Wars license continues to be the lead brand for them, even their weakest line still performs better than most toy lines in the marketplace. With sales so consistently strong, it's no wonder why lack of inventory continues to be the number one problem retailers like Target, Wal-Mart and Toys-R-Us face.

Even here in the first quarter of the year, one of our retail moles report that Lego is up nearly 53% year to date for a major (red) retailer and that inventory woes will continue to be an issue for the foreseeable future. In response, Lego is finally building a new factory right now in Mexico to help them pick up the slack.

Now that we've seen Lego's 2010 lineup at the New York Toy Fair, it's not hard to predict the company will likely meet or beat 2009's numbers easily.

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