The team here at FWD loves LEGO. We cannot stop playing, collecting, building, and designing things with the awesome interlocking bricks. They’re quite addicting. From Knights to Star Wars to City-themed sets and everything in between, there is a LEGO set for everyone. Simply put, we’re obsessed with LEGO and we’re not alone.

In 2022, the global toy sales reached USD $107 billion with the LEGO Group holding onto the poll position as the leading toy company in the world. LEGO’s popularity has translated into handsome revenues and steady profits. It turns out that making toys that appeal to both kids and adults is good for business. In 2022, the LEGO Group celebrated its 90th anniversary while bringing in 64.65 billion Danish Krone in revenue and generating 13.8 billion Danish Krone in net profits - the most ever in company history. That roughly translates to USD $9.56 billion in revenue and USD $2.04 billion in net profits based on the exchange rate at the time this was written; not bad for a business that mainly sells plastic bricks.

LEGO Group CEO Neils B. Christiansen called 2022 “a milestone year” for the company. “I am very satisfied with our performance,” said Christiansen in a news release on LEGO’s 2022 annual results. “We achieved double digit top line growth and landed the year beyond expectations on the back of exceptional growth last year and despite challenging market conditions. This was due to our relevant brand, a fantastic, diverse portfolio, inspiring shopping experiences and outstanding execution from our teams.”

It’s not difficult to see why LEGO had a banner year in 2022 when you look at some of the other numbers it put up. During the year, LEGO Group opened 155 new LEGO branded retail stores, bringing the total number of stores to 904 globally. Visit the LEGO website to find a LEGO store near you. The company also expanded three factories to increase production capacity, and two new factories in the U.S. and Vietnam are expected to begin production over the next two years. By 2025, LEGO will have a total of 7 manufacturing facilities globally.

How does LEGO’s 2022 performance compare to its peers? Using figures made available through 10-K filings and LEGO’s annual report, we compare the revenues and net profits of the LEGO Group against other toy giants Mattel, Bandai Namco, Jakks, and Hasbro. And as you can see from the graph below, the LEGO group outperformed its competitors by a significant margin in terms of revenue and net profits.

One of the most valuable brands in the world

LEGO is a behemoth in the toy industry and it is one of the most beloved and valuable brands in the world. According to Brand Finance, LEGO was the most valuable toy brand in 2022 with a brand value of over USD $6 billion. And in Brand Finance’s Global 500 Report, LEGO is the top-ranked toy company and sits 378 out of the top 500 brands globally. What goes into calculating brand value? Well, it’s complicated, but the folks over at Brand Finance do an excellent job explaining the methodology they used to calculate brand value on pages 93 through 105 of their Global 500 Report. It’s worth the read.

The history of the LEGO Group

The LEGO Group has come along way since master carpenter Ole Kirk Kristiansen founded the company in 1932 in Billund, Denmark. The company started out manufacturing wooden toys and made its first foray into plastic toys in 1946, when Kirk Kristiansen purchased the LEGO Group’s first plastic mold injection system from Great Britain. The company began producing a version of its now ubiquitous plastic bricks in 1949 under the name Automatic Binding Bricks. In 1958, the LEGO bricks that we know today were introduced to the world. Over the years, LEGO has expanded its global footprint and has established itself as a leader in the children’s toy market. We’ve put together this short timeline highlighting some notable LEGO milestones over its 90-year history. You can check out their full history on the LEGO Group website.

A bright future ahead

Over its 90-plus year history, LEGO has established itself as the leading toy company. Its iconic interlocking blocks can found around the world. While there are many competitors and imitations, LEGO has maintained its position as the go-to construction toy. LEGO continues to release fun, innovative sets that inspire the imagination of both children and adults. The future is bright for the LEGO Group. We can’t wait to see where they go from here.