Lego has posted more troubling figures amid its full year results, revealing the first drop in both sales and profits in 13 years.
In 2017 Lego saw sales drop eight per cent to 35 billion DKK (£4.2 billion), while pre-tax profits fell 20 per cent to 10.2 billion DKK (£1.22 billion).
Operating profits also fell 17 per cent to 10.4 billion DKK (£1.24 billion) as the launch of the new Lego Ninjago movie and popularity of Lego’s Star Wars ranges failed to offset declines.
In September last year Lego reported its first drop in profits for the first time in 10 years, following a period of steady double-digit growth every year for most of the last decade.
It subsequently announced 1400 job losses, following the departure of its chief executive Bali Padda after just eight months in the role.
His successor Niels Christiansen admitted that 2017 was disappointing for the toy retailer and manufacturer but stated the business would focus on stabilising itself this year.
“2017 was a challenging year and overall we are not satisfied with the financial results,” he added.
“However, we ended the year in a better position.
“We started 2018 in better shape and during the coming year we will stabilise the business by continuing to invest in great products, effective global marketing and improved execution”.
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