The news: Lego keeps building momentum. Revenues rose 12% YoY in fiscal 2025 to DKK 83.5 billion ($12.9 billion), while net profit grew 21% YoY to DKK 16.7 billion ($1.7 billion).

The toy company’s gains outpaced the broader industry’s 6% YoY increase in global dollar sales, driven by strong growth in premium toys, per Circana.

Lego’s growth levers: Lego is expanding both its top and bottom lines by broadening its customer base and strengthening its supply chain.

Last year, Lego offered 860 sets—its largest selection ever—ranging from botanicals and architectural builds geared toward adults, or “kidults,” to IP-driven lines such as Fortnite and Star Wars.

Its partnership with Formula One illustrates how Lego turns IP into a full-funnel growth engine.

• At F1 races, Lego hosts immersive activations featuring life-size brick-built cars and handcrafted trophies for podium finishers, putting the brand in front of a global, highly engaged fan base.
• Lego will sponsor an F1 Academy team starting in 2026, signaling a long-term commitment rather than a one-off collaboration.
• The partnership is also woven into its product lineup, with sets spanning age groups and price tiers. It offers Duplo kits for preschoolers, traditional builds for casual fans, and Lego Technic models for advanced builders.

At the same time, Lego has built a highly efficient global supply chain that produces closer to its end markets. Its Mexico factory supplies the Americas; Hungary serves parts of Europe, the Middle East, and Africa; and a newly opened Vietnam facility supports Asia-Pacific. A new Virginia plant, set to open in 2027, will help meet growing US demand.

Producing closer to consumers shortens delivery times, lowers shipping costs, and allows Lego to tailor output to regional demand.

Implications for toy brands: While strong execution is always important, it becomes critical as growth slows. We expect US toy and hobby sales to rise 3.0% this year, down from 4.6% last year. In a cooling market, the brands that execute best tend to pull further ahead.

Lego’s wide range of products and price points, effective use of intellectual property, and efficient supply chain put it in a strong position to outpace the category and continue gaining share.