Lego shortage looms for Christmas as toy company struggles with orders

It is not yet clear which countries will be affected by the shortage

Zlata Rodionova
Friday 23 October 2015 15:12 BST
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A still from the Lego remake of Back to the Future's most iconic scene
A still from the Lego remake of Back to the Future's most iconic scene

Some children might not get the Lego toys on their Christmas list as the Danish toymaker said it might have trouble fulfilling orders for the peak holiday shopping season.

“We will not be able to deliver all of the orders coming from customers in the remainder of the year,” spokesman Roar Trangbaek told Reuters

It is not yet clear which countries will be affected by the shortage

Lego overtook US Barbie-maker Mattel to become the largest toymaker by sales in 2014.

Star Wars and The Avengers franchises as well as the hit Lego movie have given a big boost to the company’s business this year.

Sales grew 18 per cent in the first half of 2015 to 14 billion Danish crowns ($2.1 billion), following a 15 per cent growth in 2014.

But the toymaker is now a victim of its own success and is struggling to cope with the surge in demand for its famous bricks.

"It is really extraordinary and it has exceeded both ours and our customers' forecasts," Trangbaek said when asked why the company had not foreseen the surge in demand.

The unlisted company, owned by the family of founder Ole Kirk Kristiansen, invested more than 3 billion crowns in plants and equipment last year to make more toys. Before Christmas last year, there were some shortages in some countries last year including Denmark and Canada.

Additional reporting by Reuters

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