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Lego on the up after first sales and profits fall since 2004

Lego said in September it would lay off 8 percent of staff and that it had pressed the "reset-button", acknowledging its business had grown too complicated.

"There is no quick-fix, and it will take some time to achieve longer-term growth", Christiansen said.

Nevertheless, new CEO Niels Christiansen believes Lego is in better shape than it was a year ago, even though he also admitted he did not like the results.

Operating profits fell 17% to kr10.4bn (£1.2bn).

Turns out, the growth was "supernatural": the company grew too aggressively, and a year ago, when sales lagged in Europe and North America, they found themselves left with warehouses full of excess bricks, which in turn limited their ability to roll out new products.

However, it seems as if LEGO's consistent popularity and cinematic exposure haven't necessarily translated into cold, hard cash, as the company has announced (via BBC) their first profits fall in thirteen years, with revenue dropping 8% in 2017 compared to 2016.

Euromonitor toy analyst Matthew Hudak said the sales decline comes after the company scored a major win with Star Wars toys tied to the release of "The Force Awakens".

"Households can have too many Lego products and not want more each year", Hudak said. But its success may have limited demand past year. While the 2014 The Lego Movie and some of the company's video games were successful, its big 2010 bet on an online multiplayer computer game, Lego Universe, was a flop. LEGO is more popular than ever in those mediums, but the product just hasn't seen it translate into the more tangible toy market. A year ago in the month of September Lego cut 1,400 jobs worldwide.

A LEGO spokesperson, however, told Gizmodo in an email that while annual revenue dropped, consumer sales "remained steady".

The unlisted, family-owned company liquidated its stock in 2017 by reducing prices.

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