Toys and Play: LEGO, Pokémon, Labubu and Toy Safety — 2026-09-02

Top developments

LEGO Posts Record H1 2026 Results Amid Strong Global Growth

On August 25, 2026, the LEGO Group announced its financial results for the first half of 2026, reporting a 21% increase in revenue to DKK 41.9 billion (approx. $6 billion) and a 22% rise in operating profit. This performance far exceeded the global toy market's 14% value growth tracked by Circana, driven by strong sales in licensed IP categories including Star Wars, Harry Potter, and the newly launched Pokémon sets. The company also noted that adult consumers ("kidults") continue to account for a significant portion of sales, helping LEGO gain market share against rivals Mattel and Hasbro.

Pop Mart Overseas Revenue Declines Despite Overall Profit Growth

Pop Mart, the Chinese maker of Labubu blind boxes, reported first-half 2026 net profits of 5.038 billion yuan (up 10.1%), but revealed a concerning 11.1% year-on-year decline in overseas revenue, which dropped from 5.593 billion yuan to 4.972 billion yuan. The drop was particularly acute in the Asia-Pacific online sector, where revenue fell by 39.8%. This contrasts with domestic growth and suggests that the international "blind-box" frenzy may be cooling or facing regulatory and saturation headwinds in key export markets.

Tokyo Toy Show 2026 Opens with Focus on Kidults and Retro Trends

The "TOKYO Omoja Show 2026" opened on August 27 at Tokyo Big Sight, featuring 186 companies and approximately 35,000 products. The event highlighted the enduring strength of the "kidult" demographic, with exhibits ranging from retro Showa/Heisei-era toys to high-end Gundam models and new Pokémon collaborations. Bandai and Sanrio showcased extensive lines targeting adult collectors, reinforcing the trend that adult nostalgia is a primary driver of current toy industry volume.

CPSC Issues Urgent Warnings on Counterfeit Squishy Toys and Battery Hazards

The U.S. Consumer Product Safety Commission (CPSC) issued a safety alert on August 5, warning consumers about fake and counterfeit squishy toys that pose serious burn hazards due to unknown chemical compositions. Additionally, multiple recalls were processed in late August for toys sold on Amazon, including "Meaicezli Play Purse Sets" and "Kori Gey Water Toy Kits," which violated mandatory standards by allowing children easy access to button cell batteries. These incidents underscore ongoing risks associated with third-party marketplace toy sales.

LEGO and Pokémon Expand Partnership with New 2027 Teasers

During recent panels and events, LEGO and The Pokémon Company teased new sets scheduled for 2027, following the successful launch of initial Pokémon bricks in 2026. The collaboration continues to expand with physical retail partnerships, such as the ongoing LEGO Store x Pokémon GO event running through September 30, 2026, in the US, UK, and other markets. These moves indicate a long-term strategic alignment aimed at capturing both gaming and physical play audiences.

Local view

Denmark: Danish media outlets like TV 2 and DR have celebrated LEGO's "record-breaking" performance, with analysts describing the company as delivering a "bully beating" (bøllebank) to competitors. Local coverage emphasizes LEGO's ability to maintain relevance across generations, noting that the company is not just selling to children but successfully capturing the adult collector market.

Japan: Japanese outlets such as Response.jp and 4Gamer.net are focusing heavily on the "Kidult" trend at the Tokyo Toy Show, noting that adult-oriented products now dominate the floor space. Reports highlight the integration of digital elements, such as smart play technology in LEGO booths and interactive features in new Bandai toys, reflecting Japan's unique blend of physical and digital play.

Context & numbers

• Global Toy Market Growth: Circana data indicates global toy value sales rose by 14% in the first half of 2026, marking a strong resurgence after previous declines.
• LEGO Financials: H1 2026 Revenue: DKK 41.9 billion (+21%); Operating Profit: +22%; Net Profit after tax: DKK 8.6 billion (+32%).
• Pop Mart Financials: H1 2026 Revenue: 17.173 billion yuan (+23.8%); Net Profit: 5.038 billion yuan (+10.1%); Overseas Revenue: 4.972 billion yuan (-11.1%).
• Adult Market Share: Adults buying toys for themselves now account for 25–30% of all global toy sales, a trend that has accelerated post-pandemic.

On the radar

• September 30, 2026: End date for the LEGO Store x Pokémon GO partnership events in the US, UK, Poland, France, Germany, and Australia.
• October 2026: Upcoming major updates for Pokémon TCG Pocket, including the introduction of "Dual Type" cards, which may drive secondary market activity and accessory sales.
• Q4 2026 Holiday Season: Retailers are watching closely for whether the "kidult" momentum continues into the holiday peak, especially given the cooling overseas demand for blind boxes like Labubu.