LEGO is undergoing a major change. The company announced it’s starting to make new eco-friendly bricks. It’s also recording its first loss in a very long time.
The news eco-friendly initiative, announcing that all of its botanical pieces will now be made out of real plant-based materials, ToyNews reports. The LEGO Group is using Braskem’s I’m Green polyethylene (PE).
This is a biopolymer plastic made from sustainable harvested sugarcane. It’s used to create all of LEGO’s botanical pieces. They include all plants such as trees, bushes and leaves.
“At the LEGO Group we want to make a positive impact on the world around us, and are working hard to make great play products for children using sustainable materials. We are proud that the first LEGO elements made from sustainably sourced plastic are in production and will be in LEGO boxes this year. This is a great first step in our ambitious commitment of making all LEGO bricks using sustainable materials,” said Tim Brooks, vice president, Environmental Responsibility at the LEGO Group.
In other news, LEGO has reported its financial results for 2017. The company is suffering a first fall in sales and profits in 13 years. LEGO said the main reason for this is a “clean-up of inventories”. This is also added to the global sales staying flat only picking up at the end of the year.
Revenues dropped by 8 per cent to $5.8bn in 2017. Operating profit declined by 16 per cent from a year earlier. LEGO says “there’s no quick-fix” and it will take some time to get back on the right track.
“We started 2018 in better shape and during the coming year we will stabilize the business by continuing to invest in great products, effective global marketing and improved execution.”, says the CEO of LEGO.