STORY: Lego is bracing for higher energy and raw material costs as oil and gas prices rise amid conflict in the Middle East.
Its chief executive said the Danish toymaker is looking to spur growth with interactive "smart bricks" and Pokemon tie-ups.
It said rising oil prices could feed through to the cost of plastics and other inputs over time.
Although existing deals it has mean the effect is likely to be gradual and cushioned.
The price of Brent crude oil has surged by as much as 65% since the US and Israel bombed Iran on February 28th.
Lego boss Niels Christianson added that Lego had managed similar volatility during the COVID-19 pandemic,
As well as Russia's 2022 invasion of Ukraine.
It's not just energy costs; Lego is navigating tariff volatility.
That's after the Supreme Court knocked down some of U.S. President Donald Trump's key levies last month.
Trump then imposed a new blanket 10% rate that could rise to 15%.
Lego's strategy of having production plants close to key markets has helped rein in costs.
It will open its first manufacturing plant in the United States in 2027, in Virginia.
Despite the pressures, family-owned Lego reported growth across all regions and product categories last year.
The company expects high single-digit revenue growth this year.
