Hihhihi, the beloved Finnish production company, has filed for bankruptcy: Insights into the decline of toy store sales and unprofitable retail operations.

Janne Kataja has announced on his Instagram account that Hihhihi, the production company he is affiliated with, has filed for bankruptcy. The company was established in 2002 by Kataja and actor Aku Hirviniemi and has produced various TV shows, films, and events, as well as running the Pieni Lelukauppa chain. Some of its notable productions include children’s movies such as “Hay Hat” and “Felt Slipper”, as well as television series like “Lehtikäsiari Urpo” and “Tourism Emperor Kalevi”.

In 2022, the company experienced financial difficulties, leading to a loss of approximately 416,000 euros with a turnover of five million euros. Hirviniemi resigned from the company’s board in November, and Kataja cited unprofitable retail operations as one of the reasons behind the bankruptcy filing. Despite this setback, Kataja expressed hope that the Lelukaupat stores would continue to operate for the time being.

Kataja spoke to Yle about the decline in toy store sales contributing to the company’s financial troubles. He mentioned that while TV and film productions were profitable, the retail segment faced significant challenges. Attempts to reach Pekka Kataja, chairman of Hihhihi’s board of directors for additional comments were unsuccessful. The announcement of Hihhihi’s bankruptcy was originally reported by the Evening newspaper.