A much-loved toy store is making a comeback this holiday season.
Toys R Us, to go-to for toy-hungry 80s and 90s kids, plans to open 120 standalone stores by the end of 2026, the company announced this month.
"This is a major moment for Toys R Us as we significantly expand our presence across the United States," Executive Vice President Jamie Uitdenh said.
The expansion will quadruple the brand’s U.S. footprint of 40 stores and marks a major turnaround after the retailer went bankrupt in 2017, largely due to its inability to innovate and stay current with consumer trends.
Toys R Us’s resurgence started in March 2021 when current owner WHP Global, a brand management firm, bought a controlling stake in the company. Since then, it’s opened standalone stores and kiosks in airports and department stores to grab a slice of the country’s rebounding retail toy market.
The company did not say where its new stores will open. The Independent has contacted Toys R Us for comment.
The U.S. toy industry has had a rollercoaster five years but is on the way up again, according to industry advocate The Toy Association. Sales surged from $30.4 billion in 2021 to $30.6 billion in 2022, the association said. Sales then dipped below $30 billion in 2023 and 2024 before rebounding to $30.3 billion in 2025.
Games and puzzles, explorative toys and building sets saw the most growth from 2024 to 2025, while plush toys and outdoor/sports toys saw the biggest declines, according to the association.
This year, the industry has thrived despite consumers facing financial challenges due to elevated cost of living and gas prices.
Even as consumers deal with financial pressures, they focused their toy spending on mid-tier and premium brands, according to a June analysis from market research firm Circana.
“This trend mirrors broader retail dynamics, where higher prices and more selective spending are driving revenue gains,” the analysis noted. Through April, sales were up 13 percent. Games and puzzles rose 39 percent year-on-year, and building sets like LEGO rose 20 percent.
Squishy toys are all the rage thanks to social media marketing on channels like TikTok, Circana said. The squeezable sensations saw sales grow by triple digits through the first four months of the year.
Overall, the retail industry is expected to generate more than $1 trillion in sales this holiday sales for the first time ever, according to a September analysis from consulting firm Bain & Company.
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