"Labubu Effect": Chinese Pop Mart shows explosive profit growth and conquers US and Europe
Kyiv • UNN
Pop Mart's revenue grew by 204% to 13.88 billion yuan, net profit increased by 396% to 4.7 billion yuan. The Labubu toy brought the company almost 35% of its revenue, and sales in Western markets grew significantly.
Chinese collectible toy manufacturer Pop Mart, known for the popularity of Labubu, has demonstrated rapid financial growth. The company more than tripled its revenue and recorded almost a fourfold increase in net profit, actively entering new markets. This was stated in the company's report, writes UNN.
Details
According to the reporting period, Pop Mart's revenue increased by 204% to 13.88 billion yuan ($1.93 billion). Net profit grew by a record 396% – to 4.7 billion yuan (over $650 million). The key driver of success was the Labubu toy, which brought the company almost 35% of its total revenue.
Particularly impressive dynamics were recorded in Western markets. In North America, revenue increased by 1142%, which was made possible by the rapid expansion of the network in the US, where the number of stores increased to 41. In Europe, the company showed a growth of 730%, having already opened 18 retail outlets.
Thus, Pop Mart is not only strengthening its position in China but is also becoming a global player in the collectible toy industry, where the "Labubu effect" is becoming a key factor in the brand's global success.