Pop Mart reports 45–50% revenue decline in Q3

Pop Mart, the Chinese designer toy manufacturer, reported a significant decline in third-quarter revenue, falling between 45% and 50% year-over-year. The downturn is attributed to a cooling of the popularity surrounding its hit IP, Labubu, and high base effects from the previous year.

International markets experienced the sharpest declines. Revenue in the Americas plummeted by 70% to 75%, while the Asia-Pacific region outside mainland China and Oceania fell by 65% to 70%. Europe and other regions saw decreases of 50% to 55%. In mainland China, revenue dropped by 25% to 30%, with online channel sales seeing a more severe contraction of 45% to 50%.

Financial institutions have responded to the results by adjusting their outlooks. HSBC lowered its three-year sales forecasts, while Jefferies reduced its profit projections for 2027 and 2028, citing weakened overseas performance.