Navigating social media, one may have encountered Labubu dolls, as there is a surge in popularity around these plush toys. This is good news for the toy manufacturer Pop Mart, whose revenues are expected to reach 4.1 billion dollars (about 3.5 billion euros).
Pop Mart’s Chief Executive, Wang Ning, announced on Wednesday that the toy company is on track to achieve a revenue target of 20 billion yuan (2.39 billion euros) by 2025 and could “easily” reach 30 billion yuan (3.5 billion euros).
Driving these results is the Labubu craze, scary-looking figurines proudly displayed by many children and young people, often attached to bags, purses, or even waists.
According to reports, the most popular version so far is as a bag charm, but the company states it will launch a miniature version of Labubu for mobile phones later this week.
Having announced record semiannual results, Wang Ning told journalists that net profits skyrocketed nearly 400% due to increased toy demand, particularly in international markets.
Furthermore, Pop Mart shares surged over 5% at the opening of Wednesday’s trading in the Hong Kong stock exchange, reaching the highest closing value since its debut in December 2020. However, the stock has already appreciated 230% this year.
Created by Kasing Lung in 2015, these small plush dolls resemble a cross between an elf and a rabbit and have recently been spotted in bags, purses, and even on the waists of public figures like Rihanna.
The company intends to explore expansion in emerging markets in the Middle East, Central Europe, and Central and South America.
“We are very optimistic about international markets and also believe there is still ample room for growth,” the executive stated, adding that combined sales from North America and Asia-Pacific this year would be equivalent to China’s sales in 2024.
What are Labubu dolls?
Labubu dolls are small plush figures that combine the features of an elf and a rabbit. They were created by Kasing Lung in 2015.
Currently, Pop Mart markets these original figures, which are rapidly selling out, prompting the emergence of replica brands. They are used on bags, purses, and even worn on waists.
