Funko's Q3 financial report featured nothing to spook shareholders as the Pop! maker continued a successive run of growth with net sales up 26 per cent to $223 million.
Posted yesterday, 31 October, the results showed solid growth, driven primarily by an increase in the number of active properties and strong sales demand across the company’s core markets in the United States and Europe.
Net sales in the United States increased 21 per cent to $147.3m, while international sales ballooned by 37 per cent to $76 million, with Funko noting strong growth in Europe.
Funko increased its stable of active properties – movie, gaming and other pop culture licenses Funko holds to create its unique brand of collectables and fashion accessories – by 13 per cent to 627 compared with 553 in the same period last year. Net sales per active property increased 11 per cent.
“Funko once again delivered another quarter of strong growth and financial performance,” says Brian Mariotti, Funko’s CEO. “We are driving results by executing against our strategic initiatives and investing in the long-term success of Funko.
The chief executive highlighted Funko as a “platform”, referring to the company’s ongoing to introduce new divisions in digital goods, publishing and board games, alongside the core collectables business.
“We are focused on finding new and innovative ways to connect people to their favourite entertainment through fan experiences as well as digital and physical goods,” he says.
“There continues to be strong global demand for our products as the proliferation of content persists around the world. We are continuing to make the investments needed to capitalize on our expanding growth opportunities in both new and existing markets.”
On a product category basis, net sales of Funko’s core business in toy figures increased 24 per cent to $176.5m. Meanwhile, net sales of other products increased 33 per cent compared with the third quarter of 2018 to $46.8m, driven primarily by continued growth of its fashion accessories brand Loungefly, other softline products and the introduction of its games product line.
Funko expects full-year net sales will be in a range of $840-850m.