HK:9992.HK:POP MART

Chinese toymaker POP MART International Group is forecasting a more than 350% surge in first-half profit and at least a 200% jump in revenue for the six months ending June 30, fuelled by the global frenzy surrounding its Labubu plush toys.

The Labubu character—a quirky, plush monster with pointy ears and serrated teeth—has become a worldwide collectible phenomenon, endorsed by celebrities like Rihanna and BlackPink’s Lisa. In a recent example of its popularity, a human-sized Labubu sold for US$150,000 at an auction in Beijing.

The company attributes the profit spike not only to surging brand recognition but also to improved cost optimisation and tighter expense control. Originally a cult favourite among young Chinese consumers, the Labubu craze has now gone global, with long queues and sellouts becoming the norm.

POP MART’s market value has rocketed past US$40 billion, with its Hong Kong-listed shares rising 588% over the past year. Its rare breakthrough into Western markets has delivered one of the highest retail profit margins among Chinese companies with global operations—posting a gross profit margin of nearly 67% last year. That compares to US:MINISO:Miniso Group Holding at 45%, US:XIACY:Xiaomi around 20%, and HK:1211.HK:BYD also near 20%.

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