Pop Mart, the Chinese manufacturer behind the popular Love Dolls, announced on Tuesday that its profits nearly quadrupled in the first half of the year.
Based in Beijing, the company reported a net profit of $636 million, marking a 396.5% increase from the same timeframe last year.
Revenues also surged by 204.4%, reaching around $1.93 billion, significantly outperforming the 62% growth from last year.
Pop Mart’s stock has seen a rise of over 200% this year, and the company’s market value has surpassed that of Sanrio, the parent company of Mattel and Hello Kitty.
The heightened demand for Labubu dolls in international markets has been fueled by increased retail prices, enhancing profit margins, particularly in North America.
These dolls are sold in “blind boxes,” which feature big eyes, sharp teeth, and tall ears like bunnies, adding an element of surprise for customers as they wait to see which color they receive.
This has led some rare Labubu models to become coveted items, fetching several hundred dollars on eBay and even reaching $150,000 at a recent auction in Beijing.
Celebrities such as K-pop star Lisa, Rihanna, and David Beckham have contributed to this trend, often seen accessorizing with these small monster dolls as keychains for bags and car keys.
On Tuesday, Pop Mart indicated plans to increase the supply of sold-out dolls in stores globally.
CEO Wang Ning mentioned to state media last month that Labubu’s sales could hit 10 million units per day by September.
He highlighted that international sales are growing much faster than anticipated, suggesting that this year’s foreign sales could surpass those in China.
Labubu Dolls fall under Pop Mart’s “The Monsters” character franchise.
The company shared that “monsters” represent 34.7% of its total revenue.
Currently, Pop Mart operates 571 retailers, with 40 openings in the first half of the year, and has 2,597 vending machines across 18 countries and regions.
Rapid expansion is in the works, with plans to launch 100 new stores outside mainland China this year.
Just this month, Pop Mart opened a megastore in the massive Iconsiam shopping center in Bangkok.
