Walk into any geek shop and you’ll see a wall of Funko Pops staring at you through their vacant, plastic eyes – they’re unavoidable. Hell, even HMV has an aisle dedicated to the little Chibi mascots. Going by sheer exposure alone, you’d think they were a thriving cornerstone of nerd culture, but, as it turns out, this once billion-dollar enterprise is fast losing money.
As reported by Dexerto, the company has warned investors that a sharp drop in sales, President Trump’s tariffs, and the growingly “difficult retail environment” are to blame, and that it’s currently “exploring strategic alternatives” to survive.
Its top properties right now are One Piece, Mickey and Friends, Pokémon, The Nightmare Before Christmas, Hello Kitty, Stranger Things, Marvel, Harry Potter, and Lilo & Stitch.
The pop vinyl maker reported in its latest SEC financial filing that it has suffered a net loss of around $1 million this quarter (following a staggering loss of $41 million last quarter), with sales down by 14 percent from this time last year. Combined with its $250 million in debt and a twice-amended credit agreement, Funko admitted that there is “substantial doubt about [its] ability to continue” over the next 12 months.
Funko Is Considering An Acquisition Amid Dwindling Interest
However, CEO Josh Simon remains optimistic about the future of the brand, and there are ideas on how it might stave off a collapse into the million-dollar landfill of plastic IP (yep, that really happened); “I’m only 60 days into the role, but it’s already clear how powerful the Funko brand is and how much growth opportunity lies ahead,” he said.
It has been suggested that selling off the company, or acquiring additional funding, might pull Funko out of this hole; failing that, there are plans to focus on smaller lines like Bitty Pops and blind-box collectables, as well as Pop Yourself kiosks.
Sales in the US have been down 20 percent year-over-year.
It’s an optimistic outlook, given the sheer losses in 2025 alone, compared to the $8.9 million profit in the same quarter last year. Frankly, things aren’t looking good for Funko, and soon, the era of walking into those geek shops and seeing a labyrinth of franchise mascots eternalised in plastic, behind their prized box windows, might finally come to an end.
- Released
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September 13, 2024
- ESRB
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e
- Engine
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Unreal Engine 5
- Multiplayer
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Online Co-Op
