Pop Mart reports 188% profit surge, plans aggressive global expansion

Pop Mart International Group Ltd. reported a 188% surge in profit for 2024, driven by strong overseas demand for its intellectual property (IP) toys and rapid store expansion.

The Beijing-based toy maker saw net income reach 3.1 billion yuan ($427 million), significantly ahead of analyst expectations, while full-year sales more than doubled to 13 billion yuan ($1.79 billion).

With growing momentum outside China, Pop Mart now plans to expand its international presence, particularly in North America and Europe, through physical stores and brand collaborations focused on pop culture integration.

Pop Mart’s stock shot up after the results came out, but dipped sharply afterwards. The stock has gone up by over 350% in the past year.

North America and Europe expansion

Following strong international sales, Pop Mart is doubling down on its overseas strategy.

The company said it would prioritise physical store development in globally iconic locations across North America and Europe.

These regions have emerged as key growth markets amid the brand’s rising popularity and global recognition.

The approach aims to replicate the company’s success in Asia, where branded stores play a critical role in consumer engagement and IP visibility.

The firm stated that the goal of opening stores abroad is to “enhance brand experience and recognition,” as part of its broader plan to strengthen the link between pop culture and its collectible toy line-up.

Pop Mart also confirmed plans to build on its artist and brand partnerships to drive cross-boundary creative collaborations, a strategy that aligns with global consumer interest in novelty collectibles.

13 IPs cross 100 million yuan

Labubu, a standout among Pop Mart’s extensive portfolio of character IPs, was identified as a key contributor to the company’s 2024 growth.

The brand noted that 13 of its IPs individually generated over 100 million yuan ($13.8 million) in annual sales, highlighting the depth and popularity of its character range.

The company’s patented designs have proven particularly lucrative, with collectors and casual buyers alike contributing to strong product turnover.

Its growing ecosystem of original and licensed character properties remains a core pillar of its revenue model, as demonstrated by the spike in IP-driven sales this year.

This focus on IP development has helped Pop Mart distinguish itself from other toymakers, giving it an edge in a highly competitive retail market.

Brand collaborations to grow IPs

Looking ahead, Pop Mart plans to deepen cooperation with both artists and commercial brands.

This focus on cross-boundary collaboration is designed to enhance the appeal and cultural relevance of its toy lines.

By integrating visual art, fashion, and entertainment into its offerings, the company aims to broaden its audience and improve brand stickiness.

This strategy will also help adapt Pop Mart’s designs to regional tastes as it expands across diverse markets.

The combination of proprietary IPs and strategic licensing is expected to continue driving sales, particularly as the company expands its footprint in the Western hemisphere.

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