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Dec 31, 2023
Funko Q4 2023 Earnings Report
Funko's Q4 2023 financial results were reported, showing net sales and adjusted EBITDA at the upper end of expectations, driven by DTC growth and operational improvements.
Key Takeaways
Funko reported a decrease in net sales compared to the previous year, but gross margin improved significantly. The company's DTC business grew, and inventory levels were substantially reduced. Despite facing headwinds, Funko anticipates bottom-line improvements in 2024.
Net sales were $291.2 million, a decrease from $333.0 million in the same quarter of the previous year.
Gross margin increased to 37.6% compared to 28.3% in the prior year.
DTC business accounted for 26% of revenue and increased nearly 30% year-over-year.
Inventory levels were reduced to $119 million from $246 million at the end of the previous year.
Funko
Funko
Funko Revenue by Segment
Funko Revenue by Geographic Location
Forward Guidance
Funko provided its 2024 full-year outlook and 2024 first-quarter guidance.
Positive Outlook
- Net Sales $1.047 billion to $1.103 billion
- Adjusted EBITDA $65 million to $85 million