Funko Q4 2024 Earnings Report
Key Takeaways
Funko's Q4 2024 revenue reached $293.7 million, growing 1% year-over-year. The company achieved a gross profit of $124.4 million, with a gross margin of 42.4%. Net loss improved significantly to $1.5 million, compared to a $10.8 million loss in Q4 2023. Adjusted net income was $4.4 million, or $0.08 per diluted share. Strength in core collectibles and European sales contributed to the results, while Loungefly and other product categories declined.
Q4 2024 net sales grew 1% year-over-year to $293.7 million.
Gross profit increased to $124.4 million, with a 42.4% gross margin.
Net loss improved to $1.5 million, compared to a $10.8 million loss in Q4 2023.
Adjusted EBITDA rose to $26.3 million, surpassing expectations.
Funko
Funko
Funko Revenue by Segment
Funko Revenue by Geographic Location
Forward Guidance
Funko expects measured revenue growth in 2025, with margin improvements and a focus on long-term diversification.
Positive Outlook
- FY 2025 net sales expected between $1.05B and $1.08B.
- Adjusted EBITDA projected between $80M and $100M.
- Continued expansion in sports, music, and gaming categories.
- DTC and EMEA sales momentum expected to continue.
- Ongoing cost discipline to support profitability.
Challenges Ahead
- Potential impact from 20% tariffs on Chinese imports.
- Q1 2025 adjusted net loss expected between $25M and $22M.
- Loungefly brand performance remains weak.
- Higher SG&A expenses could pressure operating margins.
- Competitive market dynamics may impact pricing strategy.