Labubu Maker's Earnings Show It's Not Toying Around, but Investors Aren't Amused -- Update
Pop Mart posted blockbuster earnings off the global Labubu craze, but that didn't stop investors from dumping its stock, with some booking profit as they wonder if the Chinese toy maker's success is just a fad.The Beijing-based company captured the hearts--and wallets--of global consumers with its ugly-cute Labubu dolls, part of a range of collectibles sold in "blind boxes" that conceal the contents from buyers, making each purchase a surprise.Many had doubts on the logic of Pop Mart's share price catapulting above that of heavyweights like Alibaba's on the back of a trend. But the company's profit quadrupled last year. Revenue nearly tripled.In a year marked by weak consumption in Pop Mart's home market of China and tariff turmoil across the world, the toy company posted net profit of 12.78 billion yuan, equivalent to US$1.85 billion. It made 37.12 billion yuan in revenue.The question now is if it can keep churning out hits.Pop Mart relies heavily on the Monsters collection, which inc