It has been a tough year for the American toy manufacturer Funko, which in its latest quarterly report announced that there is significant uncertainty regarding the company's ability to continue operating over the next twelve months. Just during the most recent (third) quarter, global sales of collectible figures have declined by almost 15% compared to the same period last year.
The decline is particularly evident in the U.S. market, where sales dropped by 20% during the period. This comes as Funko's debts have risen sharply and now amount to more than $240 million, $60 million more than at the start of the year.
The underlying factors behind the problems are several: overproduction, reduced willingness to buy among collectors, increased tariffs and costs, as well as restraint from retailers. Though, despite the challenges, the company points to certain bright spots, including the launch of new products and its efforts to expand into new territories.
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