Pop Mart CEO Wang Ning: Not pursuing aggressive revenue growth without profit increase; this year is like an F1 pit stop for maintenance.

Why does AI · Pop Mart CEO compare 2026 to an F1 pit stop for maintenance?

“This year, we hope to achieve a growth rate of no less than 20%. We won’t pursue overly aggressive growth that increases revenue but not profit. Our core goal remains to make the company grow in a more long-term, stable, and healthy way.”

On March 25, during Pop Mart International Group’s (Pop Mart, 09992.HK) financial results conference, when asked about the growth guidance for 2026, Pop Mart Chairman and CEO Wang Ning provided specific expectations: “The achievements last year put some pressure on the company and far exceeded the targets we set in our performance guidance last year. From a big-picture perspective, it’s not about chasing a short-term sprint or how fast we can go now or in the next few years. We prefer to view each year’s development and opportunities with a long-term strategic outlook.”

On the same day, Pop Mart released its 2025 financial report, with revenue of 37.12 billion yuan, up 184.7% year-over-year, and adjusted net profit of 13.08 billion yuan, up 284.5%. In 2025, Pop Mart’s revenue first surpassed 30 billion yuan, with gross profit margin increasing from 66.8% in 2024 to 72.1%, a 5.3 percentage point rise. LABUBU’s THE MONSTERS revenue broke 10 billion yuan for the first time, entering the billion-yuan club.

This “multiplicative” growth in the financial report was not well received by the market. As of the close on March 25, Pop Mart’s stock fell 22.51%, closing at HKD 168.3 per share, with a market value evaporating by HKD 65.57 billion in one day.

Questions about the reliance on a single IP, LABUBU, have long surrounded Pop Mart. This issue has been raised in various settings.

Wang Ning said that Pop Mart does not only have LABUBU. Although LABUBU performed brilliantly in 2025, even if all LABUBU-related performance is removed, Pop Mart still achieved rapid growth. He hopes the outside world can see more of the company’s platform operation and IP development capabilities.

Financial reports show that, in terms of IP performance, in 2025, LABUBU’s THE MONSTERS became a global hit, reaching a revenue of 14.16 billion yuan, up 365.7% year-over-year. Thanks to a differentiated IP operation strategy, six major IPs—SKULLPANDA, CRYBABY, MOLLY, DIMOO, Star People, and others—each surpassed 2 billion yuan in revenue, with 17 IPs exceeding 100 million yuan. In the first half of 2025, there were 13 IPs with revenue over 100 million yuan.

Looking at categories, in 2025, Pop Mart’s plush toy segment achieved revenue of 18.71 billion yuan, up 560.6%, becoming the company’s largest revenue contributor for the first time, accounting for 50.4%. Figurines grew by 73.3% to 12.02 billion yuan, accounting for 32.4% of revenue.

“Were 2025 the fastest-growing year since Pop Mart’s listing? Yes, and it was also a very challenging year. It’s like a rookie racing driver suddenly being thrown into F1. At such high speeds, both the driver and the car face enormous pressure, but the process is truly exciting, full of gains, experience, and lessons. Many people worry whether LABUBU is just a trend or if it will have big fluctuations. But now, we’re pleased to see it becoming a lifestyle for more and more people. We are still full of hope for the future and very confident.”

Regarding 2026, Wang Ning again used an F1 analogy: “We hope 2026 will be a year of pit stops—refueling, changing tires. After rapid development, we want to make some adjustments. All companies go through cycles, and during periods of fast growth, it’s crucial to identify problems early and clearly understand the direction for future improvements.”

Pop Mart Chief Operating Officer Sider discussed LABUBU’s future operations, stating that in the second half of the year, LABUBU will launch a 4.0 series and a collaboration series with artists. From a medium- to long-term perspective, LABUBU will also develop content such as picture books and movies, which are currently in planning stages.

At the financial results conference, Pop Mart also announced that in April, it will launch derivative small home appliances centered around IP, available on platforms like JD.com.

Another notable point is that in 2025, Pop Mart underwent its first large-scale organizational restructuring, deepening its global expansion. The company operates 630 stores worldwide, with 109 net new stores added during the year, and runs 2,637 robot stores, with 165 new robot stores opened in 2025.

Market-wise, China generated 20.85 billion yuan in revenue, up 134.6%, with 14 new offline stores, reaching a total of 445 stores. The Asia-Pacific market earned 8.01 billion yuan, up 157.6%, with 31 new stores, totaling 85. The Americas brought in 6.81 billion yuan, up 748.4%, with 42 new stores, totaling 64. Europe added 22 stores, reaching 36 stores, with revenue of 1.45 billion yuan, up 506.3%.

As of December 31, 2025, China had a total of 72.58 million registered members, with 26.5 million new registrations. Member sales contributed 93.7% of total sales, and the member repurchase rate was 55.7%.