Funko (FU2) Q3 2026 Earnings Report

The call was strongly positive overall. Management reported sales growth, a 5-percentage-point gross-margin improvement, adjusted EBITDA above expectations, meaningful deleveraging, successful product launches, and multiple new growth initiatives. The primary negatives were declines in Q3 point-of-sale units globally, in the U.S., and through direct-to-consumer channels, although management provided specific explanations and noted improved D2C profitability. Highlights significantly outweighed lowlights.

For the full year, Funko is reiterating guidance for sales flat to up 3% and adjusted EBITDA between $100 million and $110 million; management is still expecting Q4 collectibles to grow in Q4 and is certainly hopeful that, that, kind of, like, positive comp continues during the holidays, plans to launch a dozen IPs on Pop! Mystery throughout the next year, roll out a version of Pop! Plush in a few different formats next year, tease a couple of new product lines at the Nuremberg and New York Toy Fairs in February, and continue to grow and scale live selling in Q4 and then beyond into next year as well.