China’s Art Toy Brand Pop Mart Reports a Nearly 70% Increase in Q1 Revenue

On April 26, 2022, Pop Mart (9992:HK) disclosed its quarterly report for 2022 Q1. The overall revenue of POP MART in the first quarter of 2022 increased by 65% to 70% year-on-year. 

According to the announcement, Pop Mart has achieved steady growth in Q1. Among various channels, the revenue of retail stores increased by 75% to 80% year-on-year; the revenue of POP Draw (a mini-program on WeChat developed by Pop Mart) increased by 115% to 120% year-on-year. The revenue from e-commerce platforms also witnessed a large leap by 65% to 70% year-on-year, with the T-mall flagship store increasing 60% to 65%, and the flagship store on the JD.com increased by 105% to 110%. 

Pop Mart is also continuously expanding its overseas business with over ten stores opened abroad. In January 2022, it opened its first store in the UK, attracting a large number of European consumers. A few days ago on April 22, it announced the opening of its first New Zealand store in Auckland. Justin Moon, vice president of Pop Mar, and president of Pop Mart International said, “With the well-designed store, we can connect with local art toy fans and consumers, bringing them a joyful and engaging shopping experience, and share the culture of art toys.” In the future, the company said that it would continue to transform the overseas business from B2B to DTC.

As of press time, it closed at HKD 33.25 apiece with a market capitalization of HKD 46.57 billion.

Amid a consumerist frenzy, on the primary market, the blind box economy has also become a darling of venture capitalists. More than 50 art toy brands received financing in 2021 from big-name investors including Alibaba (BABA:NYSE), Tencent (0700:HK), JD.com (JD:NASDAQ), Sequoia China and a slew of other top institutional venture funds.