About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, ...

Financial Data and Key Metrics - Q4 2023 net sales were $291.2 million, with wholesale channel sales of $216.7 million and direct-to-consumer (D2C) sales of $74.5 million [12] - Gross profit was $109.4 million, with a gross margin of 37.6%, up from 33.2% in Q3 2023 [27] - Adjusted EBITDA for Q4 was $23.5 million, at the upper end of the guidance range [29] - Inventory at year-end was $119 million, down more than 50% from $246 million at the end of 2022 [7] - Cash and cash equivalents stood at $36.5 million, after paying down $26.2 million of debt in Q4 [37] Business Line Performance - D2C sales in Q4 represented 26% of net sales, up from 17% in Q4 2022, with a nearly 30% YoY increase [6][27] - Pop! Yourself and limited edition products were key contributors to D2C growth, with Pop! Yourself driving significant sales through both online and in-store channels [20][59] - The company launched Bitty Pop! and Pop! Yourself in 2023, both of which were well-received and contributed to business growth [20] Market Performance - Inventory levels in the channel for larger retail partners were 32% lower at the end of 2023 compared to 2022, reflecting healthier levels relative to POS sales [7] - POS sales were down high-single-digit percentages YoY, but this was offset by a mix shift towards the D2C channel [80][81] Strategy and Industry Competition - The company completed a transformation plan in 2023, which included eliminating unprofitable product lines, reducing workforce, and aggressively lowering inventory levels [5][22] - The focus for 2024 is on long-term profitable growth, with an emphasis on expanding the D2C business, increasing sales of Pop! Yourself, and limited edition products [8][23] - The company plans to achieve positive comps later in 2024, despite expecting lower Q1 net sales compared to Q1 2023 [30][31] Management Commentary on Operating Environment and Future Outlook - Management expects 2024 full-year adjusted EBITDA to be considerably higher than 2023, driven by growth in higher-margin product lines and the D2C business [23][39] - The company anticipates improved financial results in the second half of 2024 due to seasonality, easing Hollywood strikes, and reduced shipping disruptions [108] - Shipping costs remain uncertain due to hostilities in the Red Sea, which could impact transit times and revenue recognition [32][89] Other Important Information - Steve Nave, CFO and COO, will resign effective March 15, 2024, with Yves LePendeven taking over as acting CFO [10][35] - The company expects to announce a permanent CEO in Q2 2024 [11] - SG&A expenses in the second half of 2023 declined to 32% of net sales from 38% in the first half, driven by cost reductions [36] Q&A Session Summary Question: How is the company managing the transition after Steve Nave's departure? - Mike Lunsford has been actively running the company since July 2023, and Yves LePendeven is well-qualified to take over the CFO role [75][76] - The company does not anticipate any operational disruptions, as the leadership team is strong and aligned [76] Question: What are the drivers of D2C growth in 2024? - D2C growth is expected to continue, driven by Pop! Yourself, limited edition drops, and expansion into new territories [74][101] - The company plans to focus on higher-margin products and direct connections with fans [95] Question: How is the Red Sea situation impacting the business? - The Red Sea disruptions primarily affect shipments from Asia to Europe, leading to longer transit times and higher costs [89][97] - While the impact is more pronounced in Q1, the company does not expect it to disrupt full-year sales projections [97] Question: What are the expectations for EBITDA margin improvement? - EBITDA margin improvement is expected through a mix shift towards D2C and higher-margin products, as well as annualizing cost reductions from 2023 [83][85] - SG&A expenses will increase due to higher marketing spend for D2C growth, but overall margins are expected to improve [85] Question: When will the new CEO be announced? - The company expects to announce the new CEO in Q2 2024, with hopes of introducing them on the next earnings call [78]

Funko-A (FNKO) came out with quarterly earnings of $0.01 per share, in line with the Zacks Consensus Estimate. This compares to loss of $0.35 per share a year ago. These figures are adjusted for non-recurring items.A quarter ago, it was expected that this company would post a loss of $0.08 per share when it actually produced earnings of $0.03, delivering a surprise of 137.50%.Over the last four quarters, the company has surpassed consensus EPS estimates two times.Funko-A, which belongs to the Zacks Consumer ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ___________________________________________________________________________________ FORM 10-K ___________________________________________________________________________________ (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the ...

Funko Reports 2023 Fourth Quarter, Full Year Financial Results; Provides Full-Year Outlook for 2024 --Q4 Net Sales, Gross Margin and Adjusted EBITDA at Upper End of Expectations, Driven by Strong DTC Growth and Continued Operational Improvement-- EVERETT, Wash. March 7, 2024 -- Funko, Inc. (Nasdaq: FNKO), a leading pop culture lifestyle brand, today reported its consolidated financial results for the fourth quarter and full year ended December 31, 2023. The company also provided financial guidance for the 2 ...

Funko, Inc. (NASDAQ:FNKO) Q3 2023 Earnings Conference Call November 2, 2023 4:30 PM ET Company Participants Rob Cassidy – Director-Investor Relations Mike Lunsford – Interim Chief Executive Officer Steve Nave – Chief Financial Officer and Chief Operating Officer Conference Call Participants Christina Xue – D.A. Davidson Operator Good afternoon and welcome to Funko's 2023 Third Quarter Financial Results Conference Call. At this time, all participants are in a listen-only mode. Later, we will conduct a questi ...

(Exact name of registrant as specified in its charter) UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____________to _____________ Commission file number: 001-38274 FUNKO, INC. Delaware 35-2593276 (State or othe ...

Funko, Inc. (NASDAQ:FNKO) Q2 2023 Earnings Conference Call August 3, 2023 4:30 PM ET Company Participants Rob Jeffrey - Director of Investor Relations Michael Lunsford - Interim Chief Executive Officer Steve Nave - Chief Operating Officer and Chief Financial Officer Conference Call Participants Linda Bolton-Weiser - D.A. Davidson Operator Ladies and gentlemen, Good afternoon and welcome to Funko's 29 Free Second Quarter Financial Results Conference Call. At this time, all participants are in a listen-only m ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____________to _____________ Commission file number: 001-38274 FUNKO, INC. (Exact name of registrant as specified in its charter) Delaware 35-2593276 (State or other jur ...

Funko, Inc. (NASDAQ:FNKO) Q1 2023 Results Conference Call May 4, 2023 4:30 PM ET Company Participants Ben Avenia-Tapper - Director of Investor Relations Brian Mariotti - Chief Executive Officer Steve Nave - Chief Operating Officer and Chief Financial Officer Conference Call Participants Andrew Uerkwitz - Jefferies Linda Bolton-Weiser - D.A. Davidson Gerrick Johnson - BMO Operator Good afternoon. And welcome to Funko’s Conference Call to discuss Financial Results for the First Quarter of 2023. At this time, ...