Collectables brand Funko Pop! is struggling to off load inventory and now plans to eliminate approximately $30 million to $36 million dollars worth of product.
The backlog has left Funko's warehouses overstuffed, and forced the company to rent storage containers to hold the unsold stock of vinyl figurines with oversized heads.
The cost of this extra storage is eating into Funko's bottom line. The company reported a $47 million loss in the fourth quarter of 2022. Funko explained that its inventory totaled $246 million in 2022, up 48 percent from the year before.
"This includes inventory that the Company intends to eliminate in the first half of 2023 to reduce fulfillment costs by managing inventory levels to align with the operating capacity of our distribution center," Funko said in a press release.
While Funko cited waning demand as one reason for the surplus, the collectables market overall continues to grow.
"As we move forward, we remain laser focused with a high sense of urgency to build an operating foundation to support the long-term growth opportunities we envision for Funko, our partners and stakeholders," said CEO Brian Mariotti.
Fintech pioneer Tom Sosnoff discusses the evolution of retail investing, the rise of AI, and his new platform Lossdog aimed at the next generation of trading.
The FAA prepares to select cities for its eVTOL pilot program, marking a major step toward electric air taxis and the future of urban air mobility in the U.S.
Rising oil prices tied to the Iran conflict are driving up gas and airfare costs, creating new challenges for travelers heading into the spring break season.
The Supreme Court strikes down Trump-era tariffs, limiting presidential trade powers and raising questions about refunds, global trade, and business impact.
New research from GoDaddy and UCLA shows small businesses signal shifts in GDP, jobs, and digital growth earlier than traditional data or Wall Street trends.
GoFundMe launches Back in Business Fund with Paris Hilton to provide targeted grants helping women entrepreneurs recover and rebuild after natural disasters.
Samsung launches its “AI in Action Lab” in NYC, giving public high school students hands-on AI experience and tools to prepare for real world innovations.
Gen Z workers are increasingly worried AI could replace their jobs. However, experts say companies are using AI more to assist workers than replace them.
