Labubu maker Pop Mart shares fall as key ex-China sales data drop, Citi cuts price target
Pop Mart shares fall after announcing first-half earnings.
TL;DR
- Pop Mart shares dropped over 4% following the release of first-half financial results.
- First-half revenue rose 23.8% to 17.17 billion yuan, primarily due to a 47.3% surge in China.
- Sales in Asia Pacific ex-China declined by 9.7%, and by 16.5% in the Americas.
- Citi reported that overseas sales fell 11% year-over-year, citing global challenges.
- Citi lowered its price target to HK$198 and expects an 8% group revenue decline in 2026.
- The company's initial 20% revenue growth target for 2026 is now considered difficult to achieve.