NASDAQ$FNKO

Funko Inc · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Funko reported record Q2 2021 with sales up 141% driven by broad-based strength across products, channels, and geographies.

Funko's Q2 2021 net sales increased by 141% year-over-year to $236.1 million. The company saw broad-based strength across all geographies, products, and channels, with significant growth in the U.S. and Europe. Net income also increased significantly to $20.9 million, and adjusted EBITDA reached $41.1 million.

  • Net sales increased 141% year-over-year to $236.1 million.
  • Gross margin expanded 250 basis points year-over-year to 39%.
  • Net income increased $36.0 million year-over-year to $20.9 million.
  • Adjusted EBITDA increased $40.8 million year-over-year to $41.1 million.

Headline financials

Total Revenue

$236M

Previous: $98.1M+140.7%
EPS (adj)

$0.40

Previous: -$0.20+300.0%
Gross Margin

39.0%

Previous: 36.6%+6.6%
Adjusted EBITDA Margin

17.4%

No prior period
Capital Expenditures

-$10.1M

Previous: -$11.7M+13.3%
Free Cash Flow

$3.69M

Previous: -$22.3M+116.6%
Net Income

$13.8M

Previous: -$10.6M+230.5%
Operating Income

$27.3M

Previous: -$14.3M+291.3%
Gross Profit

$92.4M

Previous: $35.9M+157.1%
Cash & Equivalents

$95.5M

Previous: $41.1M+132.1%
Total Assets

$847M

Previous: $729M+16.2%
Stock-Based Comp

$3.52M

Previous: $2.63M+34.1%

Revenue & EPS history

Funko · Revenue · Quarterly

$236M

Q2 2021+140.7%vs Q2 2020
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Funko · $266M total across 3 segments · Q2 2021

  • Core Collectible
    $187M
  • Other
    $48.9M
  • Loungefly
    $29.6M+42.9%

Forward guidance

In 2021, the Company expects net sales of $900 million to $930 million; Adjusted EBITDA margin of 14.0% to 14.5%; Adjusted Net Income of $57.4 million to $64.2 million, based on a blended tax rate of 25%; and Adjusted Earnings per Diluted Share of $1.06 to $1.19, based on estimated adjusted average diluted shares outstanding of 54 million for the full year.

Tailwinds

  • Net sales of $900 million to $930 million
  • Adjusted EBITDA margin of 14.0% to 14.5%
  • Adjusted Net Income of $57.4 million to $64.2 million
  • Blended tax rate of 25%
  • Adjusted Earnings per Diluted Share of $1.06 to $1.19

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

+0.2%

Avg return

Earnings day

+0.2%

Avg return

5 days after

+4.2%

Avg return

30 days after

56%

19 / 34 earnings

Positive

+25.1%

Q1 2020

Best reaction

-59.2%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.6%+26.3%+16.2%
Q4 2025-4.0%-18.6%-15.3%
Q3 2025+10.3%+22.2%-0.3%
Q1 2025-16.5%+11.7%+14.5%
Q4 2024-13.5%-28.8%-49.3%
Q3 2024-3.4%-9.2%+0.9%
Q2 2024+11.7%+11.0%+11.6%
Q1 2024+8.9%+28.2%+43.5%
Q4 2023+7.0%-0.8%-10.6%
Q3 2023+22.1%+9.6%-5.0%
Q2 2023-13.2%-12.7%-4.4%
Q1 2023+15.0%+13.5%+27.4%
Q4 2022-8.0%-9.6%-12.8%
Q3 2022-59.2%-47.1%-45.8%
Q2 2022-19.2%-22.0%-23.1%
Q1 2022+19.5%+8.9%+21.7%
Q4 2021+9.5%-4.0%-1.6%
Q3 2021+10.8%+8.1%-7.6%
Q2 2021-3.3%-5.0%-0.5%
Q1 2021+19.1%+9.5%+10.2%
Q4 2020+23.0%+24.3%+58.0%
Q3 2020-9.4%+12.0%+63.2%
Q2 2020-4.8%+2.9%+2.6%
Q1 2020+25.1%+18.4%+88.1%
Q4 2019-8.1%-17.5%-57.8%
Q3 2019-12.7%-16.1%-18.0%
Q2 2019+10.0%+9.1%+8.1%
Q1 2019+3.4%+9.7%+4.6%
Q4 2018+3.8%-6.7%+7.8%
Q3 2018-25.3%-25.7%-31.5%
Q2 2018+8.5%+7.3%+50.3%
Q1 2018+2.5%+3.5%+28.4%
Q4 2017+7.1%+13.0%+3.4%
Q3 2017-10.7%-17.2%-34.7%
Q2 2017
Q1 2017
Q4 2016
Q3 2016
Q2 2016
Q1 2016
Q4 2015

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