Funko's third quarter 2026 revenue of $258M and adjusted EPS beat estimates as margins expanded

Funko reported third quarter 2026 results that exceeded top and bottom-line expectations, driven by 4.8% growth in Core Collectibles and disciplined cost management. The company demonstrated significant operational leverage with gross margins expanding 500 basis points year-over-year to 45.2%.

Key Highlights

• Net sales of $258.3 million grew 3% year-over-year, outperforming the analyst consensus of $250.7 million.
• Adjusted EBITDA reached $32.1 million, comfortably exceeding the company's internal guidance range of $25 million to $30 million.
• Total debt was reduced by $29 million year-to-date to $195.9 million, while inventory decreased 8% year-over-year to $91.6 million.