Chinese doll maker Pop Mart’s shares sank nearly 23% on Wednesday despite robust revenue.

Axar.az informs, citing ABC news, the plunge in Pop Mart’s Hong Kong-listed shares came after the company reported 37.1 billion yuan ($5.4 billion) in annual revenue for 2025, up 185% from the year before but slightly missing analysts’ estimates.

Profit for the whole of last year was 12.8 billion yuan ($1.9 billion), up more than 300% from the 3.1 billion yuan in 2024, the company said.

Labubu, the toothy monster dolls with pointed ears, gained huge popularity across the world since 2024 as it was trending on social media and seen on handbags of celebrities.

Roughly 38% of Pop Mart’s revenue came from its “The Monsters” proprietary intellectual property characters, which includes Labubu.

Pop Mart’s reliance on Labubu, said Jeff Zhang, an equity analyst at Morningstar, is likely part of the reason for Wednesday’s share price fall.