Labubu’s Mega Markups Make Pop Mart a $43 Billion Export Giant

Forget electric vehicles or fast fashion. The driver of some of China’s biggest retail profit margins is a plush, pointy-eared, serrated-tooth monster called a Labubu.

Labubu, Beijing toymaker Pop Mart International Group Ltd.’s star character, is fueling a global collectibles craze. The company posted a gross profit margin of nearly 67% last year, among the highest of Chinese firms with major international reach. By comparison, homegoods and toy retailer Miniso Group Holding Ltd.’s margin was about 45%, while consumer electronics maker Xiaomi Corp. and EV powerhouse BYD Co. came in around 20%.