Pop Mart reports 45 to 50% revenue decline as Labubu sales weaken across major markets

JUST IN: Labubu maker Pop Mart reports a 45-50% year-on-year collapse in third-quarter revenue as sales weaken across its major markets.

Labubu just fell off a cliff. Pop Mart's third-quarter revenue is down 45 to 50 percent year on year.

This is the company that turned a snaggle-toothed elf doll into a global obsession, and you can see the little troublemaker here. Celebrities clipped them to handbags, resellers flipped them for hundreds, and Pop Mart stores had queues around the block. That was then.

Now look at the filing they dropped on the Hong Kong exchange late Tuesday. Mainland China down 25 to 30 percent. Asia-Pacific outside China down 65 to 70. Europe off by half. And the Americas, the market everyone said would carry this thing, down 70 to 75 percent. That's not a slowdown, that's customers leaving the building.

Every toy craze ends the same way, from Beanie Babies to fidget spinners. The only question is how much shelf you're holding when the music stops. Pop Mart just found out.

This is Sara White, reporting for HIT.