Funko is facing financial challenges, prompting questions about the future of the iconic Pop! brand and Michael Jackson collectors may want to take a closer look at what is sitting on their shelves.
If you own a Michael Jackson Funko Pop!, you might want to think twice before letting it go.
A recent wave of social media posts has been claiming that Funko could go bankrupt before the end of 2026. While that prediction is far from confirmed, there is a genuine financial story behind the speculation.
Funko has been working through significant debt and losses, although the company’s latest financial results also show some encouraging signs.
So, what could all of this mean for Michael Jackson collectors?
Funko Has Been Having A Difficult Time
Funko’s financial position has been under scrutiny for some time.
At the end of 2025, the company reported significant debt and had been working with its lenders to restructure its financial arrangements. Funko subsequently reduced its debt during the first half of 2026.
By June 30, 2026, Funko reported total debt of approximately $201.1 million, down from $225.3 million at the end of 2025.
However, the picture isn’t entirely negative.
Funko’s second-quarter 2026 results showed net sales of $207.7 million, up 7% year-over-year, while the company reported net income of $15.4 million, compared with a $40.5 million net loss during the same quarter of 2025. Gross margin also improved substantially.
Funko also raised its adjusted EBITDA guidance following the second quarter results.
In other words, the company is struggling with its financial position, but it is also taking steps to improve it.
There is currently no confirmation that Funko is going bankrupt before the end of 2026.
That distinction is important.
But What About Michael Jackson?
For Michael Jackson fans, Funko has become an important part of modern collecting.
Over the years, Funko has released Michael in several iconic looks, allowing fans to build a miniature collection of some of the most recognisable moments of his career.
And Funko isn’t currently walking away from Michael Jackson.
In fact, the company has just released a brand-new Pop! Michael Jackson (Bad Tour) figure.
The new Pop! features Michael in the metallic silver outfit associated with his legendary Bad Tour performances and is officially licensed as a Michael Jackson product.
Funko’s official website currently lists the Michael Jackson collection, with the Bad Tour figure available as the latest release.
That makes the timing particularly interesting for collectors.
Should You Hold On To Your Michael Jackson Pops?
If you’re a Michael Jackson collector, our answer would be: if you love them, keep them.
Could existing Michael Jackson Funko Pops become more collectible if Funko eventually stops producing them?
Possibly.
If a company reduces production, retires licences or stops producing a particular range, existing figures can become harder to find.
But that doesn’t automatically mean every Funko Pop will suddenly become valuable.
The collector market is unpredictable, and mass-produced figures don’t necessarily become expensive simply because they are no longer being manufactured.
The figures that could potentially attract greater interest in the future are those with characteristics such as older production dates, exclusivity, limited availability or particularly desirable Michael Jackson designs.
And, of course, condition matters.
For collectors who keep their Pops boxed, keeping the packaging in excellent condition is likely to remain important.
The New Bad Tour Pop Makes This Even More Interesting
There’s an ironic twist to all of this.
Just as people online are questioning Funko’s future, Michael Jackson collectors are receiving a brand-new figure.
The Bad Tour Pop! is currently listed by Funko at £13 in the UK, meaning fans don’t need to spend a fortune to add it to their collection right now.
But nobody knows what the Funko landscape will look like several years from now.
If Funko continues to operate and produce Michael Jackson figures, today’s releases may simply remain readily available collectibles.
If the company were eventually forced to dramatically reduce its output or leave the market altogether, however, the situation could look very different.
That’s where the speculation becomes interesting for collectors.
Don’t Panic! But Don’t Ignore It Either
At this stage, there is no reason for Michael Jackson fans to panic-buy Funko Pops because of bankruptcy rumours.
Funko’s latest results don’t indicate that the company is simply disappearing overnight. In fact, the second quarter produced considerably better results than the same period in 2025.
But the company’s debt and previous financial difficulties are real, and its future remains something worth watching.
For Michael Jackson collectors, that could mean one simple thing:
If you already have Michael Jackson Funko Pops in your collection, perhaps this isn’t the moment to get rid of them.
You may not be holding a future fortune.
You may simply be holding a piece of Michael Jackson merchandise that you love.
And sometimes, that’s the best reason to keep a collectible anyway.
MJVibe Collector’s Note
Funko’s financial situation has generated speculation online, including claims that the company could go bankrupt during 2026. There is currently no confirmed announcement that Funko is filing for bankruptcy. Funko’s latest financial results show both significant financial challenges and signs of improvement.
Michael Jackson Funko Pops should therefore not be viewed as guaranteed investments. Their future value cannot be predicted, and fans should collect them because they enjoy owning them rather than solely because they might become rare.
For now, however, the King of Pop remains part of the Funko family — and the latest Bad Tour release proves that the Michael Jackson collection is still alive.
