$TNIE (+0,05%) is for me an example of a company whose model is very clearly understandable:
The Toniebox serves as a child-friendly, robust audio player. It works via small figures - the "Tonies" - that contain a code when placed on the box, which is used to load content from the cloud. This makes operation extremely intuitive.
On average, a single box leads to around 20 Tonies being purchased in the first 4-5 years. In addition, there are accessories such as headphones, carrying bags, charging stations and merchandising. Overall, this creates a recurring, physical ecosystem that can be easily scaled and whose sales structure is stable in the long term.
Product development and expansion of the ecosystem
The new Toniebox 2 expands this system in a meaningful way: more memory, longer battery life, USB-C, night light, sleep timer and support for the new interactive Tonieplay titles. It remains compatible with all existing Tonies and at the same time enables additional usage scenarios.
New product lines such as Clever Pocket Tonies (for pre-school children, focus on learning), Book Pocket Tonies (complete audio books) and Nightlight Tonies also expand the target group and increase the customer lifetime value.
Operational development and growth
The last few years have been characterized by strong growth. In 2024, sales growth amounted to +34%, with a significant improvement in the EBITDA margin from 4.0% to 7.5%. The North America region developed particularly dynamically (+50% to € 210 million), while DACH continued to grow profitably (+11%). The rest of the world - including the United Kingdom, France, Australia and New Zealand - also recorded strong growth.
This trend continued in Q3 2025:
- Sales growth +52 % year-on-year (+33 % after 9M)
- Regions: North America +36 %, DACH +15.6 %, rest of the world +80 %
- Segments: Boxes +24.7 %, Tonies +36 %, Accessories & Digital +36 %
- Forecast for 2025 confirmed: +25% Group sales, +30% North America
- EBITDA margin expected to be between 6.5% and 8.5
Margins, new suppliers and capacity
An important point: gross margins have been improving continuously since 2022. This is not only due to economies of scale, but above all to the expansion of the supply chain.
Historically, there was only one producer for Tonies (in Tunisia) and one for boxes (in China). In the meantime
- three additional partners for Tonies
- and another partner for Tonieboxes
- have been established.
This ensures better purchasing conditions, more production capacity for future growth and less dependence on individual locations.
Strategy and opportunities
In the DACH region, the focus is now more on profitability - the market is well penetrated (almost every second child of target age owns a box). The main focus here is on more efficient distribution, portfolio optimization and improved unit economics.
North America, on the other hand, remains the most important growth driver: more retail partners, a greater presence at major retailers (e.g. Target, Walmart, Kohl's) and sensibly placed starter bundles.
In the rest of the world, Tonies is increasingly focusing on transferring the profitable model logic from DACH and North America.
Long-term license agreements with Disney, Paramount, Warner Bros, Hasbro, Mattel and NBC Universal as well as our own "Tonies Originals" ensure a secure supply of content and a broad portfolio.
Conclusion
Tonies combines an easy-to-understand, physical-digital business model with sustained strong growth, increasing internationalization and continuous margin improvement. The improvements in the supply chain, new products and the growing proportion of direct sales channels are also strengthening the prospects for profitability. If they continue on their current growth path, I still see plenty of room for improvement.
Let's see what happens.
