The Toy Story movies are — according to some film buffs — the best kids movies ever made. So hopes are high among toy marketers for the fourth edition which is due out next year.

Funtastic (ASX:FUN) has landed a deal to distribute those toys in Australia and New Zealand ahead of the movie’s release in June 2019.

Shareholders obviously aren’t Pixar fans though. Funtastic’s shares fell 16 per cent to 16c this morning after the announcement.

Funtastic has consistently appeared been among the losers on Stockhead’s daily winners and loser wrap this year.

The company, whose ticker puts the FUN into the ASX, also had a hand in the Toy Story 3 product distribution in 2010.

“The decision by Thinkway to appoint Funtastic to market and merchandise Toy Story 4 is an endorsement that Funtastic has excellent capabilities in this area,” said Funtastic CEO Steven Leighton.

“The company has worked tirelessly over the past 12 months to dramatically improve its financial performance and this decision is yet another step in Funtastic growing its credibility in the wider toy and licensing market.”

They believe the deal will generate revenues of about $25 million during the 2019 and 2020 financial years, and generate EBITDA margins of 15-20 per cent.

Funtastic doesn’t issue quarterly reports but its last accounts, the six months to the end of January 2018, showed that revenue was down by 31 per cent. Thanks to squeezing costs and higher margins it lifted profit by 900 per cent.