Character Group PLC (LON:CCT) blamed the demise of US retail giant Toys R Us for another profit warning.
All of the market had been affected by Toys R Us going into administration said the Teletubbies, Peppa Pig and ScoobyDoo toys maker.
READ: Toy maker Character Group ousts CFO Mark Dowding amid weak trading
International customers, in particular, are taking a very conservative approach going forward and the company's performance in the year to August 2018 will be significantly below current market estimates as a consequence.
The warning comes just a month after the troubled toy maker ousted its head of finance, saying it had lost confidence in Mark Dowding.
Character added it expected the trading downturn to be temporary and was excited by its strongest new product line-up ever.
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Results for the year to August just ended were in line with expectations, with underlying profits to meet current market estimates.
Shares fell 16% to 374p.