Hobby specialist Hornby beginning to see the light at the end of the tunnel after enduring several years under poor management
Hobby specialist Hornby is beginning to see the light at the end of the tunnel after enduring several years under poor management.
The model train company and creator of Airfix models, which dates back to 1901, saw its revenue increase by 15 per cent to £15.9m in the six months to September.
Full steam ahead: Hornby is focused on pushing out new products, such as a Harry Potter train kit
As Hornby focused on pushing out new products, such as a Harry Potter train kit and an Airfix Hellcat fighter jet, its loss before tax narrowed to £2.4m from £3m during the same period last year.
But the company is facing its eighth consecutive year in the red, and investment in new products pushed debt up from £1.7m to £8.4m. Hornby is hoping most of this should be paid off over the coming months following Christmas trading.
Lyndon Davies, Hornby’s chief executive, took over the firm in 2017. An industry veteran who began working in a toy factory in his home town of Swansea at the age of 16, Davies was approached by Hornby’s desperate shareholders who hoped he could turn the company around.
He said: ‘I took over something that wasn’t good. I was given a hospital pass. I came into the company, I had to restructure the company. We had to do a lot of work first.’
Shares rose 4.6 per cent, or 1.5p, to 34p.