Coronavirus impact: 29 Oct - red flag report doesn’t bode well, but it’s not all gloom
The latest red flag report from a leading business recovery group featured here suggests a tidal wave of insolvencies could be looming. Thankfully, a leading hobby products group also covered here appears to be out of the recovery room, with a first profit in many years. Read on for this and other views.
Hornby: moves into profitabilityInterim results from Hornby (LON:HRN), the hobby products group controlled by Phoenix Asset Management, reported a first (albeit small) profit in many years. Group revenue for the six months ending 30 Sept 2020 rose 33% to £21.1m with a statutory profit before tax of £17,000, compared to the £2.5m loss of the comparable period. Hornby Group has some terrific brands, including Airfix, Corgi, Hornby, Humbrol, Jouef and Scalextrix, with CEO Lyndon Davies of the opinion that some of the Group’s past difficulties been due to lack of understanding of where each brand has its unique positioning. However, it’s…