Hornby sees sales move ahead

Model train maker Hornby said today it was on the right track after sales continued their recovery over Christmas and Airfix joined the business.

The group, which also owns Scalextric, reported weak UK sales in the first half of its financial year, but Hornby said improved demand over the autumn continued into the all-important pre-Christmas period.

Hornby told investors that it was likely to meet market expectations for the full-year, but warned that the strength of sterling against the euro meant it would take a £700,000 (€1.05m) charge at the profits bottom-line.

The company has increased its exposure to continental Europe in recent years, following the acquisition of businesses in Spain, Italy, France and Germany.

Growth in the European subsidiaries was said to be strong in the second half, while Hornby said the re-launch and future development of the Airfix and Humbrol brands it acquired from administrators in November was well under way.