Airfix helps Hornby to fly higher
Toy firm Hornby has signalled progress in its attempts to recover from the woes caused by poor Olympics merchandise sales and supply chain problems.
While conditions are expected to remain tough for its model railways and Scalextric arms this year, Hornby said sales of more affordable Corgi and Airfix brands have held up well. It added that the Chinese supplier at the centre of supply chain disruption last year was now expected to contribute to less than 15% of total production this year, down from 35% last year and 75% at its peak.
Remaining Olympics merchandise has also been discounted and sold after disappointing demand for London 2012 goods, contributing to a £541,000 loss in the six months to September.