Shares of Hornby Plc (LON: HRN) today surged 28.8% after the company, which makes model trains, announced that its revenues had surged 33% in the six months ended September 30 as the coronavirus lockdown measures favoured its business.
The firm’s revenues rose 33% to £21 million as compared to last year’s £2.5 million loss before tax, which saw the company make a small £17,000 profit in H1 2020.
The firm, which owns the Airfix, Meccano, Corgi cars and Scalextric racing kits brands said it had benefitted from families spending more time at home and is looking forward to the Christmas season with gusto.
Hornby ended the six-month period with £4 million cash at the bank as compared to its £8.4 million net debt during a similar period last year.
Lyndon Davies, Hornby’s CEO said: “We have observed hitherto successful and profitable companies worldwide crumbling under the pressure [of the pandemic], with losses, closures and tumbling share values. Yet we have not only weathered this shattering storm, but our sales have also increased by 33% in the first half of 2020, moving Hornby back into profitability.
Hornby share price
Hornby shares today surged 28.8% to trade at 43.8p having risen from Wednesday’s closing price of 34p.