Hornby Reports 7% Sales Increase for Christmas Quarter

Hornby PLC has reported impressive sales growth for its third quarter, driven by a successful Christmas trading period and robust Black Friday promotions. Group sales increased by 7% year-on-year, with December alone seeing a 23% rise in revenue and a 38% increase in gross profits. Nearly 50% of Black Friday transactions were from first-time customers, reflecting Hornby's effective customer acquisition strategy. The company continues to improve its financial health by reducing net debt from £18.8 million to £18.2 million and cutting inventory levels by 23%. CEO Olly Raeburn confirmed that the company's turnaround efforts are on track, emphasizing growth in revenue, margins, and gross profits despite a challenging retail environment. Overall, Hornby's direct-to-consumer sales climbed 10%, contributing to an increase in profit margins from 44% to 48%.