Model train company Hornby has reported a significant turnaround in its financial performance, thanks to a boost in sales during the festive period. After posting a £5.1 million loss in the six months to September 2023, Hornby entered a consultancy arrangement with billionaire Mike Ashley, which has helped stabilize the company. Sales increased by 7% in the quarter ending December 31, with a notable 23% revenue growth in December alone. Chief Executive Olly Raeburn highlighted the company's success in attracting new customers, particularly during Black Friday, and emphasized the importance of reducing inventory levels and focusing on core brands. This positive performance has led to an 8% increase in overall group sales for the financial year to date, with gross profits up by 10%.
BBQ: How can strategic partnerships and effective inventory management contribute to a company's financial turnaround?
