Hornby has announced they posted higher profit margins over the Christmas period keeping trading on track for 2020.
The model train manufacturer said their investor Phoenix Fund UK has agreed to increase Hornby’s credit facility from £3m to £9m.
The company said the funds will be used to “capitalise on the positive momentum in the business and increase investment in technology and products for the coming year.”
Hornby narrowed their annual losses in the year to September 2019 and revenues increased by 15% to £15.9m.
For the year the model manufacturer trimmed their pre-tax losses to £2.5m, down £3.2m from the previous year.
Hornby’s chief executive Lyndon Davies said, “Revenue is growing, losses are narrowing and we are shifting gears in our journey back to profitability and beyond.”
On Monday afternoon shares jumped 6.8% to 40.6p.
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