Hornby to beat expectations and pay divi

23rd Apr 2010 07:26

Scalextrix maker Hornby is to return to paying dividends after the second half of the year finished stronger than expected."The group will be reporting profits in excess of market expectations. This is primarily due to a significant reduction in inventories, purchased at more favourable dollar/sterling exchange rates in previous years," it said. Cash generation has also been strong, it added, with debt levels down from £11.8m to £3.2m at 31 March 2010."In light of this performance, the Board intends to recommend a return to payment of a dividend for the year ended 31 March 2010.," it said."For the new financial year there remains some uncertainty in respect of consumer confidence but order intake has continued strongly across all our brands," it added.