Model-maker Hornby pegs hopes on `Quantum of Solace` racing set

01-Apr-2008 • Collecting

Model-maker Hornby warned today that product shipment delays will knock its profits below market expectations this year, but it still has high hopes for a James Bond-branded Scalextric set later in the year - reports The Guardian.

Shares in the company fell 10.2p, or 5%, to 192p on the warning. Hornby blamed delays in product shipments to its European subsidiaries from its manufacturing partners in the far east, which led to a shortfall in sales in Europe. This will cut profits to between Â£8.75m and Â£9m in the year to March 31, compared with previous forecasts of around Â£9.3m. The new lower projections are still higher than last year's profits of Â£7.7m.

The model maker now expects sales of Â£56m for the year, 19% ahead of last year.

Hornby has also seen some weakening in demand in the UK in recent weeks.

The group remains upbeat about the future, despite the worsening economic outlook. It expects strong sales from the Scalextric slot-car set branded for the next James Bond movie, Quantum of Solace, to be launched in the autumn.

It is confident that the set, which will include a model of Bond's silver Aston Martin DBS, can repeat the popularity of its Lewis Hamilton products last year.