13:57 h / 2020/12/10
The group reports a £5m profit despite pandemic challenges and anticipates growth in the coming year
The Character Group has published its results for the year ending 31st August 2020. Despite the challenges of the pandemic, the group traded satisfactorily, reporting a profit before tax for the full year of £5m on turnover of £105m.
In the financial statement issued today, it was acknowledged that the strong performance originally forecast at this time last year was not fully realised due to the lockdowns, as well as restrictions that subsequently impacted the global economy since March 2020. It was also noted that the performance of the group since the end of the first lockdown in the UK, and in the run up to Christmas, has been very strong. As a consequence, the group says the anticipated strengthening and growth of the business was not lost but deferred, and will be realised in the current financial year.
Having maintained operations throughout the year to preserve the business-critical functions of the group, and to fulfil demand for its brands and products over the lockdown period and beyond, the business is in a strong position to move forward across all the markets in which it operates.
On the topic of Brexit, the group’s 2018 acquisition of Proxy ensured the uninterrupted continuity of the group’s UK operations and its cross-border business with the EU. The mainland UK business will be unaffected by the changes following Brexit, as the imports of its inventories are from the Far East.
Fresh collections for the trading period included new distributor lines, as well as some key brands developed in house. Among the highlights are Gotta Go Flamingo, which joined the Little Live Pets range, Squeakee the Balloon Dog and Laser Battle Hunters. Also strong were the Peppa Pig collection, which saw a new eco-friendly wooden option join the line-up, Pokémon and Heroes of Goo Jitzu. The launch of the in-house developed InstaGlam into the Shimmer ‘n’ Sparkle collection also had a beneficial effect on the company’s Arts & Crafts category.