Toy firm go-goes from strength to strength

AN Oldham-based toy maker has announced a sales rise of 1.2 per cent in the first four months of this financial year against the comparable period 12 months earlier.

Character Group, owners of Toy Options at Leesbrook Mill, Lees, says that normal margin UK sales during this period increased by 18 per cent while loss-making or low-margin clearance sales decreased by more than 40 per cent.

These figures reflect the improvement in the strength of the group’s product line-up, according to a trading update statement which talks about exciting performances from in-house developed branded products.

Go Go Pets, which were renamed Zhu Zhu Pets at the start of this month, were the group’s star performers from the distributed range. Sales outperformed market expectations creating a huge shortage at Christmas.

The statement added: “Following several years of difficult trading, and a tough retail environment, Character Group, in line with our peers and most major retailers, takes a conservative view on its sales and stock levels and, as a direct result, ended the period with a low-stockholding which has benefited the group’s cash flow.”

It concludes: “The group has maintained a strong and healthy balance sheet, remains cash positive and currently has no bank borrowings and substantial unused working capital facilities available.

“We continue to be optimistic that, by not being financially constrained, the business is in a strong position to grow its sales, both in the UK and overseas, and build on its market share.”