Character is intact

TOY distributor The Character Group plc, which has its main trading subsidiary Toy Options Ltd in Lees — has issued a statement to ease speculation over the company’s trading position.

The group, designers, developers and international distributors of toys, games and gifts, has issued the group trading update in light of what it describes as “the various reports in the press regarding the current economic difficulties”.

It states that the directors “consider it appropriate” to comment on the group’s trading for the financial year ended August 31, 2011.

While it is still too soon after the year-end to provide definitive financial information, the statement adds, the directors believe that results for the financial year just ended will meet current market expectations.

“It is far too early to reach realistic conclusions for the new current financial year which started on September 1, 2011. The directors are very pleased with the level of distribution of the group’s brands for this Christmas and the indicated support across our major brands for the spring,” chairman Richard King told Chronicle Business.

He added: “The directors believe that for this Christmas season it is prudent to be conservative and to reduce the company’s risk profile by tighter than usual stock control.

“In taking this approach, it is likely that the company may not maximise its potential sales but would protect its profitability and cash flow.”

Having started this new financial year in a positive manner, the board expects that the group’s results for this new financial year will at least match those for the year just ended.

It is anticipated that the group will announce its preliminary results on Tuesday, November 29.