Interim Results - 6 Months to 2 October 1999

Hornby PLC
17 November 1999

                                  HORNBY PLC
             Interim Results for the six months to 2 October 1999


Chairman's Review

The results for the six months to 2 October 1999 were disappointing.  Turnover
was  down  by 11% at £8.4m compared to last year's £9.4m.  Profits before  tax
were down 40% at £253,000 compared to last year's £425,000.

The  reduced  profits were directly attributable to lower  sales  in  the  UK.
Sales  margins were maintained at a similar level to last year.   The  Company
has  achieved  significant  overhead savings mainly  due  to  the  outsourcing
programme  which  is  on schedule and will be completed  by  the  end  of  the
financial year.

The  year  actually began well.  Sales from January to March 1999  (the  final
quarter  of  the Company's previous financial year) were 10% better  than  the
same  period in 1998 and sales from April to June 1999 (the first  quarter  of
this  financial  year) were 12% ahead of the same period last  year.   However
there  was a marked slow down in the summer months, with sales in the July  to
September quarter below the seasonal norm as, it is believed, retailers  began
to  manage  their supply chain to ensure that their stocks were adequate,  but
not excessive, in preparation for Christmas.

Export sales were slightly ahead of last year.  Strong growth in North America
compensated  for  lower sales in parts of Europe which were  affected  by  the
strength of sterling.

Hornby  locomotives for the enthusiast and collector and Scalextric  sets  are
currently  selling well.  Thomas is well ahead of last year as the  range  has
been  revised to include new clockwork sets.  The market for slot cars remains
very  competitive and the strength of sterling continues to affect our ability
to  sell  Scalextric  cars  against strong European competition.   Demand  for
railway sets and Micro Scalextric has been slow.

A  series of new product ranges are planned to be launched within the next few
months.  In addition,  a  range of battery operated Noddy sets,  aimed  at the
pre-school market, was launched in September.  It  has  been well received and
first signs are that it is selling successfully.

Junior  versions of Scalextric and Hornby Railways are planned for the  second
half  of  next year.  These are intended to rejuvenate interest in the  brands
with  the  five to ten year age group and to bridge the gap between  our  pre-
school products and the standard, traditional Scalextric and Hornby ranges.


Dividends

The  Board announces an interim dividend maintained at 2.0p per ordinary share
payable  on  28 January 2000 for those shareholders on the register  as  at  6
January 2000.


Outlook

Orders  have been at a lower level throughout the year as our retail customers
have  managed their supply chains to more closely reflect the actual level  of
consumer demand, which means shorter lead times between an order being  placed
and  delivered.   Often  an  order is for immediate delivery  which  makes  it
difficult  to  project  forward, particularly in the  critical  period  before
Christmas.

Trading so far in the second half is slightly down on last year, however,  the
results  for  the full year will depend on the level of Christmas trading  and
our sales in the first quarter of 2000.  The new products available in January
should  enhance sales in the first quarter of 2000 (the final quarter  of  the
current  financial year) and together with the new product ranges planned  for
later in the year should lay a sound foundation for 2000 and beyond.


Peter Newey
Chairman
17 November 1999



CONSOLIDATED PROFIT AND LOSS ACCOUNT
FOR THE SIX MONTHS ENDED 2 OCTOBER 1999


                               Six months    Six months    Year ended
                             to 2 October  to 3 October      31 March
                                     1999          1998          1999
                               (unaudited)   (unaudited)     (audited)

                                    £'000         £'000         £'000

TURNOVER                            8,417         9,438        21,233

Operating costs                    (8,168)       (9,026)      (20,104)
                                  _______       _______       _______
OPERATING PROFIT                      249           412         1,129

Net interest receivable                 4            13            12
                                  _______       _______       _______
PROFIT ON ORDINARY ACTIVITIES
 BEFORE TAXATION                      253           425         1,141
Tax on profit on ordinary 
 activities                           (77)         (133)         (315)
                                  _______       _______       _______
PROFIT FOR THE PERIOD                 176           292           826
Dividends                            (167)         (167)         (585)
                                  _______       _______       _______
RETAINED PROFIT FOR THE PERIOD          9           125           241
                                  =======       =======       =======

EARNINGS PER ORDINARY SHARE
Basic                                2.11p         3.49p         9.88p
Diluted                              2.11p         3.49p         9.88p
Dividend per ordinary share           2.0p          2.0p          7.0p


All the activities of the Group are continuing.


The  Group  has no recognised gains or losses other than those in the  profits
above and therefore no separate statement of total recognised gains and losses
has been presented.



CONSOLIDATED BALANCE SHEET
AS AT 2 OCTOBER 1999


                                2 October     3 October      31 March
                                     1999          1998          1999
                               (unaudited)   (unaudited)     (audited)

                                    £'000         £'000         £'000

FIXED ASSETS
Tangible assets                     4,805         5,120         4,815
                                  _______       _______       _______

CURRENT ASSETS
Stocks                              7,488         7,172         5,655
Debtors                             6,971         8,094         4,142
Cash at bank and in hand              332           105         3,772
                                  _______       _______       _______
                                   14,791        15,371        13,569

CREDITORS:Amounts falling due
 within one year
Borrowings                         (1,000)       (1,500)            -
Other creditors                    (4,432)       (5,124)       (4,294)
                                  _______       _______       _______
NET CURRENT ASSETS                  9,359         8,747         9,275
                                  _______       _______       _______

TOTAL ASSETS LESS
CURRENT LIABILITIES                14,164        13,867        14,090

CREDITORS:Amounts falling due
 after more than one year             (18)          (56)          (20)

PROVISIONS FOR LIABILITIES
AND CHARGES                          (866)         (656)         (799)
                                  _______       _______       _______
NET ASSETS                         13,280        13,155        13,271
                                  =======       =======       =======

CAPITAL AND RESERVES
Share capital and reserves          7,465         7,482         7,473
Profit and loss account             5,815         5,673         5,798
                                  _______       _______       _______
EQUITY SHAREHOLDERS' FUNDS         13,280        13,155        13,271
                                  =======       =======       =======



CONSOLIDATED CASH FLOW STATEMENT
FOR THE SIX MONTHS ENDED 2 OCTOBER 1999


                               Six months    Six months    Year ended
                             to 2 October  to 3 October      31 March
                                     1999          1998          1999
                               (unaudited)   (unaudited)     (audited)

                                    £'000         £'000         £'000

Net cash (outflow)/inflow 
 from operating activities         (3,348)       (4,153)        2,183

Returns on investments
 and servicing of finance               4            13            12
Taxation                              (42)          (42)         (693)
Capital expenditure
 - additions                         (623)         (757)       (1,099)
 - disposals                            6             2             8
Equity dividends paid                (418)         (418)         (585)
                                  _______       _______       _______
Net cash (outflow)/inflow 
 before financing                  (4,421)       (5,355)         (174)

Financing
 Decrease in debt                     (19)          (12)          (26)
                                  _______       _______       _______
Decrease in cash in the period     (4,440)       (5,367)         (200)
                                  =======       =======       =======




RECONCILIATION OF NET CASH FLOW TO MOVEMENT IN NET FUNDS


                                    £'000         £'000         £'000

Decrease in cash in the period     (4,440)       (5,367)         (200)
Cash outflow from decrease
 in lease financing                    19            12            26
                                  _______       _______       _______
Change in net funds
 resulting from cash flows         (4,421)       (5,355)         (174)
New finance leases                      -           (24)          (24)
                                  _______       _______       _______
Movement in net funds in 
 the period                        (4,421)       (5,379)         (198)
Net funds at 1 April 1999           3,698         3,896         3,896
                                  _______       _______       _______
Net (debt)/funds
 at 2 October 1999                   (723)       (1,483)        3,698
                                  =======       =======       =======



NOTES TO THE CASH FLOW STATEMENT
NET CASH FLOW FROM OPERATING ACTIVITIES

                               Six months    Six months    Year ended
                             to 2 October  to 3 October      31 March
                                     1999          1998          1999
                               (unaudited)   (unaudited)     (audited)

                                    £'000         £'000         £'000

Operating profit                      249           412         1,129
Depreciation charges                  584           663         1,375
(Profit) on sale of 
  tangible fixed assets                 -            (2)           (8)
(Increase) in stocks               (1,833)       (1,634)         (117)
(Increase) in debtors              (2,847)       (3,923)         (106)
Increase in creditors                 437           668           165
Increase/(decrease) in 
  sales returns provision              62          (337)         (255)
                                  _______       _______       _______
Net cash (outflow)/inflow from
  operating activities             (3,348)       (4,153)        2,183
                                  =======       =======       =======


GEOGRAPHICAL SEGMENT INFORMATION

                                    £'000         £'000         £'000

United Kingdom                      6,763         7,744        17,788
Rest of the world                   1,654         1,694         3,445
                                  _______       _______       _______
Group                               8,417         9,438        21,233
                                  =======       =======       =======         
                

All turnover, profit and net assets can be considered to originate in the
United Kingdom.


NOTES:

1.Basis of preparation
  The  interim  financial  information has  been  prepared  on  the  basis  of
  accounting  policies set out in the Report & Accounts  for  the  year  ended
  31  March 1999. The taxation charge for the six months ended 2 October  1999
  has  been  calculated on the basis of the estimated tax rate for the  twelve
  months ending 31 March 2000.

2.Non statutory accounts
  These  statements  do not constitute statutory financial  statements  within
  the  meaning  of  Section  240 of the Companies Act  1985.  The  comparative
  figures  for the year ended 31 March 1999 are an abridged statement  of  the
  full  financial statements for that period which have been delivered to  the
  Registrar  of  Companies  and  on which the  auditors  made  an  unqualified
  report.   No financial statements will be filed for the six months  ended  2
  October 1999.

3.Earnings per share
  The  Company  has  adopted the provisions of  Financial  Reporting  Standard
  no.14 on earnings per share. The  calculation of earnings per ordinary share
  is based  on  the  profits  after  taxation for the  period of £176,000 (six
  months ended 3 October 1998 - £291,687)  and  the weighted average number of
  ordinary shares  in  issue  during  the  period  of  8,357,320  (six  months
  ended  3  October 1998  -  8,357,320).   The  diluted  earnings per share is
  the  same  as  the  basic  earnings  per  share  as the performance criteria
  required to exercise  options  have not been achieved in the period.

4.Sales returns provisions were deducted from trade debtors in previous years.
  The  comparative  figures  have  been  restated  to  disclose the provisions
  separately in accordance with FRS 12.

5.Copies  of this statement will be sent to all shareholders and are available
  from the Company's registered office.




For further information contact:

Peter Newey, Chairman         Hornby PLC                0171-499 2041
Jonathan Shillington          City Profile Group        0171-726 8588