TOY importer and wholesaler H Grossman has reported a bumper set of financial results thanks to the loom brand craze.
The Rutherglen business cited the trend, which saw children weave jewellery and other creations from colourful stretchy bands, as a major factor in its turnover more than doubling from £8.02 million to £19.37m in 2014.
H Grossman's loom twisters range, starting at 99p and going up to £35 for a gift box, was designed in Scotland and manufactured in China.
Annual accounts for the business show that in the UK revenue went from £7.8m to £18.5m while in the rest of the world there was an increase from £196,382 to £848,654.
That rise in sales helped the firm post £1.75m in pre-tax profit, up from £97,287.
Earlier this year H Grossman was sold for an undisclosed sum in a management buy-in.
Mark Walls and Daniel McLoughlin, both formerly of toy manufacturer HTI, took a majority stake in the Scottish company and its Hong Kong based sister operation.
H Grossman was founded in 1946 and was jointly owned by husband and wife Martin and Elinor Grossman.
Mr Grossman is the son of the founders but said at the time of the sale in June his own children had no interest in coming in to the business.
Writing in the accounts Mr Grossman said: “2014 was an exceptional year for the company due to the success of Loom bands – one of the biggest toy crazes seen in recent years.”
The accounts show that staff costs increased from £836,295 to £901,917 with the average monthly employee numbers up by one to 34.
Directors’ emoluments increased from £191,199 to £215,930 with the high paid individual seeing theirs increase from £72,007 to £90,344.
The balance sheet recorded more than £3.6m worth of stock held at the end of the year along with almost £2.4m of net cash.
The accounts, which have recently been lodged at Companies House, state that prior to the management buy-in the company’s property on Ashton Road in Rutherglen was sold to H Grossman Property for £1.67m.
They also note that Mr Grossman remains a shareholder in Ozbozz, which is majority owned by Mr Walls and the ultimate parent of H Grossman.
H Grossman started out supplying shoe laces, stockings and shoe polish to shops.
It now distributes toys in the UK and Ireland and also has clients in Norway, Belgium, Ukraine, Russia, South Africa, Mexico, Australia, South America and the Middle East.
It holds licences for brands such as How to Train Your Dragon, Hello Kitty, Moshi Monsters and Despicable Me.
In the UK products are stocked in supermarkets and department stores as well as the likes of Amazon, The Entertainer, Toymaster and Smyths.
In the accounts Mr Grossman added: “The company has continued to focus on building a strong client base and as a result has succeeded in maintaining market share in its core products in 2014.
“The company has always been at the forefront of toy innovation and is always looking for the latest toy trends.
"The company’s large and diverse customer base allows it to capitalise on these trends as they arise.”
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