Posted in: Comics, Comics Publishers, Current News, Yen Press | Tagged: diamond, Diamond UK

Financial Details Of Diamond Comic Distributors (UK), Revealed

The financial details of Diamond Comic Distributors (UK), revealed during bankruptcy filings, including profits, loss and company assets.

Diamond Comic Distributors, in the light of its declaration of Chapter 11 bankruptcy, will have its assets auctioned off in March at the offices of Raymond James in New York. Among the assets – and one that there is a stalking horse bid for from Alliance Distribution – is Diamond Comic Distributors (UK). Originally founded by Mike Lake, Nick Landau, and Mike Luckman in 1978 as Titan Distributors, it was sold to Diamond decades later as the distributor gained a monopoly position in the direct market and was renamed Diamond UK. And, in the documentation, we get to see some of its financial details. Such as the following summaries;

• Diamond Comic Distributors (UK) specializes in the distribution of comic books, graphic novels, science fiction books, magazines, periodicals, collectable statues and action figures, toys, games, trading cards and apparel. These products are sourced from a variety of suppliers, including the principal comic publishers in both the UK and the US, such as Marvel, Image, Dark Horse, DC, Dynamite, and Kodansha and UK publishers, such as Titan Books, Titan Comics and Rebellion Publishing.
• The collectible action figures, statues and toys are supplied by such distributors as Hasbro, McFarlane and Funko.
• The Company's customers are based in the UK, Europe and other territories such as Australia and the Middle East. In the UK, there are approximately 400 accounts, including specialist comic shops, toy shops and book stores (such as Waterstones), together with online sellers such as Amazon.
• Goods supplied to the specialist comic shops are on the basis of "firm sale" whereas the book stores have some limited entitlement to return products not sold, within a certain timeline.
• The business operates from a single warehouse and distribution center in Runcorn, Cheshire which is located between Liverpool and Manchester (in the north west of England). The Company employees 62 members of staff which includes warehouse operatives and office workers who deal with purchasing, inventory control, marketing, customer service, accounting and finance, and HR.

As of December 31, 2024, Diamond UK reported its current assets at just over £10 million with just over £4 million in liabilities, giving net assets at over £6.3 million. Compared to the same time last year, when almost £9 million against £3.3 million left £5.5 million, this adds almost a million pounds to its worth.

Total sales for 2024, after returns, were over £21 million. Total turnover in 2022 was almost £23 million, with a gross profit of over £3 million but a net loss of £182,000. 2023 saw total turnover drop to £21 million, with a gross profit still over £3 million, albeit slightly reduced, but turned that into a net profit of £108,000 in 2023. Those are the kinds of margins on which they operate.

The financial statements also reveal that Diamond UK has different financial agreements with DC Comics, Yen Press, and Kodansha than with other publishers. In these agreements, Diamond is paid on an agency fee system rather than as a direct percentage of revenue. However, as we previously reported, that was challenged last year.

It is notable that, while Diamond Comic Distributors had to enter Chapter 11 bankruptcy, Diamond UK remains a profitable and growing part of the company, which may be why it is being split off as part of the Diamond sale. It has always been estimated as around 10 to 15% of the distributor's business, but with 400 stores and still distributing the vast majority of DC, Marvel, Image, Dark Horse and IDW comic books to British stores and beyond, it may be a more significant aspect of the currently downsized Diamond operation.

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