A company that employs 10 people at £25k a year, then double that for business costs then that £1/2 million to clear. A rifle that can make £100 on each then thats 5,000 rifles to sell against all the competition out there. About a hundred a week, every week year on year.
On a £200 rifle then Vat is 20%, shop mark up 20% (if that), production costs, doesn't allow for much left.
Its business so if they can find an advantage and market I'm sure gun makers are trying.
Theoben went to the wall for whatever reason, probably because they couldn't sell the quantity of their premium product against the competition. Not exactly a huge operation either, just one medium business unit.