Jan 14, 2025, 12:00 PM
Jan 14, 2025, 10:54 AM

Games Workshop triumphs as it joins the FTSE 100

Highlights
  • Games Workshop reported a 33% increase in interim profits, totaling £126.8 million for the six months ending December 1.
  • The company joined the FTSE 100 index on December 23, 2024, marking a significant milestone.
  • Their success is attributed to strong sales, particularly boosted by new media adaptations and licensing agreements.
Story

In the UK, Games Workshop achieved its best half-year performance, announcing a significant increase in profits and revenues for the period ending December 1, 2024. Interim profits soared by one-third, reaching £126.8 million, while revenue approached £300 million, marking a 20% rise compared to the same period last year. This impressive performance coincided with the company's recent entrance into the FTSE 100 index, joining top firms like Shell, HSBC, and Sainsbury's on December 23, 2024. The company's growth has been significantly influenced by the increasing popularity of its video games and media adaptations, particularly linked to its Warhammer franchise. The launch of two new video game adaptations set in the Warhammer 40,000 universe contributed to a remarkable 140% surge in licensing revenue. Additionally, Games Workshop secured a licensing deal with Amazon to develop film and television adaptations of its intellectual property. While specific financial details of this deal were not disclosed, the anticipation surrounding these new media ventures is believed to have driven customer sales, resulting in a 12% increase in core sales during the same period. Despite external economic pressures such as rising living wages and employment taxes in the UK, which many businesses are grappling with, Games Workshop expressed confidence that its financial performance would remain largely unaffected in the upcoming fiscal year. The company pointed out that it already compensates its UK employees close to the new minimum wage levels. Facing challenges like constant cost inflation, Games Workshop's chief executive, Kevin Rowntree, stated the company's commitment to actively managing these factors as they arise. He expressed gratitude to the team, customers, and stakeholders for their support, crediting the excitement around new product launches for their successful performance this past half-year.

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