8th Sep 2021 10:00
(Alliance News) - Frontier Developments PLC on Wednesday reported a rise in profit and revenue for its recently ended financial year despite not releasing a major new game, leading to a confident outlook for growth covering two years.
For the year ended May 31, the Cambridge-based video game developer posted a pretax profit of GBP19.2 million, up 19% from GBP16.2 million the year before. This was on revenue which grew 19% year-on-year to GBP90.7 million from GBP76.1 million, driven a strong contribution from all four of the group's existing game franchises.
During the period, Frontier released the next expansion to Elite: Dangerous, known as Odyssey, while Planet Coaster expanded its audience through its release on Xbox Series X, Xbox One, PlayStation 4 and PlayStation 5.
Jurassic World Evolution, meanwhile, launched on Nintendo Switch. Also driving revenue growth was the first contribution from Frontier Foundry, the group's label for third part publishing.
Six titles have been signed for future release, with at least three in the current financial year, including FAR: Changing Tides and Warhammer 40,000: Chaos Gate - Daemonhunters.
Looking ahead, based on the ongoing performance of its existing portfolio, Frontier expects revenue for the 2022 financial year to come between GBP130 million and GBP150 million, reflecting a rise of 43% to 65% from 2021's figure.
Even further out, revenue for the 2023 financial year is expected to range from GBP160 million to GBP180 million. In addition, for that period, Frontier expects to release its Warhammer Age of Sigmar real-time strategy game, licenced by Games Workshop Group PLC.
"Our team did a terrific job during FY21 - creating new content and delivering new platforms for our existing games to support and grow our passionate player communities. We were delighted to achieve record financial results in FY21 from our existing portfolio of games franchises. Our team has also been busy on our future titles, and we look forward with confidence based on our strong existing portfolio and our exciting roadmap of new releases," said Chief Executive David Braben.
Shares in Frontier Developments were up 1.7% at 2,700.00 pence on Wednesday in London.
By Dayo Laniyan; [email protected]
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