28th Apr 2020 10:02
(Alliance News) - Games Workshop Group PLC on Tuesday said it has commenced a phased re-opening of its business, though it still expects lower profits for its current financial year.
The wargames manufacturer and retailer said that, following the suspension of all its operations in March, it will start making trade sales in Europe and North America this week and online orders from May 1.
Games Workshop noted that while majority of its stores remain closed, a small number have re-opened in China, the Netherlands and Scandinavia. It added that it will continue to re-open stores across the world as local restrictions are lifted.
The company said that while trading for the nine months to the end of February was in line with expectations, the closure of its operations globally has resulted in it lowering its annual earnings expectations. Pretax profit for its financial year to the end of May is expected to be no less than GBP70 million. For comparison, pretax profit for financial 2019 was GBP81.3 million, so financial 2020 profit is expected to be down as much as 14%.
Separately, Games Workshop said it had secured a GBP25 million overdraft facility with Banco Santander SA. The facility is for a six month period and has the potential to be extended for a further six months. The extra cash will be used to meet operational cash flow requirements, the company said.
Shares in the FTSE 250-listed company were trading 11% higher at 5,885.00 pence each on Tuesday morning in London.
By Ife Taiwo; [email protected]
Copyright 2020 Alliance News Limited. All Rights Reserved.
Related Shares:
Games Workshop