Wed, 26th Jul 2017
Shares in Games Workshop, the owner of the Warhammer franchise and the specialist in miniature wawrgames, saw its shares increase by almost ten percent, after the company reported that it had seen pre-tax profits more than double, and revenues increase by one third. Earnings per share have also more than doubled.
The company receives royalties on the use of the Warhammer brand, and last year royalties increased to £7.5 million.
Three quarters of the company’s sales are made overseas, and this year the company has benefited from the weaker pound, as it has increased its focus on global trade, and opened more locations in Asia.
One in five of the company’s sales is made online through the company’s web store, but company still makes the majority of its sales at bricks and mortar stores. The company’s growing sales volume has posed some challenges for the supply chain, but their factory and warehouse staff have met the challenge without fuss, and they have put in an agile resource plan which will allow them to meet future volume challenges more easily.
Kevin Rountree, the CEO of Games Workshop, said that the company has had a fun and exciting year and that they have made a lot of progress towards their latest strategic initiatives. He believes that the company’s results prove that their business is in good shape and that the hobby of miniature wargaming is still strong. He said that the board believes that the prospects for the company this year are good.