Shares in Frontier Developments PLC (AIM:FDEV) rallied today as interim results contained no more shocks after last week’s profits warning which knocked 40% off the group’s market value.
Management reiterated the guidance from last week for revenue in the 2023 fiscal year of £100mln to £114mln, which would deliver an IFRS operating profit in the range of £2mln to £10mln.
Frontier, the video games group behind games including Warhammer 40,000L Chaos Gate-Daemonhunters and F1 Manager 2022, said revenues rose 16% to £57.1mln in the six months to 30 November generating an operating profit of £6.9mln compared to a loss of £1.3mln in the previous year.
“The outturn over the five remaining months of this financial year is dependent on a number of variables, including the timing and contribution from the scheduled Foundry releases and the macro-economic environment” Frontier said in a statement.
The group also said it believed it is “still possible to surpass last year's record revenue performance of £114mln, particularly if one of the upcoming Foundry titles is a conspicuous success.”
Frontier Developments shares rose 2.5% following the update to 482.35p.