Games Workshop Group PLC (LSE:GAW) shares marauded 12% higher to a new all-time high after the company behind Warhammer published a short trading update, showing that growth slowed less than expected from a strong performance last year.
The FTSE 100 group also announced a 100p dividend, taking the year-to-date total to 325p, up from 185p a year earlier.
Profits for the six months to 30 November are expected to climb to "at least £135 million", up around 6.5% from £126.8 million for last year.
Core revenue, which includes product sales through its stores and online channels, is expected to come in at not less than £310 million – up from £269.4 million a year ago.
However, income from licensing, which includes payments from partners for the use of its intellectual property such as the Space Marine video games, has halved. It is expected to total no less than £16 million, down from £30.1 million.
Games Workshop is due to release its full results for the half year in January 2026.
House broker Peel Hunt said the 15% rise in core revenue and at least 6% growth in PBT is "an impressive performance in our view, given the tough comps", as licence revenue last year was unusually strong.
The dividend "reinforces the strength of cash flow".
We are increasing our FY PBT forecast 9% to £240m.
"The company has delivered a strong performance against a tough comp and is well set for another good year. We increase our target price from 16,500p to 18,000p," analysts wrote.
** UPDATE: Adds price details, broker comment **