Video games services supplier Keywords Studios (LON:KWS) will beat market forecasts when it reports interim results next month.
Recently acquired localisation and audio business Synthesis has been the driver, though its ‘excellent’ first half was in part due to a beneficial phasing of revenues between the first and second half.
Keywords is not yet changing its guidance for the full year because of this phasing effect.
Synthesis was acquired in April, a deal that made it number one globally for games localisation (translating the voice tracks and audio into local languages).
Since then, Synthesis has exceptionally busy, said Keywords, as some very large new localisation and audio projects came together in the past three months.
It was one of four acquisitions made this year by Keywords as it broadens its reach away from just localisation and consolidates computer games services businesses.
One, Canadian concept art specialist, Volta was only announced this week.
Beijing-based art services group Mindwalk joined from June and is said to be trading well.
Keywords also bought the outstanding half of Kite Team; this allowed for the integration of the operations of Synthesis in Spain, Brazil and Mexico.
Brexit has not been a factor on trading as only 3% of revenues are denominated in sterling.
Andrew Day, chief executive, said he was delighted with the progress this year, especially Synthesis.
“This has enabled us to deliver a first half performance substantially ahead of our expectations such that we do not expect this year to be characterised by the typical weighting towards the second half.
“However, the strong first half underpins our confidence in our ability to meet expectations for the year as whole.”
Day added that while Virtual Reality and Augmented Reality are headline makers in computer game currently, "the real potential is a few years hence".