Team17 Group (TM17)

Sector:

Leisure Products

Index:

FTSE AIM 100

 295.00p
   
  • Change Today:
      0.000p
  • 52 Week High: 350.00
  • 52 Week Low: 152.00
  • Currency: UK Pounds
  • Shares Issued: 145.80m
  • Volume: 557,855
  • Market Cap: £430.12m

Team17 warns on profits, shares slide

By Michele Maatouk

Date: Friday 24 Nov 2023

LONDON (ShareCast) - (Sharecast News) - Team17 tumbled on Friday as the games developer warned that full-year earnings will be lower than expected.
In an update for the year to the end of December, the company said revenues are set to be "modestly ahead" of current market expectations. However, adjusted earnings before interest, tax, depreciation and amortisation are expected to be "at least" £28.5m, which includes impairments of up to £11.5m.

Team17 highlighted "strong traction" across its new release and back catalogue titles, but said certain titles within the Games Label are not meeting internal expectations. This has resulted in a less favourable mix between higher margin own-IP titles and third-party titles - with higher royalty payments - than anticipated.

In addition, the company conceded that it was too slow to address some project overspends and has faced some delays in implementing key cost initiatives at the Games Label. "These are now at advanced stages and will continue to bring benefits into next year," it said.

Team17 also said it is reviewing a number of titles, both under development and already launched, to assess the revenue potential in the current market environment. This is expected to result in impairments recognised in FY23.

At 0950 GMT, the shares were down 41% at 184.80p.

Russ Mould, investment director at AJ Bell, said: "Failing to control overspending will not do anything for the firm's credibility in the market and the decision to review games in development shows how this market has got tougher now people aren't stuck indoors, with gaming representing one of the few possible escapes from the drudgery of lockdown."

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Team17 Group Market Data

Currency UK Pounds
Share Price 295.00p
Change Today 0.000p
% Change 0.00 %
52 Week High 350.00
52 Week Low 152.00
Volume 557,855
Shares Issued 145.80m
Market Cap £430.12m

Team17 Group Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
42.39% above the market average42.39% above the market average42.39% above the market average42.39% above the market average42.39% above the market average
100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average
Price Trend
9.84% above the market average9.84% above the market average9.84% above the market average9.84% above the market average9.84% above the market average
9.09% below the sector average9.09% below the sector average9.09% below the sector average9.09% below the sector average9.09% below the sector average
Income Not Available
Growth
36.8% below the market average36.8% below the market average36.8% below the market average36.8% below the market average36.8% below the market average
11.11% below the sector average11.11% below the sector average11.11% below the sector average11.11% below the sector average11.11% below the sector average

What The Brokers Say

Strong Buy 5
Buy 6
Neutral 1
Sell 0
Strong Sell 0
Total 12
buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Team17 Group Dividends

No dividends found

Trades for 12-Jul-2024

Time Volume / Share Price
14:12 74,605 @ 300.00p
16:35 3,821 @ 295.00p
16:35 2,253 @ 295.00p
16:35 247 @ 295.00p
16:35 1,321 @ 295.00p

Team17 Group Key Personnel

CFO Mark Crawford
CEO Steve Bell

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