Team17 reports delivers record revenue and profit growth in maiden year of trading on AIM
Wakefield-headquartered global games developer Team17 has reported growth in both profits and turnover in its first year of trading on the London Stock Exchange.
For the year ending 31 December 2018, the company delivered record revenues of £43.2m up 46% from £29.6m in 2017, and record gross profit up 18% from £16.9m to £19.8m.
Pre-tax profits for this period also grew by 62% from £5.4m to £8.7m, and reported operating profit saw a 11% rise to £9.9m (2017: £8.9m) despite being impacted by one-off costs relating to the IPO
Team17 began trading on the Alternative Investment Market (AIM) of the London Stock Exchange with a valuation of £217m in May 2018.
During this time a total of £107.5m was also raised through an oversubscribed fundraising with institutional investors, of which £45.1m was raised for the group to repay debt through the issuance of new shares.
A total cost of £3.3m was issued in relation to the IPO and raising of new finance.
Adjusted EBITDA increased by 18% to £15.3m (2017: £12.9m), which the company said illustrated the “strong underlying profit growth of the business during the year.”
Throughout 2018, Team17 also boosted its workforce by 30% to 167 which included the appointment of Jo Jones as Chief Financial Officer in October.
Debbie Bestwick MBE, CEO of Team17, said: “I’m delighted to report on an excellent year for Team17, delivering record revenues and operating profits in the period as well as successfully completing our listing on the Alternative Investment Market.
“This result was successfully driven by delivery of our ever-growing portfolio during 2018. We have continued to build upon the enviable track record of revenue and profit growth shown over previous years coupled with our ability to effectively manage the lifecycle of our games.
“Our people remain our point of differentiation – their passion, talent, ambition and teamwork collectively made the difference in 2018, and as such, it was most rewarding to see industry recognition across our label with over 140 nominations and awards for our games and people.
“Our incredibly exciting industry continues to grow at a rapid pace. We believe there are more opportunities than ever before for content creators and publishers with the rapid uptake and more openness of digital distribution platforms alongside new emerging distribution methods. We have a solid pipeline of game launches in 2019 and look forward to updating our shareholders on our continued progress in due course.”