Record year of profitability at listed games developer

Video games developer, Team17, has reported more titles released than any previous year helping to deliver revenue growth of 34%.

The business, which has issued its unaudited final results for the year ended 31 December 2020, has also highlighted a record £26.2m pre-tax profit – up 36% year-on-year.

Revenues rose to £83m, compared to £61.8m in 2019, with adjusted EBITDA up 36% from £22.1m to £30.1m over the same period.

Overall headcount grew 25% to 250 members of staff at year end (2019: 200), along with a total of 12 titles launched in the year providing new revenue lines.

These included a record 10 new games released, supported by an increasing depth of back catalogue titles.

The company, which has operations in Wakefield, Nottingham and Manchester, says it managed a “seamless transition” to remote working in early March 2020 ahead of the COVID-19 outbreak.

It adds it has a solid and diverse pipeline of launches for 2021 and beyond and is well positioned to continue to deliver on our growth plans.

Team17’s outlook report states: “The year has started well and the expansion of both major new consoles and distribution platforms underpins management’s optimism about the future of gaming given its unique mixture of technology and entertainment.

“The board continues to be mindful of any potential headwinds associated with a prolonged pandemic, including uncertain macro-economic and consumer environments alongside manufacturing and supply chain challenges.

However, the company remains confident that its ever-growing and diverse portfolio and high-quality development and commercial teams will continue to underpin performance.”

Debbie Bestwick

Debbie Bestwick, chief executive officer, said: “2020 was a significant year for the gaming industry as a whole, as we saw the launch of both Sony and Microsoft’s next-gen consoles.

“It is fantastic to see our titles being launched on both these platforms and that another generation of gamers will get to explore Team17’s gaming universes.

“Incredibly, our Worms franchise is now 25 years old and in December we launched the franchise’s newest title, Worms Rumble, on PlayStation 5.

“2021 will be a very exciting and busy year for Team17, with more games signed to our label than any time in our history and new IP launches to look forward to.”