Games Workshop Group (GAW) H2 2024 earnings summary

Executive summary

• Achieved record results for revenue (£525.7m, up 11.7%), profit before tax (£203.0m, up 19.0%), and dividends per share (420p) for the 53 weeks ended 2 June 2024 compared to the prior year.

• Core revenue grew 11.1% to £494.7m, with licensing revenue up 22.0% to £31.0m.

• Maintained a debt-free balance sheet and distributed surplus cash to shareholders.

• Leadership transitions: CFO Rachel Tongue to be succeeded by Liz Harrison; Chair John Brewis to retire after AGM 2025.

Financial highlights

• Core operating profit rose 17.9% to £174.8m; licensing operating profit increased 22.7% to £27.0m.

• Core gross margin improved to 69.4% (from 66.5%).

• Net cash pre-dividends paid was £155.9m; cash and cash equivalents at period end were £107.6m.

• Return on capital employed (ROCE) increased to 176% (from 133%).

• Earnings per share rose to 458.8p (from 409.7p).

Outlook and guidance

• Focus remains on long-term growth, expanding global reach, and maintaining high operating margins.

• Plans to open new stores in North America and Continental Europe, and expand independent retailer accounts.

• Continued investment in product quality, IT systems, and sustainability initiatives.

• Licensing strategy prioritizes successful video game and media launches, with ongoing negotiations with Amazon for Warhammer 40,000 adaptations.