Acquisitions underpin full-year growth for Team17

Video games developer, creative partner and label Team17 reported a 9% improvement in revenue in its unaudited final results on Wednesday, to £90.5m.

The AIM-traded firm said its gross profit was ahead 16% year-on-year in the 12 months ended 31 December, at £45.5m, as its gross profit margin rose to 50% from 47%.

Its adjusted EBITDA was 18% firmer at £35.8m, while its profit before tax was ahead 11% at £29.1m.

Cash and cash equivalents narrowed 10%, however, to £55.3m.

Basic earnings and diluted earnings per share were both 8% higher year-on-year, at 18.3p and 18.2p respectively, while they were both 16% firmer on an adjusted basis at 22.1p.

Operating cash conversion came in at 101% for the year, compared to 109% in 2020.

“Our group now has its most diverse range of owned intellectual property, third-party and licensed IP targeting the broadest audiences across multiple platforms,” said chief executive officer Debbie Bestwick.

“We have made great strides over the last few years to build out our portfolios, laying strong foundations for future years.

“The acquisitions have enabled us to expand not just our content portfolio but also our skillset and customer reach, taking us into new territories and markets, and enabling us to leverage the group collectively in a way we could never have imagined a few years ago.”

At 1031 BST, shares in Team17 Group were down 6.78% at 550p.