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Havarel
10-01-2017, 13:04
The Half year results: 2016-2017 for GW have been released.

I've only had a quick look but profit has doubled to 13m, partly driven by the fall in the pound but also through the success of their new approach to their customers.


https://19485-presscdn-0-14-pagely.netdna-ssl.com/wp-content/uploads/2017/01/2016-17-Press-Statement-final.pdf


Edit: There's been a write up from the Telegraph. Looks like GW is news enough to in the papers these days :p

http://www.telegraph.co.uk/business/2017/01/10/profits-soar-games-workshop-fantasy-model-retailer-battles-back/

Bear in mind, this is their reported profits prior to Christmas. So the effect of the Bloodbowl and the Christmas bundle releases won't be reported until later this year.

blackcherry
10-01-2017, 14:43
Merging threads as this news has been posted twice.

toonboy78
10-01-2017, 14:55
"The greatest risk is the same one that we repeat each year, namely, management. So long as we
have great people we will be fine. Problems will arise if the board allows egos and private agendas to
rule. I will do my utmost to ensure that this does not happen."

this sounds like a dig at the old guard

Lost Egg
10-01-2017, 15:02
Wasn't there something in the last report to say they'd made a shed load of money through licensing?

I'd want to see a breakdown of the different games and whatnot before declaring that they are doing well as one or two areas may be doing super well while others are still slumping.

toonboy78
10-01-2017, 15:36
Wasn't there something in the last report to say they'd made a shed load of money through licensing?

I'd want to see a breakdown of the different games and whatnot before declaring that they are doing well as one or two areas may be doing super well while others are still slumping.

i don't think they have ever released official figures of game breakdown (i.e. 40k is 50% AoS 25% Specialist 15% other 10%)

Havarel
10-01-2017, 15:46
Wasn't there something in the last report to say they'd made a shed load of money through licensing?

I'd want to see a breakdown of the different games and whatnot before declaring that they are doing well as one or two areas may be doing super well while others are still slumping.

It can be seen in the royalties receivable figure, which was 3.3m this year, more than double last year.

Samsonov
10-01-2017, 18:17
"battles back from slump". Sounds like something from a Necromunda article. Anyway, with the box games being pretty good value, some of them being plastic heresy and royalties from various computer games I'm not surprised things are looking better.

herjan1987
11-01-2017, 00:56
Well 600k or 1.1 million ( depending on that they booked the first week sales at the last financial report ) copy Total War: Warhammer copies sure helped the royalty part of the paycheck, not to mention the quite succesfull DLCs.

Folomo
11-01-2017, 12:02
That game is sooo good. Why didn't they do something like it before!?

f2k
12-01-2017, 17:23
That game is sooo good. Why didn't they do something like it before!?

Historically, Games Workshop has been rather hesitant about handing control of their IP over to third parties, and have maintained strict control when they did. It was only when the situation got desperate some years ago that they really cut lose and handed out their IP like candy.

Some games have been good, true. But we've also seen a fair bit of shovel ware, especially for the mobile platforms.

Ra Ra Rasputin
12-01-2017, 22:46
I had fallen badly out of love with GW under Kirby - He didn't like customers like me and my wallet reciprocated. It seems under Rowntree they really are getting things right and my pennies have slowly started to drift back to their tills accordingly Kirby will live on in business manuals for years to come in how not to run a company....Well done GW. Something I haven't though since Storm of Chaos basically.

AFnord
12-01-2017, 23:01
That game is sooo good. Why didn't they do something like it before!?

They have (http://www.mobygames.com/game/warhammer-dark-omen). Sure, it's not the exact same thing, but it's in the same general vein.

Bloodknight
13-01-2017, 08:00
But we've also seen a fair bit of shovel ware, especially for the mobile platforms.

Given the control restrictions on smartphones, basically every mobile game turns out to be shovelware. I have yet to find a mobile game that is fun for more than 45 seconds.


Sure, it's not the exact same thing, but it's in the same general vein.

At the time it was quite brilliant.

jtrowell
13-01-2017, 08:29
The Old dawn of war also gave a big push to 40k back in the times.

About mobile game, there are some that are very good, but they usually relly on turn based tactics and a good user interface.

Among those are adaptations of some boardgames or card games, Star realms can be very fun, as is Ascension if you like deckbuilding, and you will also find very nice adaptations of Catan, Carcassonne, Ticket to ride, and some more recent stuff.

And there is also the android port of "Forge", a fan made unofficial implementation of Magic: The Gathering with IA (not great, but useful to play in the metro) very decent UI, most if not all game modes supported (draft, sealed deck, commander, vanguard, ... there is even a "quest" sandbox where you gain boosters and slowly improve your collection), and they are very fast to implement cards from new sets as they are released.

Back to GW games, I think that a blood bowl might have been the optimal license, but the closest to a mobile phone version was the Gameboy one, and it was awful, they botched all that made the game works on PC, with a very bad UI that made playing the game a chore. But it could be done with the appropriate team, but as they are milking the license with the current PC game that managed to have less content than the previous version made by the same company (trully those guys fit perfectly the GW corporate mindset)

Mister Scout
13-01-2017, 09:34
They have (http://www.mobygames.com/game/warhammer-dark-omen). Sure, it's not the exact same thing, but it's in the same general vein.

It's all been downhill since Final Liberation

williamsond
13-01-2017, 09:36
I've been very reluctant to spend any money with GW for a fair few years but the return to a better way of engaging with the players and the relaunch of specialist games has seen me actually buy stuff from GW over the last year.

While I still think AoS and the death of FB was a massive mistake and that 40k fun in spite of a terrible rule set, I have to give props to them for really starting to turn things around, if only we could have a bit of a price drop I might even start buying from them direct again.

AFnord
13-01-2017, 10:02
It's all been downhill since Final Liberation

Final Liberation was not all that well received back in the days. It was considered to be a bit bland back then, because the lackluster AI, poor graphics & maps repeating (and the frankly terrible balance). Also, the opposition you faced on any given map was based on the size of your army, so making a larger army was really kinda pointless (other than super heavies & titans being overpowered against the AI). Actually, nostalgia & FMVs aside, Final Liberationw as really a rather lackluster game.

blackcherry
13-01-2017, 12:55
Well 600k or 1.1 million ( depending on that they booked the first week sales at the last financial report ) copy Total War: Warhammer copies sure helped the royalty part of the paycheck, not to mention the quite succesfull DLCs.

Interestingly, no. GW may have gotten some royalties, but not as much as you would think. It's complicated because the rights and the company developing Total War were transferred to another publisher when THQ went bust. At the time, I think GW were happy to just pay lump sums to licence out the games and neglect royalties (yes, really). Perhaps there has been some renegotiation of the contract, but as far as I know, the initial contract is still in place.

Saunders
16-01-2017, 15:35
That's incorrect, you must be confusing Relic (Dawn of War) with Creative Assembly (Total War). CA has been owned by Sega since 2005, and the rights to make a Warhammer-themed Total War game were negotiated with Sega.

The_Real_Chris
17-01-2017, 14:16
Given the control restrictions on smartphones, basically every mobile game turns out to be shovelware. I have yet to find a mobile game that is fun for more than 45 seconds.


What, you don't like Battle Fleet Gothic!!!!

lanrak
17-01-2017, 17:24
A company that makes over 75% gross profit and less that 15% nett profit has got some serious issues IMO.

Are GW plc growing market share?Have they increased sales volumes over last year?

Yowzo
18-01-2017, 10:02
A company that makes over 75% gross profit and less that 15% nett profit has got some serious issues IMO.

Are GW plc growing market share?Have they increased sales volumes over last year?

Sales are up, even accounting for the pound slump. Royalties have more than doubled. GW shops still operate at a loss but account for a higher % of growth than trade accounts. Only Blood Bowl, Last chance to buy, Made to order and White Dwarf deserved a mention on the report.

That's the tl:dr version

lanrak
20-01-2017, 16:51
This is good news.
If GW plc are actually growing their customer base and increasing sales volumes.They will not need to increase prices to make up for falling sales volumes anymore.:biggrin:

TonyFlow
24-01-2017, 08:13
Too bad they felt they had to kill off the Old World completely. I really like what they are doing now. They just feel like a company much more in sync with their customer base, so good on them. It's too late for me, though.

Bergioyn
26-01-2017, 12:26
Too bad they felt they had to kill off the Old World completely. I really like what they are doing now. They just feel like a company much more in sync with their customer base, so good on them. It's too late for me, though.
Yeah. White Dwarf is better again aswell, but since AoS takes so much space in it it's not really worth it either.

WLBjork
02-02-2017, 22:02
A company that makes over 75% gross profit and less that 15% nett profit has got some serious issues IMO.

Are GW plc growing market share?Have they increased sales volumes over last year?

How does 15% net profit look in broader terms?

MacDonald's made just under 20%, Starbucks 14% and Volkswagen made 4.4%.

Looks pretty good to me.

lanrak
02-02-2017, 22:24
@WLBjork.
Comparing gross profit to nett profit is the point.
If a company has an outdated retail business plan that is loosing them over 50% of their gross profits. That is forcing higher retail price rises on a dwindeling customer base to make up for falling sales volumes.(GW plc from 2007 to 2016.)

This is much worse than a company with a efficient retail business plan that is delivering value for money to a growing customer base with a lower nett profit..

Bloodknight
03-02-2017, 00:34
How does 15% net profit look in broader terms?


Depends a lot on the industry you're looking at. GW is a lot of manufacturing and some retail (both relatively low-margin industries with high overhead cost, particularly since manufacturing and R&D - I'll subsume the creation of the minis, writing of books etc. under R&D - isn't done in China or so), so 15%ish is quite decent.

WLBjork
03-02-2017, 11:21
@WLBjork.
Comparing gross profit to nett profit is the point.
If a company has an outdated retail business plan that is loosing them over 50% of their gross profits. That is forcing higher retail price rises on a dwindeling customer base to make up for falling sales volumes.(GW plc from 2007 to 2016.)

This is much worse than a company with a efficient retail business plan that is delivering value for money to a growing customer base with a lower nett profit..


McDonalds, Gross profit 42%, Starbucks gross profit 60%, VW gross profit 20%.

So by your definition, all these are inefficient, outdated companies?

Yowzo
03-02-2017, 13:55
McDonalds, Gross profit 42%, Starbucks gross profit 60%, VW gross profit 20%.

So by your definition, all these are inefficient, outdated companies?

The issue is not gross profit, it's how GW's retail operations eat into gross.

Most manufacturers have low gross profit, but little gross-net difference (I work in a big chemical company, and gross is barely in the double digits, but net is at 9%.... and that's on a very good year!)

GW is in rare situation where they manufacture but also own/operate a significant portion of their retail outlets (at a constant loss, to boot).

Most consultants would have told GW to ditch or spin-off the retail part of the business a long time ago and concentrate on the core business of making miniatures.

That said, 75% gross profit is absolutely ludicrous for a manufacturer of anything outside the extremely niche. It's a figure most retailers struggle to get close to and tells you how much stores drag the whole thing (from a strictly financial PoV).

Tyberos
04-02-2017, 17:20
Since Rountree came in, whil we haven't seen price reductions, we have at least seen better value sets, with the starter army bundles, and boxed-set 'games'. The wality of the rule books has increased as well, to a degree, although not quite there in the fluff writing. I have bought a load more in the past year or so, mainly due to the set deals they do. I think Rountree recognises that they need to offer value in what they sell. As for Kirby, good riddance, I hope he doesn't get any significant control back again.