The company Games Workshop, which sells fantasy figurines, is giving its employees who work in their shops, create models, design products, and provide support a Christmas bonus of £2,500. This is an increase of £1,000 compared to last year. The decision was made after the company’s profits increased by over 12% in the first half of the year.
The company headquartered in Nottingham responsible for the well-known Warhammer and Lord of the Rings tabletop games announced that its employees will share a bonus pool of £7.5 million, which is an increase from £4.5 million in the previous year.
Games Workshop, the operator of approximately 530 stores, announced plans to raise the bonus due to a projected half-year profit of at least £94m, with a 9% increase in sales to £247m. While there was significant growth in gaming sales, there was a decline in licensing revenue.
50 years ago, three friends from school began Games Workshop. Despite challenges in brick-and-mortar stores, the company has flourished during the pandemic due to the rise of at-home hobbies and affordable indulgences.
Experts stated that there was a decrease in the company’s performance during the second quarter of their fiscal year. However, they had experienced positive results in the first quarter, largely due to the release of the 10th edition of their Warhammer 40,000 game. This edition includes popular characters such as Space Marines and the squid-like Neurotyrant.
The company’s stock dropped by nearly 11%, reaching just under £95. According to Jefferies analyst Andrew Wade, investors may be let down by the fact that the company’s sales and profits were only in line with predicted levels.
During the summer, projections were revised upward due to high initial sales of the newest edition numbering 40,000, as shipping expenses and certain materials decreased in cost. Wade noted that it seemed there was a surge in demand earlier than expected, and Games Workshop is now encountering more challenging market conditions.
Source: theguardian.com
