Keywords Studios ups forecasts on back of “buoyant” video games market – Proactive Investors USA

Keywords Studios ups forecasts on back of “buoyant” video games market – Proactive Investors USA

Keywords Studios has upped its expectations for 2021 after a good second-half performance by the video game ancillaries specialist.

Demand for its services has remained strong, it said and is being driven by a buoyant video games market and the industry’s focus on new content creation.  

Full-year revenue for 2021 will now be at least €505mln or 35% year-on-year growth, it said, with adjusted profit before tax in excess of €85m or 55% growth.

Both forecasts are ahead of current analysts’ consensus, said the Dublin-based company.

Keywords expects the trading momentum to continue into 2022 and sees revenue for the year at the upper end of current analysts’ consensus forecasts of €569mln.

Adjusted profit before tax margins will moderate towards historical levels of around 15%, as certain costs return with the easing of restrictions.

Bertrand Bodson, chief executive, added: “Keywords continues to perform strongly, driven by high levels of demand for our services, as we grow our capabilities, reach and scale.

“I am excited about the opportunity to capitalise on the Group’s unique full-service platform to deliver an ever more compelling proposition for the buoyant video games market, and adjacent content industries.”  

Shares rose 4.3% to 2,626p.

Source: https://www.proactiveinvestors.com/companies/news/969727/keywords-studios-ups-forecasts-on-back-of-buoyant-video-games-market-969727.html