Games Workshop sees profit lower than last year

Games Workshop warned on Friday that its profit for the year to 29 May was likely to come in lower than the previous year after a tough Christmas.

The company, which produces games and miniatures, said pre-tax profit is unlikely to exceed £16m, compared with £16.6m the previous year.

Chief executive officer Kevin Rountree said: “We have made some good progress on our strategic initiatives all focused on delivering long term growth.

“Whilst we are disappointed with the decline in return on capital reported in the period, we are all confident that we are focused on delivering the necessary changes to address this decline.”

Sales were below expectations across the group, with revenue for the six months to 29 November down to £55.3m from £56.5m.

Pre-tax profit, meanwhile was flat compared with 2014 at £6.3m and the company cut its interim dividend to 20p a share from 36p.

At 1245 GMT, Games Workshop shares were down 11% to 535p.