Keywords Studios revenues soar in year of 'continued growth'

Computer games industry services provider Keywords Studios reported a pre-close update on a year of acquisitive and organic growth on Thursday.

Boosted by the eight acquisitions made throughout the year, Keywords now anticipates revenues of no less than €250m - an increase of at least 65% on 2017.

As a result of the significant revenue growth, earnings per share are expected to be roughly €0.47 - a 51% increase year-on-year.

Keywords stated that almost all of its seven service lines had delivered "a strong performance" - with particularly strong growth in its Player Support and Engineering businesses.

However, the AIM-listed firm noted that this had been partially offset by a weaker than expected performance from its Localisation Testing division.

Keywords noted that it finished the year with €400,000 in net debt, a marked drop from the €11.1m in cash it had on hand a year earlier, as a result of the €26.2m outlay on acquisitions during the year.

Chief executive Andrew Day said: "We are pleased with the group's continued organic growth, in a year in which our markets were impacted by the Fortnite phenomenon."

"This together with the group's successful acquisitive growth has seen us increase revenues and profit before tax by approximately 65% in the year."

Keywords shares, having soared around 900% to above 2,000p over the two and a half years to last summer before a big tumble due to the abovementioned rise of Fortnite game, climbed 8.15% to 1,168p on Thursday morning.