Team17 ups revenue 34%, buys Golf With Your Friends

Wakefield-based video game developer Team17 Group on Thursday published a trading update for the year ended December 31, 2020, saying it will deliver year on year revenue and adjusted EBITDA growth of 34% and 36% respectively.

Team17 also announced the acquisition of all rights and assets for Golf With Your Friends (GWYF) “an existing 3rd party label title to our 1st party family for a total consideration of £12 million.”

GWYF is a multiplayer golf video game created by Australian developer Blacklight Interactive and published by Team17. 

“Since partnering together in 2019, Team17 has helped to more than double the number of GWYF owners to 5.5 million, through increased production values, new platforms, IP cross-over and positioning as a higher value proposition,” said Team17.

Team17 shares have soared about 75% over the past 12 months to give the firm a stock market value of more than £1 billion, although the shares fell about 4% on Thursday.

On trading, Team17 said: “Our growing portfolio has continued to perform well in H2 2020, in particular over the peak Christmas trading period.

“We launched 9 titles in H2, more than any previous year despite the impact of ever changing working restrictions as a result of the pandemic.

“Our portfolio grew stronger during 2020 with additions to the Worms, Escapists and Overcooked franchises as part of the 12 titles launched in the year across a variety of platforms, further strengthening our diverse gaming portfolio.

As outlined in our H1 results, the company saw one-off commercial benefits delivered in Spring last year, however these quickly normalised in early H2.

“We were particularly pleased with the performance in the peak November and December months, maintaining strong retail pricing in the face of an aggressive competitive environment, which is a testament to both the quality of our portfolio and our talented commercial team.

“We continue to monitor the potential headwind impacts of the prolonged pandemic, uncertain macro-economic and consumer environments alongside manufacturing and supply chain challenges facing next generation and existing gaming hardware.

“We expect these to be ongoing and key considerations in 2021.

“The company looks ahead to 2021 with confidence in our pipeline and our teams’ ability to continue to build the business and whilst we are assuming any additional one-off benefits linked to the pandemic that impacted the 2020 results will not be repeated, we believe the business will continue to deliver underlying growth and support the long term prospects aligned with our ambitious strategic plans.

2021 brings a solid and very diverse pipeline of both existing IP on new platforms and new IP to look forward to including: Worms Rumble and Overcooked: All You Can Eat on more platforms, Rogue Heroes, The Unliving, Epic Chef, Super Magbot, Greak: Memories of Azur, Honey I Joined a Cult, Hokko Life, a number of unannounced games alongside Hell Let Loose to exit Early Access and the announcement of additional platforms to support.

“We look forward to providing further updates in the coming months.”

Team17 CEO Debbie Bestwick said: “2020 is definitely a year we will not forget in a hurry and also provides insights into the challenges we can expect as a workforce in 2021.

“Whilst the board and I are very pleased with the financial results we are even more pleased with the resilience and dedication shown by our Teamsters and Label partners to deliver, launch and sell the complex games we made in 2020.

“Many of our games are local co-op and online play and we added cross play to some of our titles alongside numerous quality of life and gaming enhancement updates across our back catalogue.

“We achieved this under the ever changing global restrictions and we should not underestimate the support and passion for the games we create.

“We are also delighted to start 2021 with the announcement that we have acquired GWYF and see great potential in this IP.

“Over the last two years, GWYF has shown strong consumer demand and mass market appeal, doubling its owner base and achieving success on multiple gaming platforms.

“GWYF is the type of IP we believe is right for ownership, it is successful and proven but still at the start of its journey.

“The team at Blacklight Interactive can be assured that we will take great care of this amazing IP.”