Warhammer firm Games Workshop's £120m profit update hailed as 'astonishing'

Warhammer firm Games Workshop has revealed it brought in an estimated £120 million profit over the last six months, in an update that has been hailed as "astonishing" by analysts. The manufacturer of the phenomenally popular Warhammer 40,000 miniatures, which operates from its Lenton Lane business complex in Nottingham, has a worldwide reach and has made huge amounts of revenue and profit in recent years.

The company made a £200 million profit in its last financial year and has now announced that recent trading has once again exceeded expectations. In an update to investors, the major city employer said: "The group is pleased to announce that trading since the last update on September 18 is ahead of expectations.

"The board’s estimate of the results for the six months to December 1, at actual rates, is core revenue of not less than £260 million (2023/24: £235.6 million) and licensing revenue of not less than £30 million (2023/24: £13.0 million). The group’s profit before tax is estimated to be not less than £120 million (2023/24: £96.1 million)."

Games Workshop added that further details would be announced in the half-yearly report released on January 14. The firm, which is planning to expand its manufacturing in Nottingham to keep up with growing demand for its wargaming figures, had significantly boosted its revenue from licensing its designs and characters to partners.

Space Marine 2, a videogame set within Games Workshop's Warhammer 40,000 world, was released in September and was purchased by 4.5 million gamers in the month afterwards. Edison Group, an investment research firm, labelled the trading update "outstanding" and explained Games Workshop was expected to now make more profit than its analysts had previously predicted.

Russell Pointon, director of consumer at Edison Group, said the business had benefited from launching a new range of figures and from the very successful video game based on its products. "The core business continues to generate strong consistent revenue growth of not less than 10 per cent, as it benefitted from the launch of the fourth edition of Age of Sigmar," Mr Pointon explained.

"The real surprise comes from licensing revenue which has increased by an astonishing 150 per cent year-on-year to not less than £30m, way ahead of our prior FY25 (fiscal year 2025) estimates of £25m. The strong growth in licensing has a significant effect on profitability as it is a very profitable revenue stream.

"The company’s growth rate is testimony to its ability to evolve its intellectual property and engage with its customers." Games Workshop submitted plans in August to knock down Nottingham City Council's old transport services depot off Willow Road ahead of the proposed construction of an extra figurine-making plant worth £9 million on the land.

More than 350 staff currently work at the site's three existing Willow Road factories to produce millions of the popular figures, with bosses hoping the planned fourth factory will be open by spring 2026. It has also asked Nottingham City Council for permission to set up a facility that will supply paint for the tens of millions of plastic parts manufactured at its three factories.