Frontier Developments, a renowned video-game developer based in Cambridge, has announced that its game "F1 Manager 2023" did not meet the expected sales targets, resulting in a swing to a pretax loss. The company reported higher costs for fiscal 2023, impacting its financial results.
Offset by Strong Performance and Additional Revenue Streams
Despite the revenue shortfall projected for fiscal 2024, Frontier Developments remains optimistic. The company anticipates that the continued strong performance of its existing portfolio, coupled with additional revenue streams including "F1 Manager 2023," will offset the loss.
Fiscal 2023 Financials
For the year ending on May 31, Frontier Developments recorded a pretax loss of £26.6 million compared to a pretax profit of £944,000 the previous year. The company's revenue decreased from £114 million to £104.6 million. This decline was primarily attributed to the underperformance of "F1 Manager 2023" and a general sales underperformance during the Christmas period, among other factors.
Looking Ahead to Fiscal 2024
Despite the challenges faced in fiscal 2023, Frontier Developments has had a strong start to fiscal 2024. The company's portfolio has continued to perform well throughout the summer. With a renewed and proven strategy of selecting, developing, launching, and nurturing genre-leading games, Frontier Developments is confident in its ability to regain financial stability.
Our Latest News
Moderna Inc. reveals promising results from clinical trials of its updated COVID-19 vaccine, showing effectiveness against new variants. Plans for widespread av...
Citigroup Inc., led by CEO Jane Fraser, is reorganizing with five major operating units and job reductions in key markets.