Join our daily newsletter At The Bell to receive exclusive market insights
Playside Studios (ASX:PLY) shares are at a 27 month high as the company upgrades its guidance for FY24.
The company announced on Tuesday it is expecting FY24 revenue guidance of $63-65m, which sent shares up to $1.08/sh in early morning trades. Those gains have since pared back to the high $0.90-$0.99 range.
While the upper end of guidance was unchanged, an earlier released forecast range from Playside put revenue $3M lower at $60M-$65M. The company said this would reflect revenue growth vs pcp of 64-69%.
EBITDA, meanwhile, is now expected to hit $16M-$18M; upwardly revised from a previous range of $11M-$13M.
This reflects a 42% upgrade to guidance, and, contrasts with a -$1.7M loss in EBITDA for FY23. It’s an interesting recent development for a stock that’s something of a comeback story.
In February of 2022, the stock was nearly worth $1.20/sh. A year later, on 3 March 2023, the stock was worth 30cps.
But since March of 2023, the stock has been gradually climbing back upwards, towards its all time high of February 2022.
One year returns in the stock are up +165% and YTD performance for CY2024 is up +60.5%.
The company most recently announced a new real-time strategy game based on the highly successful TV series Game of Thrones. This followed a deal inked back in December of 2023 that saw the company team up with Warner Bros for a multi-game licence.
Notably, Warner Bros owns Game of Thrones.
PLY last traded at 97cps.
