Focus Home Interactive FY2016 trading update

Turnover of € 75.5 million for its 2016 financial year which equals P/S of 1.8x
Turnover of + 9% compared to the financial year 2015.

The last quarter of financial 2016 was their best quarter ever. Sales more than doubled (vs Q4 2015) to € 39.2 million. This performance is explained by the excellent sales of Farming Simulator 17 released on the 25th of October. Farming Simulator will be coming to Nintendo Switch and 3DS.

Upcoming releases for Focus include: 

  • The Surge
  • Vampyr
  • Styx: Shards of Darkness
  • Call of Cthulhu
  • Shiness, Blood Bowl 2
  • Space Hulk Enhanced Edition on consoles
  • A Plague Tale
  • GreedFall
  • Werewolf: The Apocalypse
  • Insurgency

If they maintain a 10% net profit margin the company is around P/E 18. For a full year growth of 9% that seems about right, but if the last quarter is indicative of their future than its cheap of course.

Interesting investment - Focus Home Interactive

Today I found a really interesting listed gaming distributor. French Focus Home Interactive, listed on the Paris stock exchange.

All their financial information is in French so I have not been able to do proper research but I bought some shares last week anyway because of a positive gut feeling; they are trading below 2 on P/S and have a great roster of games. Although I am not sure if P/S is high or low given that they seem to mainly be a distributor.

Some of the games they distribute on Steam are: Space Hulk Deathwing, Farming Simulator, Blood Bowl, Styx, Divinity and Game of Thrones.

I will return once I have done my analysis.