"GW Annual Report" Topic

Just seen this: PDF link

Profits down, revenue down, dividends through the floor, company on the verge of collapse.

Oh wait, that's not right…

Nice to see a company operating without LT debt.

It's amazing to think about how much one leader can mean to an organization.

Mithmee refutation countdown starting…now!

Well, maybe they should make more "bigger, stronger, faster" marines.

That is soooo much Derp.

Good.

I went into a GW store for the first time in years to look at the new 40k, talking to the manager it has been a great success. Might even get me back playing again.

LOTR/Hobbit is also making a come back if it would only be easier to get in the States.

Duane

Mithmee refutation countdown starting…now!

As I expected their release of all those stand-alone games help out their bottom line.

But that is not sustainable.

Also they cut down on the number of store employees as well. So that would drive down costs.

We are not seeing the impact from them splitting from Fantasy Flight yet either.

I was expecting more in the way of Royalities.

Here is an article about it:

link

"As I expected their release of all those stand-alone games help out their bottom line."

So you're saying that the approximately 50 millions pounds in increased revenue this year over last year is largely the result of:

Shadow War: Armageddon
Gangs of Commorragh
Burning of Prospero
Warhammer Quest: Shadows Over Hammerhall
and
Gorechosen?

That, if not for the sale of these stand alone games (and GoC and BoP aren't exactly stand-alone games really) GW's revenue would not have surged by 34% over this past year?

"Also they cut down on the number of store employees as well. So that would drive down costs."

But revenue went up in addition to profit. Cost doesn't matter in those calculations.

"We are not seeing the impact from them splitting from Fantasy Flight yet either."

That happened in September of last year. This report must include some impact from that. It impacted 75% of the time covered by this report, at least.

"I was expecting more in the way of Royalities."

Yeah you were. You were saying that all the increased profit last year was coming from royalties, or that really pumped it up.

Profit went up by a factor of 3 this past year.

Also something to keep in mind:

This report does not include the release of WH40K 8th edition, which was being tauted for months prior to the release in June, so all through probably about 25% of the time accounted for you might expect to see a slowing in sales of many products, especially the codexes, because the new edition is coming out and people are waiting to see what they should buy for their army.

My guess is next year profits will be even higher, baring some global apocalyptic event.

So you're saying that the approximately 50 millions pounds in increased revenue this year over last year is largely the result of:
Shadow War: Armageddon
Gangs of Commorragh
Burning of Prospero
Warhammer Quest: Shadows Over Hammerhall
and
Gorechosen?

Uhh… Betrayal of Calth, Lost Patrol, Deathwatch Overkill, Stormcloud Assault, Renegade Knights, Kill Team…

The Heresy Boardgames caused a huge uptick in sales as people flocked for the massively cheaper than forgeworld plastic Heresy Space Marines. Shadow War Armegedon also caused a huge uptick as well for the terrain and bringing people back to small skirmish battles.

I hope this means GW will be willing to devote more resources into developing specialist games like a reborn battlefleet gothic, which would be an obvious cash grab designed to screw over old BFG players by producing ships in a new scale, and screw over new players by immediately discontinuing the new game!

Just proves the earth has more stupid 13 year old boys.

Wishing Kirby an engaging and enjoyable retirement, indeed so engaging and enjoyable that he never returns and his policies and attitudes die out completely and never return. The end of a truly grim dark period for GW.

Very impressive report, operating profit, and year over year growth. Like it or not they are doing something right.

"Betrayal of Calth, Lost Patrol, Deathwatch Overkill, Stormcloud Assault, Renegade Knights, Kill Team"

Which came out before this report. I had Lost Patrol on the list at some point, I must have deleted it by mistake. BaC came out in November 2015, DW:O came out in April of 2016. Kill Team came out in 2011 and Renegade Knights came out in April 2016. Stormcloud Attack did come out in that time frame so that could be added to the list I suppose.

And if what you are saying is true about the BaC then it invalidates Mithmees point even further because it makes their sales more sustainable because they aren't really a one-off or stand alone game.

"Shadow War Armegedon also caused a huge uptick as well for the terrain and bringing people back to small skirmish battles."

I'm not sure that this was a huge uptick for sales. Most people seemed to buy the boxed set, for which there was no where near enough supply, or the book and already had figures for the game. With the purchase of one boxed set of Genestealer Cult and the boxed set, for example, I ended up with enough figures to make Kill Teams for every faction in the game except Ad Mech, Necrons and Craftworld Eldar.

Even if you didn't have any GW figs going in, to play this you'd need to spend a total of about $80 USD or less and half of that is the rulebook.

"Just proves the earth has more stupid 13 year old boys."

Odd, I don't know any 13 year old boys that play GW games. I know a lot of adults that do.

So you're saying that the approximately 50 millions pounds in increased revenue

I must have an issue with math since when does $118.1 USDM increased to $158.1 USDM result in a…

$50 USD million increase.

and year over year growth

No since before this report they had three years of bringing in less money.

My guess is next year profits will be even higher

We will know in a year from now.

"I must have an issue with math since when does $118.1 USD USDM increased to $158.1 USD USDM result in a…

$50 USD USD million increase."

My math was based on the article which stated that "revenue soared by 34 per cent to 158 million (pounds)"

That is where I got "approximately 50 million pounds"

But if you go with the actual numbers it is approximately a $50 USD million increase.

" and year over year growth

No since before this report they had three years of bringing in less money."

Not that that has anything to do with year-over-year growth.

"Just proves the earth has more stupid 13 year old boys"

You wish! 13 y.o doesn't invest hundreds of hours painting, modeling and reading. They push a button in their PS4s and that's all the amount of work they do before gaming.

I totally agree chaps! Warhammer is not selling out the vet gamers for teenagers. Maybe thats what the old boss was doing during the dark age of GW.

As far as video games, I know a huge video gamer that just got into Warhammer. There are more successful nonGW lines, now that don't fit the bill of GW driving them out of business. Maybe the reign of video games is slowing down.

Also they cut down on the number of store employees as well. So that would drive down costs.

That store policy went into effect years ago.

Well I've been listening, for over 20 years, to the internet doomsayers say that GW is going under… Yet GW has somehow managed to dodge the bullet again!

Oh, it must be the huge 13 year old boy demographic saving them, even though I have never seen such young kids in any of the local stores in 5 states, or at organized events.

Keep on keeping on, Internet.

Mithmee has scrapped the bottom of that barrel pretty base trying to find a negative.

Personally I wonder how much more profit GW would generate if it lowered the cost of individual miniatures a little. At the moment they seem to be pushing us towards larger sets with massive savings. As a father of a nine year old, I would like to see some "pocket money" priced figures rather than the £20.00 GBP-30gbp we see in store.

I also wonder if the shops were open more how much this would increase sales. Our store is closed 2 – 3 days of the week and opens late in the afternoon on week days. This probably saves me a fortune but must impact their sales.

Eclipsing Binaries they have just done that. The new releases of the Primaris marines means that you can buy three of the regular marines or the Reivers for $15 USD or 10 quid.

I don't know how much kids get these days for pocket money, so they might still have to save for a few weeks but that isn't all that bad either.

link

link

The stores in the states seem to be closed one day a week, at least the ones I've been to.

They lowered prices overall for some things, mostly with the Start Collecting sets.

They are selling small boxes of 3 Reivers for $15 USD, and a small starter set for $40. USD So I think they are moving in that direction (smaller impulse buy type products) even if they aren't there yet.

Damn. Pictors must own stock.

buy three of the regular marines or the Reivers for $15 USD

So if I want to have an unit of ten it is going to cost me around $70. USD

So what they did is make it more expensive to field them.

Not an issue with me since I never will buy any but for new players it not going to be cheaper to field a force of 60-70 Marines.

I don't care about Primaris marines, but I'm about to put in an order with FW for 3 legion Contemptors. I'll give them money as long as they make stuff I want.

"So if I want to have an unit of ten it is going to cost me around $70. USD"

No, if you want a unit of 10 it is $60. USD If you want a unit of 3 it is $15. USD

He was asking about cheaper sets, they exist.

I also wonder if the shops were open more how much this would increase sales. Our store is closed 2 – 3 days of the week and opens late in the afternoon on week days. This probably saves me a fortune but must impact their sales.

They open late in the afternoon, because that's when people get out of work and students get out of school. The GW stores aren't where they make their money. It's their mail order and sales to independent stores.

No, if you want a unit of 10 it is $60. USD USD If you want a unit of 3 it is $15. USD USD

Why do you keep on forgetting to add the tax.

I live in Washington State and the Sales Tax is 10%.

He was asking about cheaper sets, they exist

Yup a set of ten Revivers cost – $60 USD

So given that I would rather go with the set of three since I would get 12 models instead of five.

If I was going to buy which I am not.

Cheap and GW really do not go together these days.

I live in Washington State and the Sales Tax is 10%.

I envy you, sir!

No surprise there. 8th edition, while still nowhere near my idea of a good wargame (I subscribe more to the Stargrunt or TW school of thought), seems to represent a massive improvement over 7th edition in playability. It's brought a lot of players back to the game.

Personally, though I do not plan on playing 8th, it did prompt me to get back into the universe. I'm glad that, unlike as a 14-year-old, I know about Pig Iron and various other lines that have more appealing models at better prices. I'll be writing my own Stargrunt-lite rules this go-round.

"Why do you keep on forgetting to add the tax."

Why do you not buy them from a cheaper store?

They can be had for $51 USD with no sales tax, but with shipping so probably about $60 USD total.

link

Just because you choose to pay more for them doesn't mean that is what they cost.

I bet you could find someone to sell them to you for $100 USD if you wanted to.

Since the experts appear to be here …

I bought into the LotR lines back when they came out and were a pretty good deal, but stopped when they effectively doubled in price. Is there any indication what is going to happen with this line?

It looks like it is mostly being turned over to Forge World. I think that, with the price increase and the lesser success of the Hobbit movies in general, the LotR games has taken 3rd and maybe even 4th place in the GW range.

When I went to the dealers meeting at GW Canada in 2001 they had touted that LotR was going to be the third system and they were going to be supporting it going forward, the implication was that it was going to be just as important as WHFB or 40K.

For a while this was true, even after the movies had come and gone. They even started a new rise in popularity it seemed with the War of the Ring supplement but I suspect that the Hobbit releases never took off.

Right now most of the new stuff I've seen is from Forge World although all of the products that were released by GW are still on the GW website.

Just because you choose to pay more for them doesn't mean that is what they cost.

Remember I not buying any of them since I have plenty of Space Marines already.

But not everyone buys online and others just might want those models now and not wait to get them in the mail.

So they are going to have to pay that nearly $70. USD

I bought into the LotR lines back when they came out and were a pretty good deal, but stopped when they effectively doubled in price. Is there any indication what is going to happen with this line?

The movies are all done so it is basically dead.

"But not everyone buys online and others just might want those models now and not wait to get them in the mail."

So people choose to pay more for some convenience. If you want the figures for $60 USD you can get them for that or less.

As usual Mithmee is basically just making stuff up. For some reason this time he has targeted Lord of the Rings.

GW formed a new Middle Earth division last year, headed by Adam Troke, who worked under Alessio Cavatore and Rick Priestley. Since then, GW has released new plastic terrain kits, re-released out of production models, released all new models through Forge World, and released a new campaign book with new scenarios and profiles. They have announced that a new edition of LOTR/Hobbit SBG is coming out next year, called Middle Earth SBG. Later this year they are releasing the new Battle Companies, which is a campaign system for LOTR/Hobbit. They have even had public playtests of new rules and units.

If anything, LOTR/Hobbit is about to be better supported than it has been in the last decade, possible even since the movies came out.

Well, I'm glad I checked back in with this thread for the update on the LotR line – thanks!

Has there been any indication that the line will get something like the old army boxes, i.e. a return to something friendlier to mass army collectors?

Not sure what happened with the hobbit. LOTR seemed to work well. Hobbit gets one boxed set, still with the limited first print run mini last time I checked (after the 3rd film came out), second film has just a thin book and 2 plastic heros (???) that seem to be made for a planned boxed set, the third film has free rules. Kind of a slippery slope. I put it down to finecast and price hikes. Some collectors didn't want resin (its a cheap junky material compared to metal, collector wise), also they were more expensive than LOTR, cutting out a lot of film fans.

That said I will be hopeful for a decent revival. I guess all plastic, pity. Hopefully they will be pocket friendly at least. Without the bit at a time style the films gave us, we may get decent ranges and lists all at once.

I think the biggest difference between LotR and the Hobbit was that the LotR films were really good.

Probably a lack of support went both ways and came from a lack of excitement with the films themselves.

The entire second film was about destroying a dragon that you can only destroy on a helluva critical hit.

Except for the battle of five armies you have little in the way of sustaining wargaming material.

Not to mention the fact that you first have to fork out a lot of cash to have any chance of even having the chance to attempt that critical hit on the model dragon. Perhaps the most important character in the films is out of most peoples reach.