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NTRabbit posted:Apparently they uploaded it to two different locations, because it's still here http://investor.games-workshop.com/wp-content/uploads/2014/07/2013-14-Press-statement-final-website.pdf
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# ? Jul 29, 2014 11:26 |
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# ? Jun 8, 2024 06:44 |
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serious gaylord posted:Its...well, its not good. Those are the kind of numbers that will make the big pension investment shareholders question their commitment. I can't open the report at work, but is the 30% drop in customers released figures or something you've heard from your sources?
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# ? Jul 29, 2014 11:35 |
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Daedleh posted:I can't open the report at work, but is the 30% drop in customers released figures or something you've heard from your sources? Its something that was brought up at the last managers meeting.
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# ? Jul 29, 2014 11:35 |
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"Our market is a niche market made up of people who want to collect our miniatures. They tend to be male, middle-class, discerning teenagers and adults. We do no demographic research, we have no focus groups, we do not ask the market what it wants. These things are otiose in a niche." Hahahahahahaha oh my god. Who needs customer feedback? "What will not change is the eternal desire for some always to want yet more of the small, jewel-like objects of magic and wonder that we call Citadel miniatures." Like, I realize you're trying to trick investors with this thing, but this is so fuckin' dumb. Like you should be pointing out that you recognize you have competitors who are getting better all the time, and how you're reacting to that. Not some keep-on-keepin-on poo poo.
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# ? Jul 29, 2014 11:47 |
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Oh the things that could be said. Earning per share (take home profit divided by the number of shares of stock) dropped by over 50%. I'll just leave it at that for now.
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# ? Jul 29, 2014 11:52 |
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Darksaber posted:"Our market is a niche market made up of people who want to collect our miniatures. They tend to be male, middle-class, discerning teenagers and adults. We do no demographic research, we have no focus groups, we do not ask the market what it wants. These things are otiose in a niche." Cue the replies from GW apologists that are basically "who wants feedback from a bunch of neckbearded mouthbreathers anyways." quote:"What will not change is the eternal desire for some always to want yet more of the small, jewel-like objects of magic and wonder that we call Citadel miniatures." I just read that and my eyes rolled back into my head so far that I had to put my head down and rest for a moment or two.
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# ? Jul 29, 2014 11:55 |
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Darksaber posted:"Our market is a niche market made up of people who want to collect our miniatures. They tend to be male, middle-class, discerning teenagers and adults. We do no demographic research, we have no focus groups, we do not ask the market what it wants. These things are otiose in a niche." Lmbo this is amazing
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# ? Jul 29, 2014 12:01 |
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The melt down begins!
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# ? Jul 29, 2014 12:06 |
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In plain-as-gently caress layman terms for someone who does not understand stuff like stocks, earning per share etc, can someone explain just what this report says?
Hipster Occultist fucked around with this message at 12:36 on Jul 29, 2014 |
# ? Jul 29, 2014 12:10 |
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quote:Beyond next year, the business ought to be able to increase sales (single digit growth, not more) for many years and to provide owners with a steady flow of dividends. I say ‘ought to’ because no plan survives contact with the enemy GW: Our customers are our enemies.
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# ? Jul 29, 2014 12:11 |
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Hahaha! Who the hell writes a business report like that?
BadOptics fucked around with this message at 12:16 on Jul 29, 2014 |
# ? Jul 29, 2014 12:13 |
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Hipster Occultist posted:In plain-as-gently caress layman terms for someone who does not understand stuff like sockes, earning per share etc, can someone explain just what this report says? GW is dumb because they managed to lose about eleven million GBP even after desperately accelerating WH40k's release cycle by two years. Also they "spent" four million GBP to revamp their website in order to achieve roughly the same sales volume as the site had before the revamping. Also Tom Kirby thinks he is Steve Jobs and GW don't need no fancy market research. Also a bunch of other things that basically shows just how hosed GW has become.
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# ? Jul 29, 2014 12:18 |
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Hipster Occultist posted:In plain-as-gently caress layman terms for someone who does not understand stuff like sockes, earning per share etc, can someone explain just what this report says? As far as I can tell: "We made much less profit, spent 3 million on laying staff off, and are only paying shareholders half as much, but that's a good thing because mumble mumble mumble..." e: GW: small, jewel-like objects of magic and wonder before swine petrol blue fucked around with this message at 12:22 on Jul 29, 2014 |
# ? Jul 29, 2014 12:19 |
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Hipster Occultist posted:In plain-as-gently caress layman terms for someone who does not understand stuff like sockes, earning per share etc, can someone explain just what this report says? Everything is down. They aren't losing money, but the money that they made dropped by 50% compared to last year. Tom Kirby blames this solely on one-off costs, such as the website and CHS trial. They were a significant factor, but their sales were down too. This is with multiple major sellers launching in the year (space marines, knights, 7th ed). Those launches should have bumped their sales up significantly, and have done in the past. That sales still dropped despite those releases is borderline catastrophic. Tom Kirby brushes over these issues and says that he expects the business to improve next year, but gives no indication why he thinks this or what his plan is. Hr states that he has no need to carry out any customer research and provides several ludicrous statements that people will be quoting for years to come.
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# ? Jul 29, 2014 12:25 |
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Sydney Bottocks posted:GW is dumb because they managed to lose about eleven million GBP even after desperately accelerating WH40k's release cycle by two years. Also they "spent" four million GBP to revamp their website in order to achieve roughly the same sales volume as the site had before the revamping. Also Tom Kirby thinks he is Steve Jobs and GW don't need no fancy market research. Also a bunch of other things that basically shows just how hosed GW has become. They actually spent 0.9 million on the website. Its in the report. They wrapped up the redundancy payments for over 100 staff in that 'exceptional costs' figure.
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# ? Jul 29, 2014 12:25 |
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How does that "take loan to pay dividends" thing fit in here? Or was that pure unsubstantiated rumor?
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# ? Jul 29, 2014 12:27 |
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Pierzak posted:How does that "take loan to pay dividends" thing fit in here? Or was that pure unsubstantiated rumor? Unsubstantiated rumour.
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# ? Jul 29, 2014 12:29 |
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Pierzak posted:How does that "take loan to pay dividends" thing fit in here? Or was that pure unsubstantiated rumor? They took out a short term loan to cover any unexpected costs of restructuring the european business. The loan wasn't needed, so it was paid back immediately. They are a public company and as such any loans are reported. Idiots then took this to mean they were taking a loan to pay dividends.
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# ? Jul 29, 2014 12:33 |
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serious gaylord posted:They actually spent 0.9 million on the website. Its in the report. They wrapped up the redundancy payments for over 100 staff in that 'exceptional costs' figure. I know, hence why I put the word "spent" in quotes (to mean that they didn't actually spend 4 million quid on a website redesign).
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# ? Jul 29, 2014 12:52 |
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Guess who was bang on the money: http://masterminis.blogspot.de/2014/07/the-future-of-games-workshop-part-15.html?m=1
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# ? Jul 29, 2014 12:59 |
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Daedleh posted:Guess who was bang on the money: http://masterminis.blogspot.de/2014/07/the-future-of-games-workshop-part-15.html?m=1 I liked this bit: quote:Tom Kirby, chairman and acting CEO of Games Workshop said:
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# ? Jul 29, 2014 13:12 |
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I suppose you could make a case for their survivability being demonstrated by enduring such horrible numbers?
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# ? Jul 29, 2014 13:30 |
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moths posted:I suppose you could make a case for their survivability being demonstrated by enduring such horrible numbers? They are still making a profit. It is important to remember that.
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# ? Jul 29, 2014 13:33 |
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serious gaylord posted:They are still making a profit. It is important to remember that. It is also important to remember that the reason they are making a profit is because they are increasingly reliant on selling higher-priced products to a customer base that appears to be dwindling. This is not a sign of a healthy company with glowing prospects for the future.
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# ? Jul 29, 2014 13:37 |
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Sydney Bottocks posted:It is also important to remember that the reason they are making a profit is because they are increasingly reliant on selling higher-priced products to a customer base that appears to be dwindling. This is not a sign of a healthy company with glowing prospects for the future. Well no, but they can still recover from this. They're not dead, which is the point I was making.
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# ? Jul 29, 2014 13:37 |
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serious gaylord posted:Well no, but they can still recover from this. They're not dead, which is the point I was making. How, though? They've slashed costs literally to the bone, so they can't make any future savings by cutting costs further. They've engendered so much ill will that even the diehard loyalists are apparently beginning to abandon their products. Even the much-ballyhooed solution of "just reduce prices" isn't going to fix things, because they are now completely reliant on the money brought in by these highly-priced plastic mans. If they slash prices at this point, they are effectively cutting their own throats. I really am not seeing a way GW can right the ship and turn things around, short of being bought out by another company. Sydney Bottocks fucked around with this message at 13:51 on Jul 29, 2014 |
# ? Jul 29, 2014 13:42 |
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It's weird seeing those numbers. Last year, our store was devoid of 40k players (WFB was pretty popular, though). This year, we've got almost two dozen players back in the game, and Fantasy is still popular. So, locally, I don't see the reflection of those numbers. It's just odd... Then again, our group isn't buying a lot of legitimate 40k product, either. I know recast talk is taboo, but the vast majority of our local 40k players exclusively shop used on eBay and Bartertown and from china. Our FLGS owner doesn't even care, as most of his business comes from MTG. How do you repair that kind of consumer animosity without lowering prices? That Kirby guy's letter is ridiculous. I don't understand how a business can "survive" being run that way.
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# ? Jul 29, 2014 13:46 |
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Their profit isn't as down as much as expected because they've been massively cutting costs and amping up releases (dataslates, new edition, escalation, stronghold, Horus Heresy, new battle boxes, etc) to bring in more money. This sort of trend of falling so far, so fast isn't likely to ease up soon, I can forsee several further years of this sort of stuff ahead. They're not dead, but they (and their audience) seem to be shrinking at a dramatic rate. They also don't seem to have any plan to grow again or reverse the trend, everything is about downsizing rapidly. They could close all their stores, consolidate a few product lines and stay as a profitable company forever, but I can't imagine them dominating the wargame space ever again. At worst, they'd remain like D&D, a company with a "heritage" brand that struggles for $20 million yearly revenue. RubberJohnny fucked around with this message at 13:57 on Jul 29, 2014 |
# ? Jul 29, 2014 13:47 |
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Tuxedo Jack posted:Then again, our group isn't buying a lot of legitimate 40k product, either. That's the key right there, if GW: Shanghai and the 2nd hand market wasn't available, how many of them would still be playing 40k or Fantasy and not something else?
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# ? Jul 29, 2014 13:48 |
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I don't really think cutting prices would be so disastrous, since it would bring in a ton of fresh and returning customers. Plus they've already established the 'value' of GW figures at well above market rate. Dropping to rest-of-industry prices would give them a honeymoon period where people flip out and buy tons of "$60 kits" for $30 (or whatever) because they're still perceived to be worth twice that. And then they get some badly needed community goodwill. Besides, it's the only thing they haven't tried in thirty years.
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# ? Jul 29, 2014 13:52 |
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Is it in any way normal for a financial report to be written so casually? It reads like a fan update written by a one-man-shop game company, and little like Leonard J. Crabs.
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# ? Jul 29, 2014 13:55 |
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This is what happens when you focus on short term numbers. Everything GW looks great to a shareholder who sees their investment skyrocket, not to mention the CEO who probably gets rewarded on that stock price. The old CEO bailed right when he knew he couldn't extract anymore short term gains. Now all the problems are coming home to roost.
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# ? Jul 29, 2014 14:07 |
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Crackbone posted:This is what happens when you focus on short term numbers. Everything GW looks great to a shareholder who sees their investment skyrocket, not to mention the CEO who probably gets rewarded on that stock price. The old CEO bailed right when he knew he couldn't extract anymore short term gains. Now all the problems are coming home to roost. Amusing part of the now pulled report: Kirby took all stock options possible. The COO? Didn't take any. Also there was a comment that if Kirby did have brave plans for the new year, he certainly wouldn't put them in the investor report.
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# ? Jul 29, 2014 14:23 |
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You're forgetting that GW still owns some pretty extensive and recognizable IP; enough to be leveraged into substantial new markets, particularly video games, in the hands of a less stupid and domineering CEO. The Cyanide-made Blood Bowl adaptation turned enough profit to justify a sequel and a tablet version, and it's not even a particularly well made game. They might not be able to hold the tabletop market, but they can certainly open up new ones.
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# ? Jul 29, 2014 14:23 |
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Tuxedo Jack posted:It's weird seeing those numbers. Last year, our store was devoid of 40k players (WFB was pretty popular, though). This year, we've got almost two dozen players back in the game, and Fantasy is still popular. So, locally, I don't see the reflection of those numbers. It's just odd... Then again, our group isn't buying a lot of legitimate 40k product, either. I wouldn't take what happens at any individual store as representative of any wider trends. This includes the "40k is dead at my FLGS" type stories. My FLGS has a fairly active Blood Bowl League. When I got back into this hobby it was a good year or so until I saw anybody play a game of 40k at my FLGS, then about a year back they suddenly appeared in mass and for a while that lead to some friction as they competed with the Warmachine players for tables. I think 7th edition drove them off though. Though taking the temperature of the net it seems to bear out the "GW is hosed/gently caress GW" talk.
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# ? Jul 29, 2014 14:26 |
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fool_of_sound posted:You're forgetting that GW still owns some pretty extensive and recognizable IP; enough to be leveraged into substantial new markets, particularly video games, in the hands of a less stupid and domineering CEO. The Cyanide-made Blood Bowl adaptation turned enough profit to justify a sequel and a tablet version, and it's not even a particularly well made game. This is the avenue they are likely to exploit. Dawn of War made them millions, and directly resulted in an upsurge in sales for their miniatures. Same for the Space Marine game. They've licenced Mordheim and thats looking like it might be not awful too. If a new forward thinking CEO comes in, the miniature side of their business will stay the course its going. They will supplement their income by aggressively marketing their IP.
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# ? Jul 29, 2014 14:26 |
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They didn't carry the THQ deal over to Sega with relic though, instead choosing to kill the prospect of Dawn of War 3 and Space Marine 2 in favour of a dozen different developers working on casual games that make money through RMT. I mean, as well as the games we've all heard of, courtesy of a job I recently missed out on I can more or less vouch that a developer in Sydney has the license to make a 40k version of Battle Chess. There's probably half a dozen more like that as well, and the common denominator between them is that while they might be getting more in raw licensing money, they'll get next to no brand loyalty or people jumping from digital to table.
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# ? Jul 29, 2014 14:35 |
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moths posted:Besides, it's the only thing they haven't tried in thirty years. I know they did this a few times. They used a big price slash during the transition from 2nd to 3rd to basically stab all their competitors right in the jugular. Stuff like the whole Catachan line were way cheaper than the kits that preceded them. They pretty much managed to kill Target/Heartbreaker and Warzone/Chronopia because neither game weathered the onslaught of affordable high quality plastic kits that emerged in the late 90's. I mean, they had done cheap plastic stuff previously but the quality just wasn't on par with the later stuff and so it wasn't taken as seriously (despite the regiment filler packs for fantasy and the original plastic Marines being ground breakers).
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# ? Jul 29, 2014 14:37 |
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I don't know, the GW IP, like D&D is basically something shopped around various B-tier publishers, which in the AAA space are rapidly becoming an endangered species - as much as gamers don't like to admit it, AAA is coalescing around a variety of large event games like Destiny, which own their IP because there isn't one with a built in audience of 5 million+ guaranteed sales necessary for them to break even. They could go for some smaller developers in the downloadable space, like Magic: The Gathering and Warmachine have, but that's really the best you could hope for nowadays.
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# ? Jul 29, 2014 14:46 |
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# ? Jun 8, 2024 06:44 |
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Halloween Jack posted:Is it in any way normal for a financial report to be written so casually? It reads like a fan update written by a one-man-shop game company, and little like Leonard J. Crabs. No, it's quite insane. You're supposed to obfuscate bad news with impenetrable corp speak ( see Microsoft and the xbone), not make analogies suitef to bad warhammer novels
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# ? Jul 29, 2014 15:06 |