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(Sharecast News) - Video game developer Frontier Developments shot higher on Wednesday as it hailed a record full-year performance and announced a special dividend.
In the year to the end of May, adjusted operating profit rose 62% to a record £21.4m on revenue of £104.8m, up 16% on the previous year. Revenue was driven the success of Jurassic World Evolution 3, and the ongoing strength of the Planet Coaster and Planet Zoo franchises.
Basic earnings per share ticked up to 74.6p from 42.4p and Frontier Developments announced a £5m special dividend payable on 9 October. "The special dividend reflects confidence in the group's financial position and prospects, while maintaining sufficient resources to support investment in future growth initiatives and strategic opportunities," it said.
Cash increased to £44m at the end of May from £42.5m a year earlier, despite a £17.5m investment in Frontier shares during the year. Excluding this investment, cash increased by a record £19m.
Chief executive Jo Cooke said: "FY26 was a landmark year for Frontier. We delivered record financial performance, demonstrated the strength of our CMS strategy, and continued to invest in the world-class franchises our players love, supporting vibrant communities and long-term engagement across our portfolio.
"With a strong balance sheet, a talented team, and an exciting roadmap ahead, we are well positioned to deliver sustainable growth, enduring player value, and long-term returns for our stakeholders."
At 1420 BST, the shares were up 17% at 521.72p.
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