PlaySide Studios Limited

ASX:PLY

PlaySide Studios Limited

ASX:PLY
TradeAdd trade order Follow Unfollow Set Price Alert
$0.875 (-2.8%)
Last close price
#14
Rank
30
Held by
67
Followers
TradeAdd trade order Follow Unfollow Set Price Alert
Reports (8) My Report Forum Investors
Forum Topics PLY PLY Q2 FY24 Results

Pinned straw:
Strawman
Added 3 months ago

Nice to see a 20%-odd jump in the share price today, which takes shares in Playside back to an 18 month high (and double where it was in late Feb last year). Talk about a wild ride.

The catalyst of course was the latest Q2 result (see here), which delivered record revenue across all segments -- about double the previous corresponding quarter, and 33% from the preceding quarter.

Also very nice to see positive EBITDA, which came in at double the Sept quarter read, as well as a operating cash inflow of $11.2m which takes the cash balance to just over $38m (about 15% of the current market cap).

Playside even increased FY revenue guidance from $55-60m to $60-65m; about a 9% lift at the midpoints and will be a 63% improvement on the prior year. EBITDA is expected to be flat in the second half due to a first half skew and increased headcount (needed to support future growth) but is expected to be $11-13m for FY24.

Accounting for today's jump, that puts Playside on a forward EV/EBITDA ratio of ~21x. Doesn't seem excessive given the growth and runway, especially as with a healthy balance sheet and free cash flow generation.

Held.
RobW
3 months ago

Ipad was thinking, so ended up pushing the tit three times. Feel free to like all three !!

Apologies.

RobW

5
RobW
3 months ago

@Strawman. Quite a remarkable set of results. To achieve Revenue for H1 FY24 which is 94% of that achieved in the Full Year FY23. Original IP is even more impressive coming in at 118% of that achieved in the Full Year FY23. Work for Hire at 78%. Worth remembering that FY23 carried the gift of $8m net Income relating to the Beans NFT's.

Suspect the lift on Guidance will tend to be conservative. Understand why they gave Guidance on EBITDA but may regret this. The old story of creating a rod for their own back.

Half Year financials to follow.

Rob W

14
Strawman
3 months ago

Good point re the NFTs @RobW -- I don't think they'll be able to repeat something like that anytime soon. Just lucky to do it when that (ridiculous) mania was at its height. (Although you have to feel for the poor saps that bought one...had a quick look at OpenSea and the prices they are fetching now days are around 90% lower since they were minted.)

The originalIP segment is certainly the most exciting (yet risky) part of the business. Extremely high gross margin sales can really boost the bottom line if they mange to deliver a hit. And there can be a very long tail on that IP.

It's a dark art, but it's encouraging that Age of Darkness has excellent reviews on Steam, and World Boss is getting mostly positive reviews (67% of recent reviews are positive).

Anyway, happy to confirm that I've manged (finally!!) to lock in Gerry for a meeting next Tuesday. Will be great to get some more detail on things.

24
RobW
3 months ago

@Strawman. Quite a remarkable set of results. To achieve Revenue for H1 FY24 which is 94% of that achieved in the Full Year FY23. Original IP is even more impressive coming in at 118% of that achieved in the Full Year FY23. Work for Hire at 78%. Worth remembering that FY23 carried the gift of $8m net Income relating to the Beans NFT's.

Suspect the lift on Guidance will tend to be conservative. Understand why they gave Guidance on EBITDA but may regret this. The old story of creating a rod for their own back.

Half Year financials to follow.

Rob W

6
RobW
3 months ago

@Strawman. Quite a remarkable set of results. To achieve Revenue for H1 FY24 which is 94% of that achieved in the Full Year FY23. Original IP is even more impressive coming in at 118% of that achieved in the Full Year FY23. Work for Hire at 78%. Worth remembering that FY23 carried the gift of $8m net Income relating to the Beans NFT's.

Suspect the lift on Guidance will tend to be conservative. Understand why they gave Guidance on EBITDA but may regret this. The old story of creating a rod for their own back.

Half Year financials to follow.

Rob W

6