CDM.L Share News (CDM)

(Sharecast News) - Codemasters said on Friday that the release date of the Fast & Furious Crossroads game is now "uncertain" after the release of the film was delayed by 11 months.
The game had been due for release in May, alongside the film. However, Universal Pictures announced this week that the film was being delayed until April next year due to the coronavirus outbreak.

Codemasters said that while timing for the launch of the game is now uncertain, provided it is released in the first quarter of next year, the later release date of the film will not have a material impact on its financial expectations for FY21.

A further announcement will be made in due course, it said.

Broker Liberum said: "We have ?12m of F&F game revenue in our model for FY21 which contributes to group EBITDA of ?29.5m. If the game was to move into FY22 then the revenue short-fall would largely drop-through to profits, but equally there would be an implied upgrade in FY22 revenues. The company had ?25m of cash at end September and under any scenario we would expect the company to generate cash in FY21."

Peel Hunt said: "Whilst a delay is never good, on the upside, more time before release should enable it to continue to polish up the game and further develop any post-launch strategies it has in the making."

At 0855 GMT, the shares were down 6.8% at 221.00p.