Frontier Dev Share News (FDEV)

Video game developer Frontier Developments reported a 20 per cent fall in half-year underlying revenue to 4.7m pounds.The company said the timing of gaming releases and the costs associated with investments and its initial public offering hurt revenues in the six months through November.The launch of Coaster Crazy Deluxe towards the end of November and only small recognition of Elite: Dangerous revenues meant that self-published revenues dipped by 36% in the six month period.Adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) dropped to £0.04m from £1.93m the previous year.During the period the Frontier invested 114% more in self-published titles and technology. In order to fund its investments and initial public offering, the group completed a £5.4m fundraising. "We have entered an important investment phase of our business as we move to deliver high growth in the medium to long term through refocusing our business from a low margin cost plus business model to one of a significant revenue share," said Chief Executive David Braben. Shares jumped 10.24% to 14:08 on Wednesday.RD