Report

Outlook: An unrivalled video game outsourcing offering

Keywords Studios has released its 2015 results, revealing a company transformed by a blend of strong organic growth, supplemented by strategic M&A with revenues up 55% to €58.0m (c 20% organic growth). These results closely follow its most recent deal announcement, which will see it acquire China-based art production company Mindwalk. Keywords’ capabilities now span six service offerings and four continents, allowing it to service its stable of blue-chip clients, in all major video game development hubs. The outsourcing market remains highly fragmented and Keywords intends to continue to lead industry consolidation. We believe that further deals consistent with those completed to date have the potential to create additional value.
Underlying
Keywords Studios plc

Keywords Studios is a technical services provider to the video games industry. Co.'s segments include: Localization Services, which relate to translation and cultural adaptation of in-game text and audio scripts; Localization Testing, which includes testing of linguistic correctness and cultural acceptability of computer games; Audio/Voiceover Services, which relate to audio production process for computer games; Functional Testing, which relates to quality assurance services provided to game producers; Art Creation Services, which relate to the production of graphical art assets for inclusion in the video game; and Customer Support, which relates to the live operations support services.

Provider
Edison Investment Research
Edison Investment Research

Edison is an investment research and advisory company, with offices in North America, Europe, the Middle East and AsiaPac. The heart of Edison is our world renowned equity research platform and deep multi-sector expertise. At Edison Investment Research, our research is widely read by international investors, advisors and stakeholders. Edison Advisors leverages our core research platform to provide differentiated services including investor relations and strategic consulting.

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