Frontier Developments shares plunged to their lowest level in nearly a decade amid subdued demand for its latest release.
The Cambridge-based computer game maker’s shares tumbled 20.4 per cent, or 40p, to 156p after it said sales of Warhammer Age Of Sigmar: Realms Of Ruin have been ‘lower than expected’.
As a result, the full-year revenue target of £108million was not ‘likely to be achieved’.
It said it now expects revenues of £80million to £95million while maintaining its prediction of a £9million loss.
The game is based on the battle figurines developed by Games Workshop.
Flop: Frontier tumbled 20.4%, or 40p, to 156p after it said sales of Warhammer Age Of Sigmar: Realms Of Ruin (pictured) have been ‘lower than expected’
But Frontier conceded that attempts to widen its portfolio of games over the last five years, including making titles for genres outside of its core focus area, has ‘not delivered the anticipated success’.
It said it would now pivot back towards its staple area of construction and management simulation (CMS) games such as theme park manager Planet Coaster and dinosaur zoo manager Jurassic World Evolution.
Boss Jonny Watts said: ‘I am confident that our renewed focus on CMS will return Frontier back to profitability, deliver stimulating games to our players and provide rewarding opportunities for our people.’
Frontier announced redundancies and a freeze on hiring in a bid to cut costs and return to profit.
Russ Mould, investment director at AJ Bell, said: ‘The market has lost count of the number of profit warnings issued by Frontier Developments in recent year