PLAYSIDE STUDIOS LIMITED (PLY)
Share Price Analysis and Chart

08/08/2025

1

Buy, High Risk

$0.43

95.45%

Shaw and Partners has reiterated its Buy, High Risk rating on Playside Studios following a $6.6m equity raising to strengthen its balance sheet ahead of the major game launch Mouse: P.I. For Hire.

The pre-launch metrics for Mouse indicate a material revenue opportunity, highlights the broker, with Playside Studios now forecasting a $24m two-year revenue contribution.

Cash burn is expected to reduce significantly in FY26. Shaw notes improving sentiment in the broader video game industry, which could help convert work-for-hire (WFH) contracts.

The broker lowers its price target to 43c from 50c, reflecting lower forecast cashflows, particularly from WFH contracts.

FORECAST
Shaw and Partners forecasts a full year FY25 dividend of 0.00 cents and EPS of minus -2.40 cents.
Shaw and Partners forecasts a full year FY26 dividend of 0.00 cents and EPS of minus -0.90 cents.

23/07/2025

1

Buy

$0.50

127.27%

Playside Studios' FY25 trading update with revenue of around $49m was below Canaccord Genuity's forecast of $51m and consensus at $52m, and at the bottom end of previous guidance.

The company also flagged an expected loss of -$7m to -$8m against previous guidance of -$6m to -$10m, including restructuring costs of -$1.6m. Cash balance expected to be $13m-$14m, which infers a lower cash burn than anticipated.

The downgrade reflects ongoing delays to conversion of larger work-for-hire opportunities in last-stage negotiations, the analyst explains.

Buy. Target unchanged at 50c. The rally in the share price by 21% post-announcement is viewed as a relief signal that Playside's liquidity position has improved.

FORECAST
Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of minus -3.54 cents.
Canaccord Genuity forecasts a full year FY26 dividend of 0.00 cents and EPS of minus -0.21 cents.