Embracer Group Reports 13% Increase In Net Sales As Restructuring Continues
Embracer Group has slightly recovered from its failed $2 billion deal which nearly resulted in the collapse of the Swedish video game holding company.
According to its Q2 2023 financial report, net sales are up by 13% year-over-year, amounting to SEK 10.8 billion (roughly $1 billion) from June to September 2023. Its net debt has also been reduced by 31% and is now at SEK 14.6 billion (roughly $1.4 billion).
The turn around, however, came with a steep price with the cancellation of 15 in-development titles and nearly a thousand employees laid off as of the end of September in line with Embracer’s restructuring and cost-cutting measures. That amounts to 5% of the company’s workforce across multiple studios including Beamdog, Campfire Cabal, Crystal Dynamics, Gearbox Publishing, and Volition Games.
“It’s never easy to part ways with talented individuals,” Embracer CEO Lars Wingefors said. “I would like to put on record a special thanks to the people who have left Embracer in the quarter. These are difficult decisions and we do not take them lightly. For me, personally, it is crucial that the program is carried out with comion, respect, and integrity.”
The Cryptic Studios, Digic, and Zen Studios weren’t included in the report so expect those numbers to go up in the company’s next quarterly financial report.
Embracer Group Interim Report Q2 FY 2023/24 is published: Net sales increased by 13% to SEK 10,831 million.
the full report:
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