Embracer Group Report: sales are growing, restructuring is going according to plan

Swedish Embracer Group has published a report for the first fiscal quarter ended June 30. The company reported that the quarter’s results exceeded its expectations.

For three months, Embracer Group’s net sales amounted to $955.2 million, which is 47% more than last year.

▪️The most sales were in the console and PC games segment — $365.25 million. An increase of 74% in annual terms. This was achieved thanks to the “high performance” of Dead Island 2, as well as an increase in the efficiency of the Crystal Dynamics – Eidos group.

▪️Sales in the table games segment increased by 20% to $291 million, and in the mobile games segment decreased by 3% to $131.4 million.

Embracer Group closed the quarter with a net profit of $205.7 million. A year ago, the company reported a loss of $16.6 million.

Embracer Group’s debt to creditors amounts to $1.64 billion. The company plans to reduce it to about $700 million by the end of the fiscal year.

Embracer Group announced that it has taken the first steps in the framework of restructuring. In particular, she began to close some projects and studios. Which ones are not specified, but in early August it became known about the closure of the Campfire Cabal studio. The restructuring is expected to be completed by March 31, 2024.