Weak sales of new releases and an overall decline in revenue are the main highlights from Embracer Group's report
Embracer Group reported for June-September 2025. This is likely the last or one of the last financial reports before the final division of the holding into three public companies.
Killing Floor 3
- Compared to last year, revenue for Embracer Group fell by 19%, amounting to 3.85 billion Swedish kronor (407.4 million dollars).
- Sales from PC and console games brought in 1.85 billion Swedish kronor (196 million dollars) for the holding, which is 13% less than in 2024. Embracer Group acknowledged that several games released between July and September showed weak results. Among them were Frosthaven, Echoes of the End, and Metal Eden. Additionally, sales of Killing Floor 3 were below expectations. Collectively, the new releases earned 238 million Swedish kronor (25.2 million dollars, -11%) for the quarter.
- Revenue from mobile games fell much more sharply—by 61% to 535 million Swedish kronor (56.6 million dollars).
- The segment of non-gaming entertainment and services was the only one to increase revenue. Its revenue grew by 17%, reaching 1.46 billion Swedish kronor (154.7 million dollars).
- Despite the decline in revenue, Embracer Group is close to returning to profitability. At the end of the quarter, its net losses decreased 19.6 times and now amount to only 23 million Swedish kronor (2.43 million dollars).
- At the end of September, Embracer Group employed 6,935 people, a decrease of 293 employees compared to the end of June.
Embracer Group also reported that the spinoff of Coffee Stain Group into a separate company is on track. It is expected to occur in December 2025. Embracer Group itself will change its name to Fellowship Entertainment after its fiscal year ends, i.e., no earlier than April 1, 2026.