Embracer Group reports annual net sales of $1.7 billion, seeing great potential in IPs like Deus Ex and Thief

Embracer Group has released a financial report for the year ended March 31, 2022. The Swedish holding company recorded revenue growth, while also sharing its further M&A plans and saying that it now has over 200 titles in its pipeline.

Tiny Tina’s Wonderlands

Key takeaways from the report

• Embraer Group reported net sales of SEK 17 billion ($1.7 billion) for the full fiscal year ended March 31, 2022. It is up 89% year-over-year.
• Net sales of video games were SEK 13.9 billion ($1.39 billion), which is up 116% year-over-year.
• Gearbox Entertainment had net sales of SEK 1.93 billion ($193 million).
• Koch Media’s net sales were SEK 2.49 billion ($249 million), which is up 20% year-over-year.
• Saber Interactive recorded net sales of SEK 1.69 billion ($169 million), which is up 43% year-over-year.
• Mobile game developer Easybrain, which joined Embracer last year, reported net sales of SEK 3.19 billion ($319 million).
• The holding company’s EBITDA was SEK 6.13 billion ($613 million), which is up 53.9% year-over-year.
• As of March 31, Embracer has a total headcount of 12,760 people, which is more than double compared to the previous year.
• The holding company has 118 internal studios. They are now working on 223 games, with 159 of them still unannounced.
• Embracer also plans to launch more than 25 AAA titles by March 2026.

M&A plans

• Acquisition-related amortization expenses amounted to SEK 8.53 billion ($853 million) for the whole financial year.
• Speaking of the recent acquisition of Crystal Dynamics and Eidos Montreal, Embracer Group now has rights to franchises like Deus Ex, Tomb Raider, Thief, and Legacy of Kain.
• The holding company said that it sees great potential in making not only sequels, but also remakes, remasters, spinoffs, and transmedia projects based on these IPs.
• Embracer noted that while it doesn’t have to make any further acquisitions to grow, it will continue to pursue selected M&A opportunities.
• “We have an exciting funnel of targets, with emphasis on bolt on acquisitions within existing operative groups,” CEO Lars Wingefors said in a statement.