Embracer Laid Off Nearly 1,400 Employees in Less Than a Year

Embracer Group has published a new financial report, revealing a net sales growth of 4% to SEK 12,050 million ($1.1 billion) in Q3. However, there are more impressive statistics visible in the report.

The company continues its restructuring efforts and, as it's promised, cuts teams and cancels projects. As a result, it managed to increase its net sales by 13% in Q2 and now by 4%. Embracer's interim chief strategy officer Phil Rogers called the layoffs "agonizing" but "necessary."

From the new report, you can see that in less than a year, Embracer let go of 1,383 workers: in March 2023 it had 16,601 employees and by the end of December – only 15,218. The company has also canceled 42 games, it seems, as it's now working on 179 projects but there were 221 in March.

Image credit: Embracer

One of those unfortunate titles was a Deus Ex game developed by Eidos Montréal. Campfire Cabal, Free Radical Design, and Onoma (formerly Square Enix Montréal) were among the studios shut down during the restructuring.

Despite this, Embracer's net sales are growing:

• PC/Console Games: decreased by -5 % to SEK 3,379 million (3,575).
• Mobile Games: increased by 4 % to SEK 1,642 million (1,573).
• Tabletop Games: increased by 7 % to SEK 4,425 million (4,146).
• Entertainment & Services: increased by 12 % to SEK 2,604 million (2,328).

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