By capturing more and more important companies, Embracer eventually reached a remarkable level of 1 billion annual turnover. With reinforcements such as Gearbox, Easybrain, Asmodee and Dark Horse, the Lars Wingefors Group even achieved a turnover of 1.6 billion euros in the current financial year. Another logical consequence of these increasingly expensive acquisitions was a surge in operating expenses (2.27 billion euros), so the group showed a net loss of 408.6 million euros per year. In jargon, this is called a transition year. Don’t expect Lars Wingefors to put the acquisition on hold and take time to digest. “Needless to say, we don’t need to make any further acquisitions to grow. Nonetheless, we will continue to pursue additional M&A opportunities to support our long-term growth goals.“, he commented.
hugger results
period | turnover | Operating income | net income |
---|---|---|---|
April 2020 – March 2021 | 859.5 million euros | 45.4 million euros | 27.3 million euros |
April 2021 – March 2022 | 1.6 billion euros | – EUR 353.8 million | – EUR 408.6 million |
And then hey, how can you resist when Square Enix offers you two AAA studios, a mobile studio, and a license like Tomb Raider for $300 million? “During the second quarter, we further strengthened our development capabilities and licensing portfolio by entering into agreements to acquire Crystal Dynamics, Eidos Montreal and Square Enix Montreal, including Tomb Raider, Deus Ex, Thief and Kai Grant’s Legacy” and other licenses. The announcement received an enthusiastic and positive response. We see huge potential, not only in sequels, but in remakes, remakes, spinoffs, and transmedia projects across the group.We expect the transaction to close between July and September”, Embracer’s CEO confirmed.
Failing to count on a surprise card like Valheim a year ago, Embracer has relied on contributions from its catalog for enduring titles such as Metro Exodus, SpongeBob SquarePants: Battle for Bikini Bottom – Rehydrad, Wreckfest, Biomutant, Deep Rock Galactic and more Bad titles, Valheim, Satisfactory and Goat Simulator as well as new high-performance releases like Hot Wheels Unleashed. Unfortunately for him, while management thought Piranha Bytes’ RPG would sell well in the long run, Elex II fell short of expectations. The quarter was on fire, with Tiny Tina’s Wonderlands beating Gearbox’s expectations, turning in $84 million in the month of its release. However, it was publisher Take-Two Interactive that initially benefited, and Gearbox still had to wait to receive royalties for the title.
Composition of Embracer’s Video Game Subsidiary
The right choice: With casual puzzle games such as Blockudoku, Sudoku.com, Jigsaw Puzzles, Nonogram.com and Art Puzzles, Easybrain achieved the highest annual turnover of all the group’s video game subsidiaries. Founded in Limassol in 2016, the studio surpassed 1 billion downloads on iOS and Android in November 2021.
Subsidiary | Number of employees | number of studios | annual sales |
---|---|---|---|
THQ Nordic | 988 employees | 21 studios | 164 million euros |
Koch Media | 2,274 employees | 13 studios | 237 million euros |
Sabre Interactive | 2,671 employees | 24 studios | 161 million euros |
gearbox | 961 employees | 4 studios | 184 million euros |
coffee stains | 123 employees | 7 studios | 62 million euros |
Deca Games | 814 employees | 10 studios | 159 million euros |
Easy Brain | 271 employees | 1 studio | 304 million euros |
Asmodeus | 2,346 employees | 22 studios | 54 million euros |
Top 25 AAA games for March 2026
Embracer expects strong organic growth in the new fiscal year, thanks to the launch of several important games. “In the long run, the catalogues we plan to launch in FY22/23 will have at least 3x higher cumulative investment value compared to FY21/22., can we read it? At first, games like Dead of Evil: The Game (500,000 copies sold in five days) and Song of Conquest were worth watching, but Embracer is betting that the next AAA release is Saints Row in August 2022 Reboot on the 23rd.