Embracer has announced that its console and pc game sales for the first quarter of fiscal year (FY) 2025 have fallen by 34% to $253 million compared to the same time period last year.
The announcement comes as the company released it’s first quarter earnings report on Thursday morning.
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According to Embracer CEO Lars Wingefors, the drop wasn’t unexpected based on the market and the company’s portfolio at this point of the year.
“Due to a lack of notable new releases and a tough comparison from the successful release of Dead Island 2 in the corresponding quarter last year, the organic growth in the PC/Console Games segment was -30% in the quarter,” he said.
He did say that the overall decrease in net sales across all it’s gaming ventures (PC/Console, Mobile, and Tabletop) fell 24% year-over-year to $754.8 million. Wingefors added that the company did improve its cash flow while lowering its net debt.
Moving forward to the rest of the year, Wingefors says he’s confident targets will be hit for the remainder of the year and that the “pipeline of games looks solid”.
“We still expect to release completed games with a value of SEK 3.9 billion ($371 million) for the financial year,” he said. “Our highly anticipated game Kingdom Come: Deliverance II, is now confirmed for global release on February 11, 2025.”
Other games planned for release in fiscal year 2025 include Killing Floor 3, Hyper Light Breaker, Monster Jam Showdown, Titan Quest 2, and more. The company said back in May that it expects to release “more than 70 projects” this fiscal year.
As far as increasing profitability, Embracer says that it will continue to focus more on its “own and controlled IPs”. The company claims that those titles “typically have better unit economics”.
What do you make of Embracer’s sales falling by 34% and their plans to focus on their own IPs? For more Insider Gaming, check out which beloved PS4 games is now running, kind of, on PC.
What did they release? Just fold everything into THQ Nordic. They need to close down Dark Horse that’s where costing them.