Embracer Group’s Sales Take A 22% Drop, Though Kingdom Come: Deliverance II’s Success Has The Company Looking Positively At The Future

You probably just remember Embracer Group as the company that, in a lot of ways, blew up the games industry. After it acquired studios like they were Pokémon cards, and then laid off hundreds of game developers after one deal went bad, and shut down historic, long-running studios over the last four years, then sold off a bunch more, that reputation becomes hard to shake.

However it still owns quite a large number of studios, teams that are still making great games, despite the struggles that their parent company has gone through. Warhorse Studios is one of those teams, and the success that Kingdom Come: Deliverance II has enjoyed has Embracer Group hoping for a brighter future.

The company just released its financial results for the last nine months of 2024 ending December 31, 2024. Net sales went down SEK $1.5 billion, or 22% from the previous year. Embracer also had a net loss of SEK $1.3 billion.

Kingdom Come: Deliverance II however, hit 1 million copies sold on February 5, which was one day after its release date on February 4, 2025.

That early boom has Embracer Group chief executive officer and man who is “sure” that he deserves “a lot of criticism,” Lars Wingefors, looking to the future with a more positive energy.

“It is our strong belief that the game will continue to generate substantial revenues over the coming year, highlighting the exceptional quality, immersion and appeal of Kingdom Come: Deliverance II.

Warhorse Studios has a robust roadmap, including updates and new content over the next 12 months, ensuring an engaging and continuously evolving experience for the community,” said Wingefors.

Though he’s not relying on just Warhorse to pick the whole ship that is Embracer up. Wingefors knows that there’s still plenty of work to be done across the rest of its studios.

“Embracer today has an increased focus on IP development within PC/console and mobile. However, we recognise that there is still work to be done to further enhance our operational resilience and optimise our business for the future.”

Wingefors also confirmed that the company has, across its studios, “10 AAA games under development, of which eight are from internal studios and two from external studios.” Those 10 games are currently scheduled to arrive within the next three years.

It’s great that Wingefors isn’t blind to the fact that there’s a lot of work Embracer has ahead of it. But it does remain a wonder that he’s still the one left around to lead that work.

Source – [GamesIndustry.Biz]