During the quarter, the holding fired another 483 people.
The Embracer Group holding spoke about the interim results of a cost reduction program launched after the failure of a major contract. According to the holding’s latest report, by the end of December 2023, 1,387 people were fired from the company’s divisions.
Of these, 483 people were laid off in the last quarter. The report notes that Embracer will continue to cut costs through both layoffs and the sale of some company assets.
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Representatives of Embracer did not specify which assets could be sold, but noted that negotiations on the sale are moving forward. At the same time, the holding expects that by the end of the financial year (March 31, 2024), Embracer’s debt will not be reduced to $761 million, as planned.
It is noteworthy that the last quarter was a record quarter for Embracer. The holding’s revenue reached $1.15 billion (+4% compared to last year), net profit reached $210 million.
According to the founder and head of Embracer, Lars Wingefors, the reduction program will transform the holding into a stronger and more compact company. Wingefors did not specify when the cost cuts would be completed.
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