Embracer Group sales for half-year are up at $524.2 million

Embracer Group has released their latest financial results, for H1 2020, which show growth across all sectors.

For the first half of the financial year for 2020, the company reported that their net sales have reached SEK 4.5 billion ($524.2 million). This is an increase of 85 percent year-on-year. The company reported that SEK 3.1 billion ($361 million) was attributed to games.

Furthermore, for the three months ending on September 30 total net sales were at SEK 2.4 billion ($279.5 million), which is an increase of 89 percent year-on-year. Out of this, the company’s game business made up SEK 1.5 billion ($174.7 million), which is an increase of 83 percent year-on-year.

The largest companies driving this growth were Deep Silver and THQ Nordic. Deep Silvers’ net sales were SEK 506.8 million ($59 million), and THQ Nordic’s were SEK 566.9 million ($66 million).

Net sales for Embracer Group’s partner publishing firm doubled to SEK 887.8 million ($103.4 million).

The company’s earnings before interest, taxes, depreciation, and amortization was reported to be SEK 969 million ($112.9 million). This represents an increase of 132 percent year-on-year.

Lars Wingefors, Co-Founder and CEO of Embracer Group, explained that the increases the company has seen are thanks to the company’s back catalogue of releases. He added that live service games such as Satisfactory and Deep Rock Galactic have also helped increase revenues.

Across the entire company, there are now a total of 135 games in development, which is up from 86 at this same point in 2019. The company’s headcount has also increased, up from 3,593 last year to 4,445 this year, an increase of 49 percent.

This last quarter has seen Embracer Group bring eight new companies into the fold. These have been added through mergers and acquisitions. Now they have announced a further thirteen acquisitions are in the works for this quarter. Included in the studios being acquired are Snapshot Games, Flying Wild Hog, and Zen Studios.

The expected total value of completed games for this financial year for embracer Group is estimated to be SEK 1.1 billion ($128.1 million). It was also added that this quarter will see fewer releases than are planned for Q1 of 2021, giving the industry a lot to look forward to.