Feb 12 (Reuters) - Swedish video games group Embracer, which recently split into three listed companies, reported a quarterly operating profit above analysts' estimates on Thursday, as it relies on
Games group Embracer beats profit expectations driven by back catalog
Embracer Group's Financial Performance and Future Outlook
Feb 12 (Reuters) - Swedish video games group Embracer, which recently split into three listed companies, reported a quarterly operating profit above analysts' estimates on Thursday, as it relies on back-catalog titles to drive earnings.
Quarterly Profit Highlights
CONTEXT
Restructuring Impact on Operations
The Tomb Raider owner recently finished its split into three companies after a failed acquisition spree. Its board game business began trading as Asmodee at the start of 2025, while its independent game studios became Coffee Stain Group in December 2025.
Upcoming Game Releases
WHY IT'S IMPORTANT
European video game groups are restructuring their operating models and game development processes. Embracer's French peer Ubisoft is also splitting into five creative divisions based on specific game genres, it said in January, flagging several game cancellations and studio closures.
KEY QUOTE(S)
"Our performance in the quarter was driven by strong execution across core IPs including Kingdom Come: Deliverance, Dead Island and Tomb Raider," CEO Phil Rogers said in the earnings statement.
BY THE NUMBERS
The gaming group reported an adjusted operating profit of 528 million Swedish crowns ($59.4 million) for its fiscal third quarter, well ahead of the 336 million crowns expected by analysts it had polled ahead of the release.
WHAT'S NEXT
Embracer expects to report an adjusted operating profit of at least 750 million crowns for the full year, compared to the previous guidance of at least 1 billion crowns, which had included now spun-off Coffee Stain.
The group said the release date of "Gothic 1 Remake" would be moved to June 5. The release was previously expected in the fourth quarter of the financial year that ends in March.
($1 = 8.8912 Swedish crowns)
(Reporting by Vera Dvorakova in Gdansk; Editing by Milla Nissi-Prussak)
