Embracer reveals it laid off around 1,400 people in 6 months last year, but don't be a bellyacher—this is all about 'maximising shareholder value'

There may be a wider context of enormous industry layoffs, but the rate and volume of layoffs at Embracer Group over the last year is on an unprecedented scale. Everything seemed on an even keel until the collapse of a mystery $2 billion deal in May last year left its CEO gobsmacked (while the company's COO chose to fall on his sword) and resulted in what at the time was said to be a 5% cut to its global workforce, around 900 people.

The axe kept falling over the course of the year, with some studios closed outright, while the dire warnings about «restructuring» from the suits continued. And just to rub it in for readers of PC Gamer in particular, Embracer even laid off almost 100 staff at Crystal Dynamics and cancelled a Deus Ex game.

I have to say, Embracer hasn't exactly presented the greatest public face through all this. The first thing CEO Lars Wingefors said when the deal collapsed was to call it «a rough night», while its Chief Strategy Officer Phil Rogers later said the layoffs were «necessary» and it had made «good progress». Business is business, of course, and these layoffs may well have been inevitable: but it's always good to remember these are actual human beings losing their livelihood overnight. Especially if you're the one laying them off.

That slightly callous tone has continued in Embracer's Q3 financial report, which reveals that over Q2 and Q3 combined it has laid off 904 and 485 people respectively. That's 1,387 staff in six months, or around 8% of its workforce. 

Despite this, Embracer says it's unlikely to hit its target of getting its net debt under SEK 8 billion ($765.2 million) by the end of FY 2024. Then it goes on to further discuss reducing capital expenditure (capex), ie reducing its assets, and comes out with this stunner:

«Embracer still has a few larger structured divestment processes ongoing that could strengthen our balance sheet and further reduce capex. Processes are in mature stages. Certain companies might initiate