I wondered about that today too…
And the same earlier with Remedy. They buy their own shares and start an option program. Perhaps this is just the best and most efficient way to handle it, meaning they buy their own shares and still settle old Larssin trade agreements with these earn
This week, own purchases would probably come to an end, didn’t get anywhere near Asmodee this time.
Expectations (13.11) are, as many analysts also believe, that a triumphant quarter is not coming.
Titan quest 2 (early access) close to or over 500k sales. A successful revival of an old game series.
Killing Floor 3 perhaps 500-750k in sales. The game underwent heavy polishing, but as an UE5 game, it still wasn’t ready for everyone to enjoy. But I stand by my opinion that it was better to postpone it than to release it early in the year. Perhaps the Roi figure is 0.5.
Metal Eden received good reviews, but isn’t selling. The studio’s previous game Ruiner would have offered better potential.
Echoes of end gathered a good amount of attention, it’s an ambitious project by an Icelandic indie\\!!!\\ developer. I have no idea how much money went into this, but it seems to be a fairly cheap project. The game seems to have been polished to be quite functional now, but a sales tail may still come despite that.
Goat simulator 3 flashed alongside Alan Wake 2 as PS games of the month, at least here the kids liked the goat driving a tractor. Adults played the other one.
The Rumor department is still strongly convinced that Savvy and Embbu have signed a contract for a new Lotr game for 100m€, and the game’s development is already well underway with several studios.
The original Saints Row director shouted around the internet that he knows the magic recipe to revive the game series. A few weeks later, Embracer asked him to present his ideas.
Kingdom Come deliverance 2 is preparing for galas - Embracer’s most visible and profitable release this year.
…Embu’s AAA studios continue to develop the game pipeline, in which apparently over a billion has been invested…
Coffee Stain’s spin-off date is not yet set. But Satisfactory just came to consoles, so nothing else to do but build factories and production lines among millions of others.
There have been many rumors about the remaster of the first Kingdom Come: Deliverance. It seems likely for next year, especially after the huge success of the second part. It will likely be a very profitable project. The original, of course, also works on current consoles and probably sells somewhat, but 30fps, poor resolution, slow loading times, and QoL (Quality of Life) shortcomings are unlikely to attract in the big picture, despite the low price.
Is anyone else slowly starting to feel like we won’t be getting away this year?
Yes, there have been so many active announcements from Embracer regarding this divestment and an info brochure from Coffee Stain within this month, that it’s intended to be finalized by the end of the year, so I don’t really have doubts myself. Even in Asmodee’s case, the final announcement of the separation date came less than two weeks before the separation. I expect we’ll be wiser again on Thursday after the earnings report.
Things moved forward a bit again, almost in line with forecasts.
KcD2 reached the milestone of 4 million copies sold.
Lotr brought good growth, and services and entertainment grew. The PC segment struggled, as already discussed here.
Guidance was reiterated.
The rumors were just rumors.
Coffee Stain’s CMD today 13-16 CET
\[ Capital Markets Event 2025 \]
Based on the company’s website front page, you get a quick overview of the company’s game offerings.
\[ https://coffeestain.com/ \]
And Pareto’s (very bullish) view on Coffee Stain was EV/adj. EBIT at a multiple of 12. But this will surely be updated once the CMD is over.
\[ Nordnet \]
Even though Embracer (Embu) has faced considerable headwinds, I will continue to hold. My thesis is that Embracer’s cash reserves can withstand the turbulence of the game market until its own AAA pipeline starts coming out.
Speculation – but strategically interesting.
Some thoughts. If the Saudi PIF fund truly wants to grow its role in the global entertainment and gaming sector (by acquiring the entire WarnerBros group or a part of it), then the LOTR game rights held by Embracer are one of those key points that will inevitably come to the table.
I’m not claiming that PIF would buy Embracer or the LOTR rights – but it’s good to understand that the LOTR rights are fragmented among many parties.
Warner Bros still has some LOTR-related assets, such as the Nemesis system (Shadow of Mordor), as well as rights related to their previous film productions. Embracer, on the other hand, has a large portion of the game and licensing rights through Middle-earth Enterprises.
This fragmentation has not suited WB’s model very well, which is why new games haven’t been released since Shadow of War. Embracer, on the other hand, has utilized the rights differently.
From this perspective, it’s interesting to follow how the LOTR rights will ultimately settle if changes occur in Warner Bros ownership. Lars likely wants to keep Fellowship independent, but at the same time, we know that the pieces of rights are, in principle, for sale if someone wants to combine the whole.
So, not a prediction, but a strategically quite possible scenario, when looking at how big moves are happening in the industry.
Hello everyone!
We know there were some issues with the broadcast from Coffee Stain on Monday, but now it’s better than ever. Get to know the company from Embracer in depth here:
Interesting expression. LOTR IP material has indeed been utilized in many ways. Under Embracer’s ownership, one of the worst games of all time, Gollum - Metacritic 33/100, has been released. A terrible animated film LOTR War of the Rohirrim and Amazon’s absolutely awful creation The Rings of Power TV series. In addition to these, an attempt was made to develop an MMO game, which Amazon just scrapped.
When also considering that the LOTR IP will enter the public domain in 2042, the IP does not have much value, and Warner still holds the most important and significant right, namely the licensing rights for films. Embracer also does not own the rights to the books; they are still with the Tolkien family.
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THQ has once again released a new flop. SpongeBob SquarePants: Titans of the Tide
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I also watched Coffee Stain’s webcast and was not convinced. Results are declining, the roadmap for future years is unclear, and they are threatening that adjusted earnings will fall further.
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Embracer is apparently bringing Carmageddon back. THQ Nordic owns the IP, and the game is being developed by Embracer-owned 34BigThings. ███████████: Rogue Shift Steamissä
There has been no fan celebration regarding the varying quality with which LotR has been utilized.
Embracer hasn’t yet produced a single game with its own studios, or at least brought one to light. They are mainly a license seller for LotR titles.
Gollum was already almost finished at Daedelic Studios when the rights transferred to Embracer a bit earlier, and Embracer didn’t yet have a significant role.
The purpose of the anime film was probably mainly that the film rights would remain with WarnerBros.
Amazon’s MMO game has already been buried twice; at the same time, they also shut down other MMO projects. Even the previous LotR Online is barely surviving thanks to a large amount of content.
The IP is not dead yet; if the new film succeeds, then games will follow, and the value of the rights will increase.
But Warner isn’t sold yet; I just put down my thoughts on those licenses and who owns what. Tolkien’s estate has not given up the books, nor will it.
Paavo might succeed in a category where there are 4-10 year old Paw Patrol fan groups and other morning cartoon friends at their consoles.
Coffee Stain’s spin-off day is here.
December 5th is the last day to own Embracer to receive Coffee Stain shares.
Following the divestment, which on paper sounds like a very good outcome and will bring in some money.
Fellowship (the game) was transferred to Coffee Stain along with its team.
26.11.
Then a few more thoughts of my own on the divestment…
Embbu (Embracer) started following Amazon’s gaming trend here, and MMO games are not wanted for the upcoming Fellowship.
Fellowship (the game), which has had a good start in early access on Steam, was simultaneously transferred to Coffee Stain…
…fits well. And at the same time, Coffee Stain gets a little extra flavor.
Star Trek Online and Neverwinter have occasionally (last year) appeared as steady revenue generators and have established their player bases. Some cash flow will be lost here, but it has been declining. At the same time, a bigger problem from the beginning of the year, namely Hyperlight Breaker, was thrown overboard.
The acquisition price seems cheaper than what was previously paid for Arc Games, but back then Arc had the publishing rights for Remnant.
From these perspectives, I think this divestment is in the right direction as the forms of Fellowship are being cast.
They should change the name Fellowship; the game and the company just get mixed up.
28.11.
Killing Floor 3 is apparently still being attempted to be saved somehow, and it will be a PS Plus game of the month in December.
Perhaps at the same time, based on player data, an assessment will be made regarding Tripwire. KF3 had much higher expectations than current sales, and the ROI (return on investment) should have at least brought back its own early on.
The polishing work of the game became problematic for many players due to engine optimizations, but I think I’ll go and test the game now that it’s available.
It remains to be seen whether the period after December will also mean a situation for Tripwire where they would not continue as part of Fellowship… I don’t believe in closure, but some separation process might occur.
There seems to be plenty of these, and perhaps clear tools have now been brought out, indicating that the parent-Fellowship wants to get rid of weak projects.
[ Eidos-Montreal Layoffs: Studio Cancels Projects, Shifts to Xbox Suppor ]
Eidos is undergoing major strategic changes. Most of their own projects have been canceled, and resources are being shifted to support Fable and Grounded 2.
At the same time, it’s warned that more is coming once these projects are complete.
And Eidos is also said to have its own unreleased, troubled project started in 2019 (which apparently continues).
It’s probably not far off the mark to assume that Eidos could potentially be the next major casualty.
And also an announcement from the Wreckcreation team that THQ cut funding, with the last update for the game coming at Christmas.
Embracer today without Coffee Stain for sale at the same valuation levels as in the early days after THQ’s bankruptcy.
The company has evolved since those days.
But we don’t yet know the exact final form of the Fellowship, or upcoming AAA games. One can only throw out some guesses (Dead Island 3, Remnant, Warhorse’s new IP, some Lotr project).
But Embracer/Fellowship still has to prove to the market that it is a competitive company offering an interesting selection. So there are also red flags…
Investor confidence requires concrete evidence, and I will watch the next Game Awards with interest…
