Thunderful has announced another restructuring program that will see up to 100 employees laid off in and outside Sweden.
The games firm said it aims to increase its focus on third-party publishing and reduce production of internally developed projects, which will result in a “large portion of the development team” being affected by layoffs.
Positions in administration and management will also be affected.
It aims to save annual costs and improve cash flow by between SEK 80 million ($7.2 million) and SEK 90 million ($8.1 million).
Thunderful noted that while it saw “significant reductions in cost levels” from its restructuring program earlier this year, the company missed its revenue targets and is “struggling with negative cash flows.”
He said that by shifting its focus to external publishing, fixed costs will be reduced, allowing for “greater flexibility” in releasing games using external talent and resources. It will retain some internal development.
“It is regrettable to announce a second restructuring of Thunderful in less than a year, but unfortunately we see no alternative to ensure the long-term sustainability and resilience of the group,” said Thunderful CEO Martin Walfisz.
“The strategic move toward publishing games from third-party partners allows us to reduce fixed costs, increase flexibility, and better control cash flow. We have many talented and dedicated employees, and we are very sorry that we are forced to part ways.”
In January, Thunderful announced a restructuring program that resulted in cutting 20% of its workforce. It aimed to produce annual cost reductions of between SEK 90 million ($8.1 million) and SEK 110 million ($9.9 million).
