Thunderful Announces Its Second Restructuring Program In One Year
Up to 100 redundancies expected
by Ollie Reynolds · Nintendo LifePublisher Thunderful has confirmed that it is launching another restructuring program aimed at reducing its workforce by up to 100 employees.
As reported by GamesIndustry.biz, Thunderful is looking to “increase its focus on third-party publishing and reduce the production of internally developed projects”, therefore resulting in significant redundancies within the company’s own development teams. In addition, roles within administration and management will also be affected.
This comes after a previous restructuring program from the beginning of 2024, after which Thunderful reported a “significant reduction in cost levels”. Despite this, it still managed to miss its revenue targets and is “struggling with negative cash flows”.
As such, this second round of redundancies will theoretically allow Thunderful to aim for annual cost savings and improved cash flow between SEK 80 million ($7.2 million) and SEK 90 million ($8.1 million). Emphasis on “theoretically”, mind you, since the company’s first restructuring program really should have left it in a healthier position.
Alas, Thunderful’s CEO Martin Walfisz stated the following:
"It is regrettable to announce a second restructuring of Thunderful in less than a year, but we unfortunately see no other alternative to ensure the group's long-term sustainability and resilience.
"The strategic move towards publishing games from external partners allows us to reduce fixed costs, increase flexibility, and better control cash flow. We have many talented and dedicated employees, and it is with great regret that we are forced to part ways."
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Do you have any thoughts on Thunderful's current second restructuring programe in 2024? Let it be known with a comment in the usual place.
[source thunderfulgroup.com, via gamesindustry.biz]
About Ollie Reynolds
Nintendo Life’s resident horror fanatic, when he’s not knee-deep in Resident Evil and Silent Hill lore, Ollie likes to dive into a good horror book while nursing a lovely cup of tea. He also enjoys long walks and listens to everything from TOOL to Chuck Berry.
Comments 21
- 1
- Richard_Atkinson
- Yesterday, 1:49pm
That's a shame, they're really good people.
- 2
- tektite_captain
- Yesterday, 1:50pm
Oh no, not Thunderful.
Who?
@tektite_captain publisher behind the SteamWorld series, Lego Bricktales, and Planet of Lana.
- 4
- FreasurePlanten
- Yesterday, 2:08pm
Do we know how much this will affect future SteamWorld titles?
- 5
- TourianTourist
- Yesterday, 2:09pm
Lonely Mountains: Downhill and Snow Riders are published by Thunderful as well. So, there's some good stuff and this is sad to hear.
- 6
- NinChocolate
- Yesterday, 2:16pm
Restructuring.. management’s trap door button..
- 7
- RainbowGazelle
- Yesterday, 2:47pm
That's such a shame. I remember when Image & Form were a tiny start-up, passionately making Steamworld games. Such a shame that they're part of a soulless corporation now. If those at the top screwed up badly enough to sack 100 people, then they should be sacked too. It should be the CEO's job to protect their workers, not use them as fodder.
- 8
- SodaPop6548
- Yesterday, 2:47pm
Reduction of internally developed projects is terrible news. Some of their internally developed games are the most fun I've had.
- 9
- JohnnyMind
- Yesterday, 3:09pm
Hate to hear it, as always wish the best to those affected!
@tektite_captain You could’ve googled it in the time it took you to leave this ignorant comment
@iNintendo My thoughts exactly, and they wouldn't have been so glib either after learning about which games they're attached to.
I'm kind of saddened by this news. There isn't a SteamWorld game I haven't liked yet.
- 12
- AJWolfTill
- Yesterday, 4:20pm
@Than64 @iNintendo
It would have helped if the article had more context about who they are to be fair. I didn't remember either.
Do these layoffs include development teams or is this all on the publishing side of things?
Did they ever even finish the divorce from Headup yet?
Too quick grow - they were simply too optimistic , now they pay for it .
Whilst the Steamworld games are solid, it's actually the games from the other side of the company (used to be Zoink) that I personally preffered.
Stick it to the Man is still one of my all time favourites.
I remember hearing Steamworld Build didn’t sell well, and that game clearly had a lot of money invested in it. Considering how little buzz I’ve heard about Heist 2, you could infer that the same may be true for that game
Nooooo. My dear Steamworld franchise 😭😭😭. I hope at least these games keep coming from time to time. They are all awesome.
- 18
- ScalenePowers
- Yesterday, 6:31pm
This is interesting to me. We are also hearing that things are not going so hot at Tequila Works, and even beyond this industry J. Cole (a rapper) has a record label for young talent in that industry that is now embroiled in some controversy!
These independent projects were thought to be a solution a part from the huge game industry/music industry machines. But the solution it seems is much grander, and will require massive shifts in the market and economic structures
- 19
- RudeAnimat0r
- 1:44am
I had honestly forgotten Heist 2 even came out. I'm not really familiar with any of Thundeful's stuff outside of Steamworld, and I don't entirely understand their relationship to Image & Form - they own them? But, would be a major bummer if they got pulled under along with them. I guess I don't understand how an indie publisher even has that many employees to begin with.
@Than64 Nope, still pretty glib. Never played any of their games and only vaguely aware of one of them. Try and find someone who has touched grass in the past 10 years and ask them who Thunderful is and you’ll get a blank stare.
- 21
- JJtheTexan
- 4:32am
I adored Image & Form before it became Thunderful and got too big for its own good. I hope they can return to their roots and focus on producing great games.
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