After disappointing revenues in 2014, the Finnish company fell behind Evil birds has now decided to cut 260 jobs – or more than a third of its 700 workforce – not a good sign for the gaming studio. “This is a difficult decision personally,” CEO Pekka Rantala said in a statement Wednesday. “However, it is certain that a leaner and more flexible Rovio is absolutely necessary to move forward and lead the company to new successes in the future. We will work with and support all our employees during this period of change.”
In October 2014, Rovio cut 130 jobs, and in March this year, Rovio released some financial data for 2014 showing annual revenue of €158.3 million ($180.3 million) was down 9 percent year-over-year. Privately owned Rovio did not disclose its 2014 earnings. By contrast, in April 2014, Rovio announced Full-year 2013 profit of €26.9 million ($34 million), a notable drop from €55.5 million ($70.2 million) on the previous year.
It also seems that people are less and less interested in plush dolls: “The year-over-year decline in consumer product licensing revenues had an impact on sales and profits.”
At least the Evil birds film is still on track for a 2016 release.