Angry Birds developer Rovio Entertainment said it will sharpen its focus on its core businesses, with a restructure that will see it cut up to 260 jobs.
The news comes just weeks after it launched Angry Birds 2, its latest attempt to capitalise on the earlier success of the franchise. This app has been downloaded nearly 50 million times in its first month of release.
According to reports, the figure represents around 38 per cent of its total workforce, meaning that the company is doing more than trimming the fat.
The cuts will affect the whole operation, with the exception of those in the US and Canada working on The Angry Birds Movie.
Pekka Rantala, CEO of Rovio, said that “fundamental changes are needed to ensure Rovio succeeds in its global ambitions to be the leading entertainment company with mobile games at its heart”.
“Rovio’s growth and eagerness to explore new business opportunities over the past few years has been exceptional. As a result, we did too many things. In our current financial condition we must now put focus on where we are at our best: in creating magnificent gaming experiences, in producing an amazing animation movie and in delighting our fans with great products,” he continued.
In March, Rovio said it saw 2014 EBITDA of €17 million, more than halved from €39 million in 2013, on revenue of €158.3 million, down 8.8 per cent from €173.5 million. It saw sales growth in its games and media segments, but its consumer products unit reported a significant decline.
And the current cuts are not Rovio’s first: in late 2014 it announced 110 job losses.