Embracer Group, the video game giant based in Sweden, has reported robust quarterly results, showing a 50% increase in sales during a period marked by layoffs and division closures. These figures, reported by Deadline, come after Embracer’s announcement of a restructure and the acquisition of Lord of the Rings’ intellectual property owner, Middle-earth Enterprises, for nearly $400 million.

According to Embracer, its Entertainment & Services segment experienced a 70% organic growth for the quarter ending on July 1. Middle-earth Enterprises contributed significantly to this achievement through strong licensing revenue for The Lord of the Rings.

The company emphasized that the performance of the Lord of the Rings IP has exceeded expectations set out in the initial business plan formulated at the time of acquisition from the Saul Zaentz Company. Embracer attributed this success to various products, including The Lord of the Rings: Tales of Middle-earth trading card game and The Lord of the Rings: Return to Moria PC/Console survival-crafting game.

CEO Lars Wingefors expressed optimism about the future, stating, “We now have increased confidence regarding earnings this year and we are on track to deliver on the restructuring program announced in June, with a series of initial actions now taken.” He further highlighted the company’s resilience, affirming that despite the ongoing challenges, Embracer is poised to emerge as a stronger entity.

Embracer Group is progressing with its restructuring program, spanning multiple phases over nine months.

Check out our rundown of all the LOTR games on their way. Lord of the Rings: Gollum got pretty bad reviews–and the game may find greater success following patches–but there are still many others ahead, plus additional movies.