https://finance.yahoo.com/news/movie-effects-company-technicolor-now-144937131.html
https://www.reddit.com/r/vfx/comments/yyn1kx/the_buzzards_are_circling_technicolor/
“The increasingly bleak financial outlook of Technicolor Creative Services, parent company to MPC, Mikros and The Mill was announced by top execs on a hastily arranged shareholder conference call this week. In the call, TCS’s CEO and COO admitted that several factors are contributing to a much lower earnings forecast for 2022 than previously expected.
Among the reasons given was “persistent attrition” among employees. It was estimated by the execs that around 30% of employees at Technicolor had left in 2022 alone. Many of these employees include senior level creatives and sales workers responsible for drawing in big accounts at Hollywood movie studios.
The loss of senior level employees has also caused “efficiency” at the company to plummet to an estimated 50% with the reasoning given by execs being that less experienced employees left over at the company are now having to pick up the slack from the workers who quit. In other words, it now takes twice as many people to do the same work as before. Conditions, in the words of the COO, are “not improving.”
Reduced “efficiency” has also led to significant cost overruns on multiple shows, and has also resulted in missed deadlines for clients’ projects. In the call, execs lamented that missed deadlines have also caused their clients to reduce the amount of work awarded to MPC as their confidence in MPC’s ability to deliver has been diminished.
Trying to keep things positive, the execs mentioned that their strategy for 2023 would include a greater focus on KPIs (key performance indicators), although they declined to discuss them in detail, and a bigger push of work to India, despite the fact that India is already where a majority of their work is now done.”
