I... thought losing these military contracts was exactly what put them in financial trouble in the first place?
Nah, they are in that situation because they thought using be revenue from those contracts justified opening a total of 7 studios. They've seen sold / closed / consolidated those. Contracts remain. Issue was adding a ton of studios that didn't contribute anything to justify their costs. The VR titles, Dambusters troubled Homefront 2 + Warface's middling response outside of Russia and Cryengine being irrelevant post UE4 for game development meant whatever money they made from the government contracts was being burned.
Now they are basically a single game studio, new leadership (different brothers same family). Hunt Showdown brings in a little money, while they likely work on another project. The game had roughly 500k sales before steamspy lost the ability for accurate numbers? Game pulls 2-4k per day and gets constant updates. It's also coming to Xbox One.
They can't touch Crysis due to EA owning it and MS scrapped their early Ryse 2 pitch that involved England and knights fighting dragons because they wanted to own the IP (MS wanted the IP).
Turkey also apperently gave them a $500m investment lol