Clybiau Plant Cymru Kids' Clubs was given an extra 310,000 by the Welsh Assembly Government last week after protests over a decision to cut its funding from 1m a year to an average of 367,000 (Children Now, 26 January-1 February).
However, the extra money is only for this year, and the organisation will also be faced with the end of another stream of funding next year.
Director Wendy Hawkins said the organisation would close two of its regional offices at the end of March.
She paid tribute to Assembly members from across the political parties who had campaigned for a reverse of the funding cut.
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