Ubisoft shares tanked 18% on Thursday after the Assassin’s Creed maker reported full-year earnings that didn’t impress investors. The firm reports a 20.5% drop in net bookings for the fiscal year ending March 31, 2025.
Ubisoft’s full-year 2025-26 outlook also failed to impress investors. The company argued that net bookings for the current fiscal year would remain stable year over year and that it expects to break even on a non-IFRS operating income basis.
Ubisoft plunges 18% after disappointing full-year earnings report
"But Assassin's Creed was a Success!!"
Ubisoft loses $92.4 Million dollars in operating loss.
Their earnings fell 20%, missing estimates.
They are in the red. Game journalists lied again.
Link to source in reply. pic.twitter.com/KXtEm8bhTS
— Grummz (@Grummz) May 14, 2025
Ubisoft shares dropped 18% on May 15 after the company released disappointing full-year earnings results. The French video game company reported a 20.5% decline in net revenue for the year ending March 31, 2025.
At the time of publication, Ubisoft shares were down 18.27%, at 9.56 euros. The company’s stock had plunged by 19% earlier in the session.
Ubisoft’s revenue stood at 1,899.2 million euros, down 17.5% year-on-year. The company’s net bookings dropped to 1,846.4 million, down 20.5%, while its digital net bookings plummeted to 1,585.4 million, down 20.2% year-on-year. Its back-catalog net bookings were 1,296.3 million in FY2024- 25, down 13.5%.
“This year has been a challenging one for Ubisoft, with mixed dynamics across our portfolio amid intense industry competition. Despite these headwinds, Ubisoft managed to deliver positive free cash flow generation over the fiscal year, reflecting the discipline applied across the Group.”
–Yves Guillemot, Co-Founder and Chief Executive Officer at Ubisoft.
Ubisoft has also lost roughly 60% of its share value in the past 12 months, following its previous financial struggles, development hurdles, and underperformance of some of its key titles. The firm’s results disappointed investors, as a strong performance of its latest Assassin’s Creed game did little to boost its full-year sales.
After two consecutive delays, the company released Assassin’s Creed: Shadows in March 2024. Ubisoft also praised Assassin’s Creed: Shadows for delivering the second-highest Day One sales in franchise history after Valhalla, despite significant drops in revenue, net bookings, digital net bookings, and back-catalog net bookings across the year.
Guillemot noted that the launch of Assassin’s Creed: Shadows reaffirmed the power of the brand, following a favorable community response from long-time fans and new players alike. The company’s report showed that the game’s active player activity and Rainbow Six brand stood at 30 million for the 4th consecutive year in FY2024- 25. Far Cry active players stood at around 20 million annually over the same period.
The firm also highlighted that its brands have continued to perform strongly in the current quarter. The top 10 brands posted year-over-year net bookings growth, leading to a record fourth quarter at 902 million euros. Console and PC metrics were also reported as stable year-on-year.
Ubisoft hints at a partnership with Tencent by the end of the year
Ubisoft is spinning out its ASSASSIN'S CREED, FAR CRY and TOM CLANCY'S RAINBOW SIX franchises into a new subsidiary backed by Tencent.
No word yet on what this means for other Ubisoft franchises or the company's approximately 19,000 employees. pic.twitter.com/7qU2e3wfof
— Geoff Keighley (@geoffkeighley) March 27, 2025
In March, the company announced plans to form a new gaming subsidiary, which Chinese technology giant Tencent will partly own. Ubisoft revealed that the new unit will be responsible for developing its top game franchises, including Assassin’s Creed, Far Cry, and Tom Clancy’s Rainbow Six.
Ubisoft announced the new organization with the objective of best serving player needs, delivering superior game quality, and driving disciplined capital allocation. The company added that the transaction with Tencent crystallizes the true economic value of three of its leading franchises.
The Chinese firm plans to invest 1.16 billion euros into the subsidiary, giving it a 25% stake. The gaming company will also retain majority ownership and earn royalties on sales related to its key franchises.
Ubisoft acknowledged on Wednesday that it expects the deal to conclude by the end of 2025. The firm said at least 500 million euros will be upstreamed to Ubisoft to ensure sufficient working capital needs of its new subsidiary at the start.
Ubisoft said it was continuing its strategic focus on open-world adventures and native GaaS experiences, which resulted in the firm reshaping its operating model to better meet player needs, deliver superior game quality, and drive disciplined capital allocation.
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