Ubisoft Reports 50% Decrease in Revenue for Q3 Year-on-Year

Ubisoft, the well-known French publisher, has experienced a significant drop in its earnings for the last quarter of the year, with revenues plummeting by 47.5% for the period ending in December.

Looking into the figures for the third quarter, Ubisoft recorded a revenue of €318.1 million ($344.2 million), which is notably less than the €606.4 million ($637 million) it earned the same time last year. More concerning is the drop in net bookings, which fell by over half, declining 51.8% to €301.8 million.

Contributions from their back catalogue amounted to €268 million ($281.6 million), representing 88% of the total net bookings, despite this being a year-on-year decline.

In a statement to investors, CEO and co-founder Yves Guillemot emphasized the company’s concentration on the upcoming release of “Assassin’s Creed Shadows,” due on March 20. Yves shared that early impressions of the game have been promising, with positive feedback on its storytelling and the immersive world it offers. The dual protagonist feature of the game is particularly praised for enriching the gameplay and narrative depth.

Yves expressed admiration for the Assassin’s Creed team, acknowledging their unwavering dedication to making Shadows an ambitious addition to the series. Alongside these creative ambitions, Ubisoft is making strides in their cost-cutting measures. Guillemot explained that the company has commenced targeted restructuring as part of a disciplined execution plan, expecting to exceed their cost-cutting goals by the end of the fiscal year 2025, earlier than projected. They are also aiming to surpass their initial targets by a substantial margin continuing into 2026.

Moreover, Ubisoft has started a formal review process to explore strategic options, aiming to maximize the value of its assets for stakeholders. Yves believes there are several potential routes to ensure the company can continue creating compelling games in an ever-changing market landscape.