UBISOFT Entertainment

Latest Results (13.10.2025):

Ubisoft Entertainment reported its full-year financial results for FY2024-25, achieving overall performance broadly in line with targets. Despite facing challenges such as lower than expected net bookings due to timing impacts in partnerships, the company delivered a solid free cash flow of €128 million, surpassing its objectives. The successful launch of Assassin’s Creed® Shadows and ongoing transformation initiatives underscore Ubisoft's commitment to enhancing its brand strength and operational efficiency.

Net Bookings Slightly Below Target

For FY2024-25, Ubisoft Entertainment reported net bookings of €1.85 billion, which is slightly below the objective by 17.5%. This shortfall was primarily driven by lower than expected partnerships, reflecting a timing impact. Digital net bookings accounted for 85.6% of total net bookings, while PRI net bookings and back-catalog net bookings stood at €806.1 million and €1,296.3 million respectively.

Strong Free Cash Flow

The company achieved a free cash flow of €128 million, exceeding its target. This was driven by cash flow from operating activities amounting to €169 million. Non-IFRS operating income was in line with guidance, demonstrating effective financial management despite the challenges faced during the fiscal year.

Successful Game Launch: Assassin’s Creed® Shadows

The release of Assassin’s Creed® Shadows was a highlight of the fiscal year, receiving strong praise from players and achieving the second-highest Day 1 sales revenue in the franchise's history. The game has generated over 160 million player hours, reinforcing the strength of the Assassin’s Creed brand and contributing positively to Ubisoft's financial performance.

Ongoing Transformation and Cost Reduction

Ubisoft has made significant progress in its transformation efforts, including the completion of its initial cost savings program ahead of schedule, achieving over €200 million in savings. The company plans to implement an additional fixed cost reduction of at least €100 million over the next two years. Moreover, a new Group organization is set to be announced by the end of the year to better serve player needs and enhance operational efficiency.

Positive Outlook for Future Growth

Looking ahead, Ubisoft projects net bookings to remain stable in FY2025-26, with a target of approximately breakeven non-IFRS operating income and a negative free cash flow as the group continues its transformation. The company expects to return to positive operating income and free cash flow generation in FY2026-27, supported by significant content releases from its largest brands and the successful integration of its new subsidiary backed by Tencent.