UBISOFT Entertainment

UBI

Equity

ISIN FR0000054470 / Valor 491199

Euronext - Euronext Paris (2026-08-28)

EUR 5.30-1.52%

UBISOFT Entertainment
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About company

Ubisoft Entertainment is a multinational company engaged in the creation, development, and publishing of video games. It operates a network of studios worldwide, with a workforce of approximately 17,000 employees, and focuses on both developing original titles and licensing high-profile games. Recently, the company secured cloud streaming rights for a major slate of games—including titles like Call of Duty—through an agreement contingent on the completion of Microsoft’s acquisition of Activision Blizzard, positioning these titles on its Ubisoft+ service as well as through licensing to other digital gaming platforms. Additionally, Ubisoft invests in technological tools that enhance accessibility in gaming, such as its open-source colorblind simulation software, supporting developers in creating more inclusive content.

Summarized from source with an LLMView SourceSector: Technology

Headline financials

Full-year IFRS 15 sales €1,395.7m (‑21.8% y/y); net bookings €1,525.1m (‑17.4% y/y). Non‑IFRS operating loss €(1,044.7)m vs €(15.1)m in FY2024-25. IFRS diluted EPS €(11.16); non‑IFRS diluted EPS €(9.38).

Q4 performance

Q4 net bookings €415m, beating guidance (~€390m) driven by back‑catalog strength, but down ~54% y/y against a prior‑year quarter that included Assassin’s Creed Shadows and higher partnership revenue.

Cash, debt and the Tencent transaction

Cash and equivalents ≈€1.345bn at March 31, 2026; non‑IFRS net debt improved to €(187.3)m from €(885.1)m a year earlier, helped by the €1.16bn strategic transaction with Tencent which materially deleveraged the Group.

Cash flow and liquidity outlook

Non‑IFRS cash flows from operating activities were a net outflow of €408.2m in FY2025-26. Guidance for FY2026-27: Free Cash Flow consumption of no more than €500m and sufficient liquidity to address near‑term maturities while management reviews financing options.

Back‑catalog & Live services

Back‑catalog remained resilient (full‑year back‑catalog net bookings €1,281.8m); strong live performance from Rainbow Six Siege, The Division 2 and Avatar expansion contributed to Q4 strength and growing MAUs (36m MAUs; annual unique users ~129m excluding XDefiant).

Cost reduction & organization

Fixed cost base down €118m vs FY2024-25 and ~€325m cumulative reduction since FY2022-23; headcount down ~1,200 to 16,590. Targeting €500m cumulative run‑rate savings by March 2028 and further rightsizing (7 projects cancelled, 6 delayed).

Product quality & roadmap

Recent releases show quality gains (Assassin’s Creed Shadows, Anno 117: Pax Romana and Avatar expansion all >80 Metacritic). FY2026-27 slate is lighter (e.g., Assassin’s Creed Black Flag Resynced on July 9, 2026) with a bigger content pipeline expected in FY2027-28 and FY2028-29.

Guidance and strategic outlook

For FY2026-27 Ubisoft expects net bookings down by a high single‑digit percentage, a high single‑digit negative non‑IFRS operating margin and FCF consumption ≤€500m; management expects a return to positive FCF and non‑IFRS EBIT in FY2027-28 and robust FCF in FY2028-29, with positive cumulative FCF over FY2026-27 to FY2028-29.

Summarized from source with an LLMView Source

Key figures

-44.4%1Y

-81.5%3Y

-90.1%5Y

Performance

78.1%1Y

62.8%3Y

56.3%5Y

Volatility