PresentationUbisoft
Major Organizational, Operational and Portfolio Reset to Reclaim Creative Leadership and Restore Sustainable Growth
21 Jan 20268 pages~6 min full read
Ubisoft is targeting a €500 million reduction in fixed costs by March 2028 compared to FY23 levels to restore sustainable growth.
See it on page 7The company is restructuring into five specialized Creative Houses to focus on core franchises like Assassin’s Creed, Far Cry, and Rainbow Six while improving operational agility.
See it on page 5Ubisoft has canceled six projects, including the Prince of Persia: The Sands of Time remake and four unannounced titles, while extending development timelines for seven others to prioritize quality.
See it on page 6The company projects an FY26 non-IFRS EBIT loss of approximately €1 billion, driven by €650 million in one-off depreciation charges from canceled and delayed games.
See it on page 8To achieve a target run-rate fixed cost base of €1.25 billion by 2028, Ubisoft is closing studios in Halifax and Stockholm and restructuring operations in Abu Dhabi, RedLynx, and Massive.
See it on page 7Ubisoft anticipates net bookings of approximately €1.5 billion for FY26 as it pivots toward a more disciplined approach to capital allocation and AAA market selectivity.
See it on page 8Ubisoft has initiated a major organizational and operational reset designed to reclaim creative leadership and restore sustainable growth in an increasingly selective AAA market. This strategic pivot addresses rising development costs and the competitive challenges of establishing new intellectual properties. The transformation is built upon three primary pillars: the implementation of a new operating model, a refocused game portfolio with a revised three-year roadmap, and a significant rightsizing of the global organization to improve agility and reduce fixed costs.
The new operating model decentralizes production into five distinct Creative Houses supported by a centralized Creative Network and Core Services. These houses are specialized by genre and business model, focusing on billionaire brands like Assassin’s Creed and Far Cry, competitive shooters such as Rainbow Six and Ghost Recon, live-service experiences, immersive narrative universes, and casual family-friendly titles. To support this focus, Ubisoft has discontinued six games—including the Prince of Persia: The Sands of Time remake and four unannounced titles—while allocating additional development time to seven other projects to ensure higher quality standards.
Financial restructuring is a critical component of this reset, with the company targeting a total reduction in fixed costs of approximately €500 million by March 2028 compared to FY23 levels. This includes the closure of studios in Halifax and Stockholm, alongside restructurings in Abu Dhabi, RedLynx, and Massive. For FY26, the group anticipates net bookings of approximately €1.5 billion and a non-IFRS EBIT loss of around €1 billion, largely due to a €650 million one-off accelerated depreciation from canceled and delayed titles. Moving forward, the group aims to reach a run-rate fixed cost base of €1.25 billion by 2028, prioritizing robust cash generation and a more disciplined approach to capital allocation.
