FinancialUbisoft
Rapport Financier Semestriel: Septembre 2025
26 Nov 202539 pages~77 min full read
Ubisoft faces a critical liquidity crisis with €1.42 billion in net debt and a breach of bank covenants that triggered the loss of a €300 million credit line.
See it on page 31The company is executing a €1.16 billion capital injection from Tencent and divesting its stake in Vantage Studios to stabilize the balance sheet and reach a zero net debt position.
See it on page 36Despite a 20.3% increase in net bookings to €772.4 million, the company reported an IFRS operating loss of €120.2 million and a consolidated net loss of €161.4 million.
See it on page 6Operational restructuring has reduced the workforce by 1,000 employees to approximately 17,000 and cut R&D spending by €101.2 million.
See it on page 23Digital revenue now accounts for 89% of total bookings, while physical sales have experienced a sharp 43.3% decline.
See it on page 20The company is managing significant financial headwinds, including a €113.9 million retrospective revenue correction for IFRS 15 compliance and ongoing international tax audits.
See it on page 6Ubisoft’s financial performance for the first half of the 2025-26 fiscal year reflects a period of significant structural transition and fiscal volatility. While net bookings grew by 20.3% to €772.4 million, fueled by the enduring performance of the Assassin's Creed and Rainbow Six Siege franchises, the company recorded an IFRS operating loss of €120.2 million and a consolidated net loss of €161.4 million. Digital revenue continues to dominate the business model, accounting for nearly 89% of total bookings, even as physical sales experienced a sharp 43.3% decline.
The organization is currently navigating a complex liquidity environment characterized by a net financial debt of €1.42 billion and non-compliance with certain bank covenants. This breach has resulted in the loss of a €300 million syndicated credit line and the reclassification of specific loans as current liabilities. To stabilize its balance sheet, the group is relying on a strategic €1.16 billion cash injection from Tencent and the divestment of a minority stake in Vantage Studios. These maneuvers are intended to facilitate debt repayment and move the company toward a zero net debt position.
Operational efficiency remains a primary focus, evidenced by a reduction in headcount from over 18,000 to approximately 17,000 employees and a €101.2 million decrease in research and development expenses. Despite these cost-cutting measures, the company faces ongoing legal and regulatory challenges, including contested tax audits across multiple jurisdictions and a significant €113.9 million retrospective revenue correction to comply with IFRS 15 standards. Moving forward, the group aims for a break-even non-IFRS operating result, supported by a leaner operational model and continued investment in internal software development.
