Avatar: Frontiers of Pandora

Ubisoft Full-Year 2022-23 Earnings Figures

Ubisoft’s fiscal year 2022-23 served as a period of strategic transition, characterized by a pivot toward core brand expansion and the implementation of a significant cost-reduction program.

• Ubisoft reported net bookings of €1,739.5 million for fiscal year 2022-23, representing an 18.3% decline and a non-IFRS operating loss of €500.2 million.
• The company is executing a restructuring plan to cut €200 million in non-variable costs over two years, involving the closure of five European offices and a reduction of the global workforce to under 20,000 employees.
• Management is targeting a return to profitability in fiscal year 2023-24 with a projected non-IFRS operating income of approximately €400 million.

Ubisoft Third-Quarter 2022-23 Sales

Ubisoft’s third-quarter fiscal 2022-23 sales report outlines the company’s financial performance for the period ending December 31, 2022, while detailing strategic shifts toward operational efficiency and brand-focused development.

• Ubisoft reported Q3 2022-23 net bookings of €726.9 million, with nine-month fiscal year-to-date bookings reaching €1,426.3 million, a 2.6% decline year-over-year.
• Player Recurring Investment (PRI) grew by 57.1% to €841.7 million, now representing 59% of total net bookings.
• Mobile gaming's share of quarterly net bookings surged to 43%, up from 7% in the same period the previous year, while console and PC shares declined.

Ubisoft Strategic Focus Update: 2022-23 Financial Targets

Ubisoft has announced a significant strategic pivot to address recent financial underperformance and shifting industry dynamics characterized by a move toward mega-brands and long-term live services.

• Ubisoft is pivoting to a brand-centric strategy, canceling seven projects and prioritizing high-impact franchises to counter recent financial underperformance.
• The company expects a full-year net bookings decline of over 10%, a significant reversal from previous projections of 10% growth.
• Management forecasts a non-IFRS operating loss of €500 million for the 2022-23 fiscal year.

Ubisoft First-Quarter 2022-23 Sales

Ubisoft’s first-quarter fiscal 2022-23 financial results demonstrate a performance slightly exceeding internal projections, with net bookings reaching €293.3 million against a target of €280 million.

News Mash-Up: Week 22 & 23 (June 2021)

This industry update provides a comprehensive overview of major developments within the global gaming sector during the first two weeks of June 2021.

• Microsoft is expanding its Xbox cloud gaming strategy by developing a streaming dongle and smart TV app to enable GamePass access via browsers, mirroring the Stadia model.
• Take-Two Interactive acquired mobile developer Nordeus, creator of Top Eleven, for $378 million to expand its mobile gaming footprint.
• GameStop reported a 25% year-over-year revenue increase to $1.3 billion for Q1 2021, though the company still posted a net loss of $41 million.