French videogame maker faces challenges with delayed releases and lower-than-expected sales
- Ubisoft lowers sales and profit forecasts due to Assassin’s Creed and Star Wars setbacks
- Net bookings forecast for fiscal year end March 2025 revised down to €1.95 billion from €2.32 billion in fiscal 2024
- Break-even expected for non-IFRS operating profit and free cash flow, compared to previous guidance of slight increase in non-IFRS operating profit
Ubisoft Entertainment has revised its sales and profit forecasts after facing setbacks with the release of Assassin’s Creed Shadows and Star Wars Outlaws. The French video game company now expects net bookings of approximately €1.95 billion for the fiscal year ending March 2025, down from €2.32 billion in fiscal 2024. Previously, Ubisoft had anticipated solid growth in net bookings for fiscal 2025. Additionally, the company now expects a break-even point for non-IFRS operating profit and free cash flow, compared to its previous guidance of an increase in non-IFRS operating profit. The setbacks come as Assassin’s Creed Shadows experienced delays and Star Wars Outlaws saw lower-than-expected sales.
Factuality Level: 8
Factuality Justification: The article provides accurate and objective information about Ubisoft Entertainment’s revised sales and profit forecasts due to the delay of Assassin’s Creed Shadows and lower-than-expected initial sales of Star Wars Outlaws. It also includes relevant financial figures and updates on the company’s guidance for non-IFRS operating profit and free cash flow.
Noise Level: 6
Noise Justification: The article provides some relevant information about Ubisoft Entertainment lowering its sales and profit forecasts due to delayed game releases and weaker-than-expected sales. However, it lacks in-depth analysis or exploration of the reasons behind these changes and does not offer much actionable insights or solutions for the company. It also contains some filler content with advertisement and a call to contact the author.
Public Companies: Ubisoft Entertainment (UBI)
Key People: Mauro Orru (Writer)
Financial Relevance: Yes
Financial Markets Impacted: Video game industry and Ubisoft’s stock
Financial Rating Justification: The article discusses Ubisoft Entertainment lowering its sales and profit forecasts, which impacts the company’s financial performance and can potentially affect the stock price and investor sentiment in the video game industry.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event in the text and it’s not related to a financial crisis.
Deal Size: 2180000000
Move Size: No market move size mentioned.
Sector: Technology
Direction: Down
Magnitude: Large
Affected Instruments: Stocks
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