Ubisoft reported a net loss of €159 million for the 2024 fiscal year, after the company returned to profitability in the previous period. Revenue fell 17.5% to €1.9 billion, France 24 reports.
The decline was driven by poor sales of Star Wars Outlaws and the closure of multiplayer shooter XDefiant due to lack of player interest. In addition, the company's main financial indicator — net bookings — fell by more than 20% to €1.8 billion.
Despite this, Assassin's Creed Shadows, released on March 20, 2025, attracted over 3 million players and became the second best-selling game of the year in the US. Against this backdrop, Ubisoft expects a stable result in the new fiscal year.
To stabilize the business, Ubisoft is creating a separate subsidiary to manage its three main franchises: Assassin's Creed, Far Cry and Rainbow Six. The division will employ about 3,000 of Ubisoft's 17,000 employees. The new company is valued at more than €4 billion - twice Ubisoft's current capitalization. Tencent is investing €1.16 billion in it for a stake of about 25%.
Despite the reformatting attempt, Ubisoft shares have fallen more than 12% since the start of the year, hitting their lowest level in more than a decade in April. The company plans to announce further restructuring measures by the end of 2025 and cut costs by another €100 million over two years.