Ubisoft has gone into a deep minus. Its operating losses for the last six months amounted to €215 million

Ubisoft reported yesterday for the first half of its fiscal year (it started in April 2022, and will end in March 2023). Officially, the company reports success, but its reports speak of big problems.

Rainbow Six Siege

Speaking about their victories, Ubisoft highlighted two titles – Rainbow Six Siege, which showed an 18% increase in revenue, and Assassin’s Creed Valhalla, whose player base increased to 20 million people thanks to subscriptions.

Now by the numbers. If we take into account the company’s IFRS data, then:

• sales of the company in annual terms fell relatively slightly – from €751.3 million to €731.2 million;
• However, there is no operating profit now, the company is in the red by €215.3 million according to this indicator.;
• the consolidated net loss was slightly less – €190.2 million.

Consolidated IFRS data
Without taking into account IFRS, the situation is as follows:

• receipts (net bookings) fell from €718.2 million to €699.4 million;
• operating expenses amounted to €838.4 million;
• the operating loss amounted to €139 million.

Data including information excluding IFRS
The obvious reason for such indicators is the lack of successful major releases in this financial and calendar year.

The company also almost doubled its R&D expenses – from €276.2 million to €452 million in this half-year.

At the same time, the company is optimistic about the near future. For the third fiscal quarter (October-December), she has the following releases planned: Mario+Rabbids: Sparks of Hope, Just Dance 2023, Skull and Bones, the release of an addition to Far Cry 6 and a new season for Rainbow Six Siege.

So for the next three months, the company expects revenues of €830 million.