Ubisoft Records New Losses, But a Rebound May Be Near

Ubisoft is not going through a positive period, as already confirmed by the choices announced in recent months that have led to new layoffs and the cancellation of various projects. The software house continues to record losses and must contend with a sharp drop in sales, as confirmed in these hours during the presentation of its financial results.

During the event, Ubisoft did not mention two highly anticipated titles, the future of which is now increasingly uncertain. However, several games from the company's most successful franchises are on the way.

A Difficult Moment

For the fiscal year ending March 31, 2026, Ubisoft recorded an operating loss of 1.3 billion euros. The near future is also expected to be negative. The software company anticipates an 8-9% decrease in sales for the 2026-2027 biennium, with an even higher operating loss.

To counteract financial difficulties, the company has cut 1,200 jobs over the past year, reducing its workforce to 16,600 employees and decreasing fixed costs by 118 million euros, now amounting to 1.435 billion euros for the 2025-2026 biennium. By March 2028, the goal is to reduce fixed costs to 1.25 billion euros.

In addition, the company has stated it expects a return to profitability and positive free cash flow in the 2027-2028 biennium. Improvements in financial results are anticipated due to a stronger release schedule and growth in live-service multiplayer online games. Achieving this goal will not be easy, and the situation will need to be monitored quarter-by-quarter to see if Ubisoft can bounce back.