Ubisoft shares fall on targets reviewed by Investing.com

Investing.com — Shares of Ubisoft fell 4.5% on Wednesday after the company revised its financial targets for the 2024-25 financial year.

In a press release, Ubisoft announced that it now expects net bookings of approximately €1.95 billion, along with non-IFRS operating income at break-even and free cash flow. In addition, the company now targets net bookings for the second quarter of the financial year 2024-2025 to be around EUR 350-370 million.

This review comes in response to the delayed launch of Assassin’s Creed Shadows and a “softer than expected launch” of Star Wars Outlaws.

Assassin’s Creed Shadows, originally set for an earlier release, has now been pushed back to February 14, 2025, to allow for further polishing.

Ubisoft emphasized that the decision was driven by a player-centric approach, citing lessons from the release of Star Wars Outlaws.

The “biggest entry in the franchise” aims to deliver a “dual-protagonist adventure” with enhanced gameplay, according to the company.

Meanwhile, Star Wars Outlaws — despite receiving solid reviews (76 on Metacritic) and strong user scores (3.9/5 on First Party and Epic stores) — faced disappointing initial sales, the company notes.

Ubisoft said its development teams are working on updates to improve the player experience in hopes of boosting sales during the holiday season. The game will be released on Steam on November 21st.

Yves Guillemot, CEO of Ubisoft, acknowledged the company’s shortcoming, stating: “Our performance in the second quarter was below our expectations, which led us to address this quickly and firmly, with an even greater focus on a player-first, game-first approach and an unwavering commitment to the long-term value of our brands.”

“We remain committed to creating games for fans and players that everyone can enjoy,” he added.

He also outlined Ubisoft’s strategy going forward, focusing on open-world adventures and native GaaS experiences to drive long-term growth and free cash flow.