French games giant Ubisoft reports record annual loss after game delays and cancellations

Ubisoft reported a record annual loss of almost €1.5 billion for the 2025-26 financial year during a far-reaching restructuring. The company previously warned that reorganization would affect finances, including the cancellation of seven titles and delays to six more. Ubisoft plans to consolidate half of its development studios into five “creative houses,” while the remaining studios shift to support functions. Management expects 2026-27 to be a “low point” due to a softer release slate and restructuring costs. The company forecasts a high single-digit percentage fall in net bookings and a high single-digit negative operating margin. In the fourth quarter, net bookings fell 54% year-on-year to €415 million, and full-year revenue fell 17.4% to just over €1.5 billion. Upcoming releases include a July 9 remake, with additional premium games based on established brands expected later.

"“This two-year transformation comes with difficult decisions and a disappointing short-term financial performance,” Ubisoft founder and chief executive Yves Guillemot said in a statement."

"Guillemot added that Ubisoft's 2026-27 financial year would likely be a “low point” in financial performance given “a softer release slate and restructuring costs”."

"The group expects both a “high single-digit percentage” fall in “net bookings”, its preferred sales yardstick that excludes deferred revenues, and a “high single-digit negative” operating margin."

"The company had warned in January of a financial impact from its reorganisation, which has meant the cancellation of seven titles and delays to six more. The group plans to group together half of its development studios into five structures dubbed “creative houses”, while the rest will move into support functions."

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