§ Very good first-half performance marked by an even more profitable and recurring profile, validating Ubisoft’s long term strategy 

§ Strong growth in financial performance 

  • Sales of €281.4 million, ahead of targets
  • Non-IFRS operating loss of €61.8 million versus €107.8 million in first-half 2015-16
  • Net cash position of €37.7 million versus a net debt position of €155.5 million 

§ Continued success of the digital strategy

  • Digital revenues up sharply to €202.6 million (72.0% of total sales) 
  • Strong growth in player engagement levels, with MAUs[1] up 43.9%
  • A 132.1% jump in player recurring investment[2]

 § Targets for full-year 2016-17 updated, with non-IFRS operating income target revised upwards:

  • Sales of between €1,610 million and €1,670 million, compared with the previouslyannounced target of €1,700 million
  • Non-IFRS operating income of between €230 million and €250 million, compared with €230 million

Paris, November 3, 2016 – Today, Ubisoft released its sales and earnings figures for the six months ended September 30, 2016.

Yves Guillemot, Co-Founder and Chief Executive Officer, stated “Our excellent performance in the second quarter, as well as the sharp improvement in our profitability during the first six months of the fiscal year, are proof that we have gotten both our digital strategy and our approach to multiplayer games right. The Crew, The Division and Rainbow Six Siege each have more than 10 million registered players, demonstrating that we are effectively executing our business development plan and moving towards an ever-more recurring model. All of our actions and initiatives are aimed at achieving this objective. We are creating powerful franchises that offer long-term visibility. Our multi-studios organization enables us to have regular games releases. And the Live experiences for our consoles and PC games, including our investments in eSports, encourage long-term player engagement. As a result, Ubisoft is well-positioned to achieve very high-value creation over the coming years.” 

Guillemot concluded by saying “Thanks to the more favorable trends seen in the first six months of 2016-17, we now expect digital revenues to represent approximately 40% of total sales for the full fiscal year and we have revised upwards our non-IFRS operating income target.”


All of the figures in this press release correspond to non-IFRS data, which is adjusted to exclude non-operating items, unless mentioned so. The Group presents these indicators – which are not prepared strictly in accordance with IFRS – as it considers that they are the best reflection of its operating and financial performance. The definitions of the nonIFRS indicators with a description of the applicable adjustments, as well as a reconciliation table between the IFRS consolidated income statement and the non-IFRS consolidated income statement for first-half 2016-17 are provided in an appendix to this press release.  

Income statement and key financial data

In € millionsH1 2016-17%H1 2015-16%
Sales281.4 207.3  
Gross margin226.480.5%154.3 74.4%
Non-IFRS R&D expenses(123.8)-44.0%(99.5) -48.0%
        Non-IFRS Selling expenses(113.4)-40.3%(111.1) -53.6%
        Non-IFRS G&A expenses(51.0)-18.1%(51.5) -24.9%
Total non-IFRS SG&A expenses(164.4)-58.4%(162.6) -78.4%
Non-IFRS operating income/(loss)(61.8)-22.0%(107.8)-52.0%
IFRS operating income/(loss)(90.3) (117.4) 
Non-IFRS diluted EPS (in €)(0.30) (0.57) 
IFRS diluted EPS (in €)(0.56) (0.65) 
Non-IFRS cash flows from operating activities*9.2 (334.7) 
R&D investment expenditure**(286.7) (270.6) 
Net cash/(debt) position37.7 (155.5) 

* Based on the consolidated cash flow statement for comparison with other industry players (not reviewed) 

** Including royalties but excluding future commitments


Sales for the first half of 2016-17 came to €281.4 million, up 35.7% (or 37.1% at constant exchange rates) compared with the €207.3 million recorded for first-half 2015-16.

Sales in the second quarter of 2016-17 totaled €142.2 million versus €110.7 million in the corresponding prior-year period, representing an increase of 28.5% (or 28.8% at constant exchange rates). This second-quarter showing was higher than the target of approximately €100 million issued when Ubisoft released its sales figures for the first quarter of 2016-17.

Ubisoft’s sales performance in first-half 2016-17 reflects:  

  • The continued success of the multiplayer strategy aimed at increasing player engagement:
  • The Crew®, Tom Clancy’s The Division® and Tom Clancy’s Rainbow Six® Siege each have over 10 million registered players.
  • A further increase in the number of monthly active users (MAUs), up 43.9% year on year.
  • Higher recurring player investment, with a 132.1% year-on-year rise to €95.4 million (included in digital revenues).
  • Very sharp growth in digital revenues, up 102.6% to €202.6 million and representing

72.0% of total sales versus 48.3% in first-half 2015-16. 

  • A 45.5% increase in back-catalog sales to €256.4 million.

Main income statement items

Gross margin rose to 80.5% of sales at €226.4 million in the first half of 2016-17 from 74.4% (€154.3 million) for the first six months of 2015-16. This strong growth primarily reflects the positive impact of the digital segment. 

Ubisoft reported a non-IFRS operating loss of €61.8 million versus €107.8 million in first-half 2015-16, corresponding to a €46.0 million improvement on the back of a €74.1 million increase in sales.

The improvement reflects the following:

  • A €72.1 million increase in gross margin.
  • A €24.3 million rise in R&D expenses to €123.8 million (44.0% of sales) from €99.5 million (48.0% of sales) in first-half 2015-16. The year-on-year increase in absolute value terms was due to the releases of Tom Clancy’s The Division and Far Cry® Primal at the end of the previous fiscal year and to the development of Live operations.  
  • A slight €1.8 million increase in SG&A expenses to €164.4 million (58.4% of sales) from €162.6 million (78.4% of sales) in the first six months of 2015-16:  

− Variable marketing expenses amounted to €71.7 million (25.5% of sales) compared with €72.4 million (34.9%) in first-half 2015-16.

− Structure costs amounted to €92.7 million (32.9% of sales) versus €90.2 million (43.5%).

Ubisoft ended the first half of 2016-17 with a non-IFRS net loss of €35.9 million, representing a non-IFRS diluted loss per share of €0.30, compared with a non-IFRS net loss of €65.7 million for the first half of 2015-16, representing a non-IFRS diluted loss per share of €0.57.

The IFRS net loss for the first half of 2016-17 came to €66.1 million, representing an IFRS diluted loss per share of €0.56, compared with an IFRS net loss of €75.2 million and an IFRS diluted loss per share of €0.65 in the first six months of 2015-16.

Main cash flow statement[3] and balance sheet items 

Cash flows from non-IFRS operating activities represented a net inflow of €9.2 million compared with a €334.7 million net outflow in first-half 2015-16. This positive swing reflects an improvement in non-IFRS cash flow from operations, which amounted to a negative €180.2 million versus a negative €208.8 million in the first six months of 2015-16, and a €189.5 million decrease in non-IFRS working capital requirement (against a €125.9 million increase in first-half 2015-16).

At September 30, 2016, Ubisoft had a net cash position of €37.7 million versus a €155.5 million net debt position one year earlier. 


Sales for the third quarter of 2016-17

The third quarter of 2016-17 will see the following main releases: 

  • Watch_Dogs 2 for PC, Playstation 4 and XboxOne
  • Steep for PC, Playstation 4 and XboxOne
  • Just Dance 2017 for PC, Playstation 4, XboxOne, Wii, WiiU, Xbox360 and PS3
  • The following expansions: Tom Clancy’s The Division Survival, Tom Clancy’s Rainbow Six Siege Operation Red Crow and The Crew Calling All Units, for PC, Playstation 4 and XboxOne
  • Eagle Flight for Oculus Rift PC, PS VR Playstation 4, HTC VIVE PC

Ubisoft expects third-quarter 2016-17 sales to amount to around €560 million, stable year-on year.

Full-year 2016-17

The structural factors that drove the strong increase in profitability in the first half – namely very robust momentum for the digital segment and back-catalog combined with tight costs control – are expected to continue in the second half of the fiscal year. Consequently, the Company has revised upwards its full-year target for non-IFRS operating income, which is now expected to come in at between €230 million and €250 million, compared with the previously announced target of approximately €230 million.

At the same time, the full-year sales target has been revised downwards in order to factor in more conservative sales projections for the second half. Sales are now expected to amount to between €1,610 million and €1,670 million versus the previously-announced target of approximately €1,700 million.

Recent significant events

A sharp increase in player engagement for Tom Clancy’s Rainbow Six Siege: Nine months after its release, in August 2016 the game notched up its best statistics, with a 40% increase in daily active users following the release of the Skull Rain extension on August 2. 

Acquisition of Ketchapp: Through this acquisition, effective in the second half, Ubisoft has expanded its footprint in the digital ecosystem (particularly mobile advertising) and has become the fourth largest mobile game publisher when measured by number of downloads.

A new project announced by Ubisoft Motion Pictures – “The Division” movie, which will star the Academy

Award® nominees Jessica Chastain (The Martian, Interstellar, The Help, Zero Dark Thirty) and Jake Gyllenhaal (End of Watch, Nightcrawler, Southpaw).

OCEANE bond placement: Ubisoft successfully carried out a private placement with institutional investors of bonds convertible into new shares and/or exchangeable for existing shares (OCEANE bonds) for €399,999,959.80. The bonds – which have a face value of €54.74 each, representing an issue premium of 60% – mature in 2021 and do not pay interest. 

Annual General Meeting of September 29, 2016: The shareholders expressed their massive support for Ubisoft’s strategy and management by approving all of the resolutions on the agenda of the Ordinary Meeting, including: 

  • Re-electing Yves Guillemot and Gérard Guillemot as directors.
  • Electing two new independent directors: Frédérique Dame and Florence Naviner.
  • Giving a favorable opinion on the elements of compensation awarded to the Company’s executive directors for the fiscal year ended March 31, 2016. 

However, several resolutions on the agenda of the Extraordinary Meeting were rejected due to the systematic abstention of Vivendi, impeding the proper running of the Company, particularly regarding the competitive compensation policy for its talents. 

Signature of an agreement for Ubisoft to acquire the entire stake held by Bpifrance in Ubisoft: This transaction involves 3,625,178 shares, representing 3.2% of Ubisoft’s capital.


Investor relations  

Jean-Benoît Roquette 

SVP Investor Relations 

+ 33 1 48 18 52 39 



This statement may contain estimated financial data, information on future projects and transactions, and future business results/performance. Such forward-looking data are provided for estimation purposes only. They are subject to market risks and uncertainties and may vary significantly compared with the actual results that will be published. The estimated financial data have been presented and approved by the Board of Directors on 11/03/16 and have not been audited by the Statutory Auditors. (Additional information is specified in the most recent Ubisoft Registration Document filed on July 22, 2016 with the French Financial Markets Authority (l’Autorité des Marchés Financiers)).

About Ubisoft

Ubisoft is a leading creator, publisher and distributor of interactive entertainment and services, with a rich portfolio of world-renowned brands, including Assassin’s Creed, Just Dance, Watch_Dogs, Tom Clancy’s video game series, Rayman and Far Cry. The teams throughout Ubisoft’s worldwide network of studios and business offices are committed to delivering original and memorable gaming experiences across all popular platforms, including consoles, mobile phones, tablets and PCs. For the 2015-16 fiscal year Ubisoft generated sales of €1,394 million. To learn more, please visit www.ubisoftgroup.com.

© 2016 Ubisoft Entertainment. All rights Reserved. Watch Dogs, Assassin’s Creed, Far Cry, The Eagle Flight Logo, Tom Clancy’s, Rainbow Six, The Division logo, The Crew Logo, Steep Logo, Eagle Flight Logo, Werewolves Within Logo, Rabbids, Rocksmith, Ketchapp, Ubisoft, and the Ubisoft logo are trademarks of Ubisoft Entertainment in the US and/or other countries. Far Cry Primal is based on Crytek’s original Far Cry directed by Cevat Yerli. DreamWorks Trolls (C) 2016 DreamWorks Animation LLC.  All Rights Reserved. Game software © 2016 Ubisoft Entertainment. All rights reserved.  Ketchapp is a Ubisoft Entertainment company. TRIVIAL PURSUIT,  RISK, BATTLESHIP, and BOGGLE are trademarks of Hasbro and are used with permission. The MONOPOLY name and logo, the distinctive design of the game board, the four corner squares, the MR. MONOPOLY name and character, as well as each of the distinctive elements of board and playing pieces, are trademarks of Hasbro for its property trading game and game equipment and are used with permission © 2014-2016 Hasbro. All Rights Reserved. Licensed by Hasbro to Ubisoft Entertainment. Games software © 2014-2016 Ubisoft Entertainment. All Rights Reserved.                                                  

[1] Monthly Active Users

[2] Recurring player investment includes sales of digital items, DLC/Season Pass, subscriptions and advertising.

[3] Based on the consolidated cash flow statement for comparison with other industry players (not reviewed)

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