LogInUbisoft announced its plans to allocate significant resources to the Assassin's Creed franchise in order to secure the company's future, following a "challenging" year marked by financial losses and a limited number of releases.
After a year marked by setbacks, such as financial losses and limited releases, Ubisoft is gearing up to revitalize the Assassin's Creed franchise to ensure its long-term success, the company revealed in its latest earnings report.
In its full-year financial report, Ubisoft disclosed that its net sales for the fiscal year amounted to €1.81 billion ($1.96 billion) reflecting a 14.6% decline compared to the previous year. Additionally, the company reported an operating loss of €500 million ($542 million) for the same period.
Notably, the year's only major game releases were Mario + Rabbids Sparks of Hope, Just Dance 2023, and Rocksmith+. It is important to mention that Ubisoft had previously acknowledged that Sparks of Hope and Just Dance, in particular, had not met their performance expectations.
Meanwhile, the latest report reveals that Ubisoft experienced a steady influx of revenue from its other live service games. The Assassin's Creed franchise, in particular, achieved "record active users," even without any new game releases, with Ubisoft reporting that Assassin's Creed Valhalla has garnered 44% more players to date than Origins and 19% more than Odyssey. Furthermore, the game has generated higher revenue per player than its predecessors.
This might explain Ubisoft's strong focus on expanding the Assassin's Creed franchise in the upcoming years. Assassin's Creed Mirage is scheduled for release in 2023. Additionally, Ubisoft has plans for three other major games, a VR game, and a mobile game, all under the Assassin's Creed franchise umbrella.
Ubisoft head Yves Guillemot announced the company's intention to increase the workforce dedicated to the Assassin's Creed franchise by 40% in the coming years. However, this growth is expected to be facilitated primarily through targeted restructurings, considering the ongoing cost-cutting measures that have resulted in a reduction of the company's global headcount.
Ubisoft has assured investors that it will maintain strict control over recruitment and divest "non-core assets," which suggests a potential reduction in the number of game projects it works on at the same time, allowing for a better allocation of resources, time, and staff to be directed towards the development of the Assassin's Creed franchise.
While Ubisoft's increased focus on Assassin's Creed is evident, it's important to note that the company's upcoming fiscal year (ending March 2024) encompasses a diverse range of titles.
It includes not only Assassin's Creed Mirage, but also Avatar: Frontiers of Pandora, Tom Clancy's The Division Resurgence, Rainbow Six Mobile, The Crew Motorfest, Skull and Bones (despite multiple delays), XDefiant, and an undisclosed "large game." Ubisoft plans to provide further details about these titles during the upcoming Ubisoft Forward event on June 12.
In the same earnings report, Ubisoft also expressed its interest in generative AI, stating that "creators and developers of all levels" are currently experimenting with the technology.
You can find the company's earnings release here. Also, don't forget to join our 80 Level Talent platform and our Telegram channel, follow us on Instagram and Twitter, where we share breakdowns, the latest news, awesome artworks, and more.