Ubisoft Shares fell 14% on Thursday after the maker of Assassin’s Creed warned of further losses this year.
The French game maker posted an operating loss of 1.3 billion euros ($1.5 billion) in fiscal 2026. Net bookings amounted to EUR 1.5 billion, down 17.4% year-on-year.
Ubisoft said it expects full-year net bookings to decline by a high single-digit percentage and operating loss margin to be in the single digits.
Shares have fallen 16.7% in recent trading and are down about 38% year-to-date.
The move comes after years of declines in game developer stocks due to the Covid-19 pandemic, delays in major releases and financial difficulties. The company’s stock price fell 34% in January after the company announced a major restructuring.
CEO and co-founder Yves Guillemot said in a statement Wednesday that the next fiscal year is “expected to be the lowest point in our free cash flow trajectory, with a modest release plan and restructuring costs.”
“While the past two years of transformation have involved difficult decisions and disappointing short-term financial performance, we are confident that, taken together, these efforts will position Ubisoft to deliver sustainable free cash flow over the long term,” he added.
Shares have fallen 14.4% in recent trading and are down about 38% year-to-date.
Ubisoft stock price since the beginning of the year.
As part of the restructuring, Ubisoft has canceled seven projects and postponed six others, the company said.
The company added that the fixed cost base was a top priority and the initial cost reduction program was achieved one year ahead of schedule. Fixed costs in 2026 were EUR 1.4 billion. Ubisoft aims to further reduce costs by nearly 200 million euros by March 2028.
