Ubisoft reports $76.2 million operating loss in fiscal year 2009-10

Ben Gilbert — Tue, 18 May 2010 13:00:00 EST

Ubisoft today released its financial earnings report to investors for fiscal year 2009-10 (ending March 31), reporting sales of €871 million ($1.1 billion) with an operating loss of €60 million ($76.2 million). CEO Yves Guillemot softened investor reaction by saying: "The global economic crisis had a pronounced impact on the video game industry in 2009, which contracted by nearly 10 percent year-on-year. Ubisoft's sales were hit particularly hard, falling 18 percent over the full year despite a stabilization in the second half of the year."

Ubi's Q4 sales were up 1.9 percent year-over-year to €210 million ($266.7 million), outpacing internal guidance by €10 million ($12.7 million). The company says the inflated numbers are due partially to "a strong increase in sales of Just Dance," the "ongoing exceptional performance delivered by Assassin's Creed 2 which sold-in nearly 9 million units during the year," and higher-than-expected sales of both Red Steel 2 and Avatar.

And Guillemot predicts a sunnier 2010-11. "We forecast a return to profitable growth in 2010-11 with positive cash flow generation, driven by a games line-up that is more closely tailored to growth segments based on strong franchises." He also notes his excitement for new technology driving increased sales, saying, "Lastly, the upcoming launches of new consoles, including Natal and Sony Move, should enable us to capitalize on the technology investments that we have undertaken in recent years and re-energize the casual games segment."

Source -- Ubisoft FY2009-10 Sales & Earnings Report (warning: PDF link)

Ubisoft reports $76.2 million operating loss in fiscal year 2009-10 originally appeared on Joystiq on Tue, 18 May 2010 13:00:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments

Disney Interactive to be more 'judicious' with HD games as losses abate

Ludwig Kietzmann — Wed, 10 Feb 2010 12:15:00 EST

Though Disney's gaming division saw improved operating results during the company's first fiscal quarter of 2010 (which ended January 2) -- a loss of $10 million compared to a $45 million loss in Q1 the previous fiscal year -- CEO Robert Iger has maintained a prudent stance on upcoming projects.

"Disney-branded games seem to perform better on the Wii and DS platforms," he noted during a recent investor call (via Computerworld). It seems Disney will continue to target non-Nintendo platforms, but with fewer shots and steadier aim. "While we'll continue to make high-end games, we'll be very judicious in how many we make and which ones we choose," Iger said.

Iger is also likely to keep an eye on the performance of upcoming "high-end" titles like Tron Evolution and Black Rock Studios' Pure follow-up, Split/Second. And if neither of those work, you send in the spandex. "We have some interesting opportunities with Marvel," he said. "That's a brand we think would do extremely well on higher-end consoles."

Source: ComputerWorld [via GamesIndustry.biz]
Source: The Walt Disney Company Q1 results

Disney Interactive to be more 'judicious' with HD games as losses abate originally appeared on Joystiq on Wed, 10 Feb 2010 12:15:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments