Ubisoft First Quarter Sales Down 42% to €76m - NewsWilliam D'Angelo, posted on 18 July 2013 / 3,407 Views
Ubisoft has released its first quarter sales, which ended June 30, 2013. Sales have dropped 42 percent compared to the same period a year ago. Sales for the first quarter were €76 million, down from €131 million a year ago. However, Tom Clancy’s Ghost Recon Future Soldier was released a year ago.
Despite the drop in sales this is still better than the €70 million that Ubisoft had expected. Back-catalog sales were up 56 percent to €60 million, due to strong sales from Assassin's Creed III, FAr Cry 3, Just Dance 4, Rayman Origins, and Rocksmith. Digital sales continued to grow, with sales up 27 percent year-over-year to €34 million.
"Ubisoft’s teams once again performed remarkably well at this year’s E3 in a very competitive and dynamic environment," Ubisoft CEO Yves Guillemot. "The event was an opportunity to fully confirm the potential of the next-generation consoles whose launch in late 2013 is synonymous with a new growth phase for Ubisoft and the industry as a whole."
"With seven acclaimed titles, our games portfolio stood out in terms of both its quality and diversity, and the numerous innovations for the Xbox One and PS4 versions. Assassin’s Creed 4 Black Flag was very well received and the event enabled us to further boost the excellent momentum behind our new brand, Watch Dogs, and to reveal two eagerly-awaited new creations – The Crew and Tom Clancy’s The Division."
"After years of investing in the technologies, expertise and production capacity required for regularly releasing open world titles and for integrating online and social innovations, Ubisoft is now ideally positioned to continue on its path of winning market share and enhancing its financial performance."
Breaking the sales by platform the Xbox 360 and PlayStation 3 each accounted for 23 percent of the sales. This was followed by the PC which made up 20 percent of the sales, then the Wii with 10 percent.
North America was Ubisoft's biggest market making up 53 percent of the total sales. Europe made up 38 percent of the total sales, while the rest of the world made up nine percent.
Sales for the second quarter are expected to be up 35 percent year-over-year to €200 million. This is due to the release of Tom Clancy’s Splinter Cell Blacklist and Rayman Legends.
For the full fiscal year Ubisoft is targeting sales between €1.42 billion and €1.45 billion and profits between €110 million and €125 million.