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Ubisoft Financials

Ubisoft announces the release of financial results (Adobe Acrobat format) for their fiscal year 2013, saying their numbers for the year are "at the upper end of the recently-raised target ranges." They report annual sales are up 18% to €1,256 million and non-IFRS operating income is up 79% to €100 million. The results include perspective from Ubisoft CEO Yves Guillemot:

"In 2012-13 our financial performance outstripped the targets that we had announced a year ago, notably with non-IFRS operating income up 79% and higher-than-expected cash generation. The expertise and talent of our teams enabled Ubisoft to manage the year’s difficult market conditions and the drop in the casual segment remarkably well. In addition, the success of Far Cry 3 confirmed our strong comeback in the major segment of shooter games.” Guillemot continued "We began fiscal 2012-13 with two major franchises: Assassin’s Creed and Just Dance. Twelve months later, we have substantially extended our reach by establishing Far Cry as another major franchise, building upon the great potential for our newest brand, Watch Dogs, and making our online/digital segment an increasingly significant part of our business. The steady rise in our operating and financial performance during the last three years is the direct result of the longterm investments we have made, with the continued development of our creative capacity and the bolstering of our expertise in online activities.”

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15. Re: Ubisoft Financials May 16, 2013, 08:39 Verno
 
You have to give Ubisoft credit, they are actually creating new brands and IP instead of sitting on their laurels. They won't all work out (1666) but they're managing to give people a mix of old and new. I like their approach with uplay more than EA/Origin too.  
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14. Re: Ubisoft Financials May 16, 2013, 07:18 Prez
 
I hate having another platform on top of Steam, but as long as a game is good and it is on Steam it's not a deal-breaker for me, so I'll buy it regardless of it requiring U-play (or even the execrable GFWL) as well. I haven't gotten Far Cry 3 yet, but that's just because I've been busy with other games, so by the time I am ready to play it might be on sale.

All in all, Ubisoft has been slowly moving in the right direction after a series of absolutely disastrous decisions with their DRM schemes and delayed releases, so they deserve to be seeing some positive cash flow I think. The release of Watch Dogs will be a big test to see how far they've come or if they are going to start regressing again. RIght now I am cautiously hopeful.

EDIT: Oh and I am one of netnerd's supposed "stupid" people (fuck you very much btw) who will buy a Steam version of a game that is on GOG also because I prefer Steam's patching and archiving system much more than GOG's, plus I use the integrated features of the Steam platform so there is the convenience factor of the "one-stop-shopping nature of Steam. But yeah, because my tastes run different I am "stupid". Fucking idiot.

This comment was edited on May 16, 2013, 07:25.
 
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13. Re: Ubisoft Financials May 16, 2013, 03:27 Jerykk
 
I disagree and there is no facts to back up what you say any way lol.

No facts? Aside from the fact that Steam is by far the most popular digital distribution platform out there? And that literally every publisher except EA and Ubisoft use Steamworks? And that there are many people who only buy games on Steam?

Nobody likes Uplay. At best, people tolerate it because they have to. Conversely, many, many people like Steam. Put two and two together and I think it's safe to assume that using Steamworks will result in more sales than using Uplay.

It's all well and good to state that you don't like Steam and would prefer DRM-free games. That's fine. However, don't assume that your tastes represent the majority of PC gamers.

The mass amount of stupid people that buy a steam copy of a game on gog.com amazes and saddens me.

So... you basically agree that people are more likely to buy games that support Steamworks.
 
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12. Re: Ubisoft Financials May 16, 2013, 02:49 netnerd85
 
Jerykk wrote on May 16, 2013, 01:23:
Ubisoft's PC games would sell more if they just ditched Uplay completely and switched to Steamworks. Also, simultaneous release dates with the console versions makes a huge difference too.
I disagree and there is no facts to back up what you say any way lol.

I have absolutely no problem with Uplay, it's kind of okay. I'm tired of Valve and Steamworks. I don't even remember the last game I actually bought through Steam... but plenty of Steamworks games. I don't want all my games in Steam. I don't want ANY of MY games tied to any DRM thing. Always look for the DRM free alternative if I can.

The mass amount of stupid people that buy a steam copy of a game on gog.com amazes and saddens me.
 
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11. Re: Ubisoft Financials May 16, 2013, 01:23 Jerykk
 
Ubisoft's PC games would sell more if they just ditched Uplay completely and switched to Steamworks. Also, simultaneous release dates with the console versions makes a huge difference too.  
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10. Re: Ubisoft Financials May 16, 2013, 00:28 netnerd85
 
I like Ubisoft. I do not give them more than $5-$10 for games with bad DRM though. I think I've bought more from them than any other one publisher recently and there is plenty more that I want to buy.  
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9. Re: Ubisoft Financials May 15, 2013, 23:57 Mashiki Amiketo
 
NKD wrote on May 15, 2013, 20:33:
Was Ubisoft struggling before? It seems like they've been doing well financially for a very long time.
No they weren't struggling, but I do remember a story from hmm a year or so back maybe two years where they said that after they removed the DRM PC sales had jumped by ~56% from the previous quarter.
 
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8. Re: Ubisoft Financials May 15, 2013, 23:42 Cutter
 
They didn't back off the DRM because they're nice. It was very clearly affecting sales to a point that they changed their position on the matter. It's not rocket science.
 
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7. Re: Ubisoft Financials May 15, 2013, 23:24 Krovven
 
Teddy wrote on May 15, 2013, 21:00:
Trevellian wrote on May 15, 2013, 20:26:
Amazing what backing off of ridiculous drm will do for business isn't it Ubisoft.

That's some seriously delusional thinking there. The DRM did not make this difference.

PC is roughly 9% of Ubisoft's sales. per VG247.

What made this difference was Far Cry 3 being a surprise hit, selling far more copies than anticipated and Assassin's Creed 3 selling 70% more than the previous Assassin's Creed title.

It had virtually nothing to do with the PC, or their DRM issues on it.

Look at the PDF, Q4 was 20% for PC when it had been 9% in Q3. 20% for PC is the highest it has been in years, if ever. I only went back to 2007/2008 Financials, which did not have a platform breakdown. Last 2 years Q4 was 17%, the year before was 13%.

The news came out in September 2012 that they were changing their policy on PC DRM. FarCry and AC3 I'm sure had a big impact for the 4th quarter. I'd be willing to bet that Anno 2070 saw a surge in sales after they changed it's DRM and has seen a couple sales since.

So with a 3% increase year over year in Q4, and the highest percentage share PC has seen in at least 4-5 years, how much of those sales though wouldn't have existed on PC if they had not relaxed their DRM stance?

I think it's quite reasonable to argue that Ubisofts relaxing of their DRM has had a positive impact on PC sales.

Rattlehead wrote on May 15, 2013, 23:11:
Trevellian wrote on May 15, 2013, 20:26:
Amazing what backing off of ridiculous drm will do for business isn't it Ubisoft.
Not even close. Absolutely zero evidence to prove that.

Actually there is. See above.

This comment was edited on May 15, 2013, 23:29.
 
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6. Re: Ubisoft Financials May 15, 2013, 23:11 Rattlehead
 
Trevellian wrote on May 15, 2013, 20:26:
Amazing what backing off of ridiculous drm will do for business isn't it Ubisoft.
Not even close. Absolutely zero evidence to prove that.
 
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5. Re: Ubisoft Financials May 15, 2013, 23:04 NKD
 
wtf_man wrote on May 15, 2013, 22:54:
So, it's not too far fetch to conclude that backing off ridiculous DRM probably made a significant difference in the PC sales of those games.

I don't know. It usually takes a pretty big clusterfuck for even the average PC gamers to really care about DRM.

Look at all the people who bought Simcity knowing full well it had always-on DRM. The backlash only begun when it caused tangible problems, i.e. no one could fucking play, and was compounded by significant shortcomings in the actual gameplay.

At the end of the day, gamers are happy when the game starts up and they can play it and have fun without significant issues. They only notice the DRM when it doesn't work.

If even a PC exclusive from the "worst company in the universe" EA can get a decent number of sales with well publicized always-online DRM, it's hard to really put a lot of weight behind the "PC gamers will boycott anything with online DRM!" sentiment.
 
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4. Re: Ubisoft Financials May 15, 2013, 22:54 wtf_man
 
Teddy wrote on May 15, 2013, 21:00:
Trevellian wrote on May 15, 2013, 20:26:
Amazing what backing off of ridiculous drm will do for business isn't it Ubisoft.

That's some seriously delusional thinking there. The DRM did not make this difference.

PC is roughly 9% of Ubisoft's sales. per VG247.

However, Q4 PC Sales are 20%, which both ass creed 3 and farcry 3 are part of, and this number is much closer to the Q4 PS3 sales of 33% and XBox 360 Sales of 27%.

So, it's not too far fetch to conclude that backing off ridiculous DRM probably made a significant difference in the PC sales of those games.

I certainly would have never bought Far Cry 3 if it had "always on-line DRM". Of course, those that feel the same wouldn't have had any impact on the console sales of those games.
 
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3. Re: Ubisoft Financials May 15, 2013, 21:00 Teddy
 
Trevellian wrote on May 15, 2013, 20:26:
Amazing what backing off of ridiculous drm will do for business isn't it Ubisoft.

That's some seriously delusional thinking there. The DRM did not make this difference.

PC is roughly 9% of Ubisoft's sales. per VG247.

What made this difference was Far Cry 3 being a surprise hit, selling far more copies than anticipated and Assassin's Creed 3 selling 70% more than the previous Assassin's Creed title.

It had virtually nothing to do with the PC, or their DRM issues on it.
 
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2. Re: Ubisoft Financials May 15, 2013, 20:33 NKD
 
Trevellian wrote on May 15, 2013, 20:26:
Amazing what backing off of ridiculous drm will do for business isn't it Ubisoft.

Was Ubisoft struggling before? It seems like they've been doing well financially for a very long time.
 
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If you don't like where gaming is heading, stop giving your money to the people who are taking it in that direction.
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1. Re: Ubisoft Financials May 15, 2013, 20:26 Trevellian
 
Amazing what backing off of ridiculous drm will do for business isn't it Ubisoft.  
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