Ubisoft Reports First-quarter 2012-13 Sales

  • First-quarter sales: €131 million

  • Targets for full-year 2012-13 confirmed

  • New syndicated loan agreement signed

PARIS – July 19, 2012 – Today, Ubisoft released its sales figures for the fiscal quarter ended June 30, 2012.

Sales

Sales for the first quarter of 2012-13 came to €131 million, up 27.2% (or 17.5% at constant exchange rates) compared with the €103 million recorded for the same period of 2011-12.

First-quarter sales were higher than the guidance of approximately €115 million issued when Ubisoft released its full-year results for 2011-12. The quarter saw the following:

  • Higher-than-expected sales of Tom Clancy’s Ghost Recon Future Soldier®, which was the best-selling console game in the US for May and June, both in unit and value terms.

  • A 41% decline in back-catalog sales to €39 million, due to industry wide lower retail back-catalog sales, although this contraction was partly offset by growth in online back-catalog sales.

 

  • Continued strong momentum for the Online segment, with sales up 112% to €27 million. This performance was primarily driven by our Free-to-Play titles and by the success of Trials Evolution, which turned in record first-day sales on XBLA.

Yves Guillemot, Chief Executive Officer, stated With 335 nominations and more than 160 awards at E3 2012, Ubisoft reaped the rewards of its pro-active strategy in the Core segment and demonstrated its strong comeback in this category. Assassin’s Creed 3 won numerous Game of the Show awards, Far Cry 3 and Tom Clancy’s Splinter Cell Blacklist made a big impression at the event, and our two new brands Watchdogs and ZombiU set social networks alight. In the Casual segment, Just Dance 4 is expected to be another major hit, thanks notably to a strong playlist of this year’s best songs. Our success at E3 2012 and the robust momentum of our Online games are positive indicators for achieving our full-year targets for 2012-13.” Mr. Guillemot continued “Our medium-term goal is to capitalize on both the arrival of the new generation of consoles and the ramp-up of the Free-to-Play segment, which represent two major opportunities for us to step up growth and enhance our profitability. Our capacity to create successful brands and high-quality content, allied with our ongoing progress in the item-based model, multi-screen gaming and the development of Uplay (our online services and distribution platform, which now boasts 35 million members) place us in an ideal position to leverage these two opportunities.”

Outlook

Sales for the second quarter of 2012-13

The second quarter will see the release of many online and digital titles, particularly the open beta of Tom Clancy’s Ghost Recon® Online.

Sales for the second quarter of 2012-13 are expected to come in at approximately €110 million, lower than the same period of 2011-12, which, notably, saw the release of Driver® San-Francisco.

Full-year 2012-13

The Company is standing by its previously announced targets for full-year 2012-13. Namely, Ubisoft forecasts sales of between €1,160 million and €1,200 million and current operating income1 of between €70 million and €90 million.

Signature of a new syndicated loan agreement

On July 9, 2012, Ubisoft signed a new five-year syndicated loan agreement for an amount of €215 million. The operation was significantly oversubscribed as it was initially expected to total €180 million, the same amount as in the Company’s previous five-year agreement which was signed in May 2008. Also during the period, the Company cancelled two bilateral credit facilities totaling €70 million that were due to expire in May 2013. As a result of the new syndicated loan Ubisoft’s financing has been secured for the next five years.

Significant events

Market share: In the first six months of calendar 2012, Ubisoft was the number 4 independent publisher in the United States with 7.7% market share (compared with number 4 and 7.1% one year earlier) and number 3 in Europe with 8.1% market share (compared with number 3 and 7.1%).

Disclaimer

This statement may contain estimated financial data, information on future projects and transactions and future business results/performance. Such forward-looking data are provided for estimation purposes only. They are subject to market risks and uncertainties and may vary significantly compared with the actual results that will be published. The estimated financial data have been presented to the Board of Directors and have not been audited by the Statutory Auditors. (Additional information is specified in the most recent Ubisoft Registration Document filed on July 02, 2012 with the French Financial Markets Authority (l’Autorité des Marchés Financiers))

About Ubisoft:

Ubisoft is a leading producer, publisher and distributor of interactive entertainment products worldwide and has grown considerably through a strong and diversified line-up of products and partnerships. Ubisoft has offices in 26 countries and has sales in more than 55 countries around the globe. It is committed to delivering high-quality, cutting-edge video game titles to consumers. For the 2011-12 fiscal year Ubisoft generated sales of €1,061 million. To learn more, please visit: www.ubisoftgroup.com.

© 2011-2012 Ubisoft Entertainment. All Rights Reserved. Watch Dogs, Far Cry, Just Dance, Splinter Cell Blacklist, Might and Magic, Might and Magic Clash of Heroes, Assassin’s Creed, Ghost Recon Future Soldier, Driver, Raving Rabbids, Just Dance, Ghost Recon, Ubisoft, Ubi.com, and the Ubisoft logo are trademarks of Ubisoft Entertainment in the U.S. and/or other countries. TM & © 2011 CBS Studios Inc. All Rights Reserved.  Software © 2011 Ubisoft Entertainment. All Rights Reserved. © 2011 Ubisoft Entertainment. All Rights Reserved. Based on Prince of Persia® created by Jordan Mechner. Prince of Persia is a trademark of Waterwheel Licensing LLC in the US and/or other countries used under license. © 2012 Ubisoft Entertainment. All Rights Reserved. Used under license from Barney Christmas, Inc. The Expendables, The Expendables 2 and all related logos, characters, names, and distinctive thereof are trademarks of Barney Christmas, Inc. and/or Alta Vista Productions, Inc.. All Rights Reserved.SMURFS TM & © Peyo 2012 Licensed through Lafig Belgium/IMPS. The Smurfs, the Movie © 2011 Columbia Pictures Industries, Inc. and Sony Pictures Animation Inc. All Rights Reserved. Game Software excluding Columbia/Sony and Lafig Belgium Elements: © 2012 Ubisoft Entertainment. All rights reserved. © 2011 Exequo. All Rights Reserved. Published and distributed by Ubisoft Entertainment under license from Exequo. Babel Rising is a trademark of Exequo and is used under license. © 2012 Puzzler and Ideas Pad Limited. All Rights Reserved.  Published and distributed by Ubisoft Entertainment under license from Ideas Pad. Puzzler World is a trademark of Puzzler Media Limited and is used under license. Ubisoft and the Ubisoft logo are trademarks of Ubisoft Entertainment in the US and/or other countries.

APPENDICES

Breakdown of sales by geographic region

         
 

% Sales

% Sales

% Sales

% Sales

Q1 2012/13

Q1 2011/12

3 months 2012/13

3 months 2011/12

Europe

39%

32%

39%

32%

North America

52%

58%

52%

58%

Rest of world

9%

11%

9%

11%

TOTAL

100%

100%

100%

100%

         
         

Breakdown of sales by platform

         
 

Q1 2012/13

Q1 2011/12

3 months 2012/13

3 months 2011/12

Nintendo DS

1%

3%

1%

3%

Nintendo 3 DS

2%

1%

2%

1%

PC

12%

11%

12%

11%

PLAYSTATION®3

26%

19%

26%

19%

PSP

1%

2%

1%

2%

Wii

7%

27%

7%

27%

XBOX 360

42%

36%

42%

36%

PLAYSTATION®VITA

2%

-

2%

-

Others

7%

1%

7%

1%

TOTAL

100%

100%

100%

100%

         
         

Breakdown of sales by business line

         
 

Q1 2012/13

Q1 2011/12

3 months 2012/13

3 months 2011/12

Development

95%

90%

95%

90%

Publishing

4%

3%

4%

3%

Distribution

1%

7%

1%

7%

TOTAL

100%

100%

100%

100%

Title release schedule

2nd Quarter (July – September 2012)

PackageD Goods 

FUNKY BARN 3D(EMEA)

Nintendo 3DS™

NCIS® 3D

Nintendo 3DS™

PUZZLER® WORLD 20123D (US)

Nintendo 3DS™

 

 

 

Online Digital MOBILE

ASSASSIN’S CREED® COMICS

iPad

JUST DANCE® AUTODANCE V2

iPad, iPhone

BABEL RISING

Windows Phone

Might & Magic® DUEL OF CHAMPIONS

PC Client-Based

PRINCE OF PERSIA® CLASSIC HD

Android

RABBIDS® GO PHONE AGAIN

Android, Windows Phone

THE SMURFS™ & CO (CHINA)

Facebook

THE EXPENDABLES 2 VIDEOGAME

XBLA, PSN, PC

TOM CLANCY’S GHOST RECON® ONLINE

PC Client-Based

11 Before stock-based compensation