Ubisoft sees cost reduction plan exceeding EUR200M by 2024-2025

As part of its ongoing efforts to streamline operations and enhance collective efficiency, Ubisoft (UBSFY) continued to drive significant cost reductions as it adopts an even more selective approach to investments. In December, following a thorough assessment of its performance, profitability and market conditions, Ubisoft announced the discontinuation of XDefiant and the closure of three production studios in high-cost geographies. Additionally, in January, the Group announced the closure of an additional production site and targeted restructurings that impacted three studios. The company now expects to exceed EUR200M in fixed cost reductions by FY2024-25 compared to FY2022-23, ahead of schedule, and plans to pursue these efforts in FY26, going beyond the initial target by a significant margin. Meanwhile, the review of various transformational strategic and capitalistic options is now ongoing. The Board has established an ad-hoc independent Committee to oversee this formal and competitive process, so as to extract the best value from Ubisoft’s assets and franchises for all stakeholders. The Committee is composed of three independent Directors and chaired by Lead Independent Director, Claude France. As previously indicated, Ubisoft will inform the market in accordance with applicable regulations if and once a transaction materializes.