Ubisoft Reports Rosy Revenue Outlook, Updated Release Schedule

Ubisoft reports increased revenue for this fiscal year’s first half, upgrades its future profit forecasts, and provides release schedule updates for major titles including G.R.A.W. 2, Assassin’s Creed, and Brothers in Arms: Hell’s Highway.

In a report issued yesterday, Ubisoft announced that it increased its revenue for the first half of the 2006 – 2007 fiscal year by 13 percent from the same period last year. Ubisoft CEO Yvess Guillemot credited the increase to Ubisoft’s games catalog, its worldwide distribution, its success in the console market, and the strong recent growth of the U.S. games market. He also noted more than $3.7 million in Xbox Live Marketplace sales, in particular from downloadable content for Ghost Recon: Advance Warfighter.

With regard to future growth, Ubisoft updated its revenue growth forecast for 2006 – 2007 to between 8 and 12 percent, compared to its previous forecast of 5 and 10 percent. For 2007 – 2008, Ubisoft expects to see growth of about 25 percent, as compared to the previous prediction of over 17 percent.

Ubisoft made several game-specific announcements in support of the increased forecasts, including the planned release of G.R.A.W. 2 in this year’s fourth quarter, ending March 2007. Although the sequel was anticipated, the news marks Ubisoft’s first official announcement regarding the title. Specific release platforms and other details for G.R.A.W. 2 were not provided.

Assassin’s Creed and Brothers in Arms: Hell’s Highway will be delayed until the 2007 – 2008 fiscal year, said Ubisoft, meaning that neither game will be released until after April 2007. In terms of revenue for the current year, Ubisoft expects that G.R.A.W. 2 will “take the place” of the delayed titles.

Ubisoft also expects to benefit from the upcoming PlayStation 3 and Wii platform launches, and made specific mention of seven anticipated Wii launch titles. The company further revealed that it will release seven additional Wii games before the end of March 2007, including one not yet announced new franchise.