Ubisoft’smarket capitalization has dropped to just $1.78 billion, one-sixth of its value from four years ago. 2024 has not been a stellar year for the company, marked by disappointing financial results fromStar Wars Outlawsand the delay ofAssassin’s Creed Shadows.
Ubisoft’s Value Has Dropped 85% in Four Years
Some of the company’s decisions have also raised eyebrows, such as its persistent focus on NFT-based games, all while Skull & Bones stagnates on Steam. Ubisoft is planning events to revitalize the title, but the outlook remains bleak.
As privatization rumors swirl, Ubisoft faces yet more bad news due to a severe stock market collapse. According to data from Companies Market Cap,Ubisoft’smarket value has fallen by 85% since 2021.
Specifically, the French company’s market cap declined from $12.17 billion in January 2021 to just $1.78 billion by January 2025.
By January 2024, the company’s value had already dropped to $3.14 billion, representing a 74% decrease over three years.
Now, 2025 begins with even worse news: the company’s value has plummeted an additional 43%, sinking below $1.8 billion.
Mounting Financial Troubles
This financial collapse has been exacerbated by rising debt, which stood at $2.71 billion as of March 2024.
Reports suggest the actual figure could be even higher due to new loans Ubisoft has taken on since then.
The February release ofAssassin’s Creed Shadowswill be pivotal; a failure could prove catastrophic for the company’s finances, further limiting its ability to secure credit or sustain operations.
Joost van Dreunen, founder of SuperData, suggests that Ubisoft may face privatization or even dismantling in 2025.
The analyst argues that the company’s most valuable assets, such asRainbow Six Siegeand theAssassin’s Creedfranchise, could generate more revenue if sold off individually than they currently do under Ubisoft’s ownership.
“The company’s problems go beyond the performance of individual games. There are deep structural and organizational issues,” van Dreunen states.
A Company at a Crossroads
With a workforce of over 18,000 employees and annual operational costs of approximately €746.6 million, Ubisoft finds itself at a critical juncture.
Despite reducing its cash reserves to €932 million, the increase in net debt makes a sustainable recovery strategy challenging.
It is clear that 2025 will be a decisive year in Ubisoft’s history, determining its short-term future and putting projects such as futureAssassin’s Creedinstallments and theSplinter Cellremake at significant risk.
For more Fextralife news, be sure to check outUbisoft Could Be Acquired by Tencentand alsoUbisoft Confirms They Are Considering Selling The Company to Tencent
