Ubisoft shares fall, Assassin’s Creed maker warns of annual profit loss

Ubisoft Shares tumbled 16% on Thursday after the maker of Assassin’s Creed warned of more losses this year.

The move comes after the game developer suffered years of stock price declines, major release delays and financial difficulties in the wake of the Covid-19 pandemic. The company’s shares fell 34% in January after the company announced a major restructuring.

CEO and Co-Founder Yves Guillemot said Wednesday that the next fiscal year “is expected to represent a low point in our free cash flow trajectory, as well as a softer exit plan and restructuring costs.”

“This two-year transformation brings difficult decisions and disappointing short-term financial performance, but I firmly believe these actions will better position Ubisoft to generate sustainable free cash flow over time,” he added.

The stock was last trading down 16.7% and is down nearly 38% since the beginning of the year.

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