Ubisoft warns of operating loss as delays release of two games
Videogame titan Ubisoft said Tuesday it now expects to post an operating loss this year as it delays the release of two new titles.
The France-based company said "Watch Dogs" and "The Crew", previously planned for release at the end of this year, will instead hit the market in its 2014-2015 fiscal year.
The delay led the creator of games such as "Assassin's Creed" and "Just Dance" to reduce its sales figure for this year by nearly a third, from an upper estimate of 1.45 billion euros to 1.05 billion euros ($1.4 billion).
Ubisoft said it now expects a 2013-2014 operating loss of between 40 and 70 million euros.
Despite the massive impact to its short-term financial outlook, Ubisoft co-founder and chief executive Yves Guillemot said he is convinced in the longer term the decision will prove right "both in terms of satisfaction for our fans and in terms of value creation for our shareholders."
He predicted strong momentum for PlayStation 4 and XboxOne will fuel a return to growth for the console market, which will help Ubisoft "achieve record operating income in fiscal 2014-2015 and 2015-2016."
© 2013 AFP