Man, investors and shareholder are a fickle sort. Following Ubisoft’s announcement that open-world next-gen showcase Watch Dogs and racer The Crew would see a delay, Ubisoft’s stock prices have dropped rather sharply.
According to Bloomberg, Ubisoft’s shares dropped by as much as 32% following the announcement, though they settled to being just a 25% drop in share price.
Ubisoft is set to make an operating loss of between 40 million euros and 70 million euros for the 2013 fiscal year after delaying Watch Dogs and The Crew. On top of that, some of its other releases just haven’t performed very well. Still, Ubi’s sure it’s made the right choice.
“We made a choice that will pay off in the long run,” Ubisoft CEO Yves Guillemot said in an interview. “The market has changed — we need huge blockbusters, and that means making very high-quality games.”
“It’s little bits of polish and fine-tuning, but they really matter — we want these games to be the
best out there for new-generation consoles,” said Guillemot “‘Watch Dogs’ could be as big as ‘Assassin’s Creed,’ even bigger. It’s a great opportunity to increase our market share.”
Ubisoft’s successes for the rest of this year hinge on just a few key titles. which include the latest in the ludicrously popular Just Dance series, and Assassin’s Creed IV. Yeah, I think Ubisoft is going to be just fine.[Thanks to Chief Accountant Erwin for the tip]
Last Updated: October 17, 2013