Ubisoft financial results

[famousringo]

psrock said:

famousringo said:

psrock said:

The source answered the question about the year, the DS sales has cost them tons of sales, but enough about the 60 million dollars game stuff.

Why? You're missing half the picture if you only look at revenues and ignore costs. It's a fact that while revenues are contracting, Ubi's R&D budget expanded 25% last year. Guillemot himself has stated that he thinks it will be the average cost of an 8th gen game, and I don't think that they're all going to sell 9 million units.

Yeah, because that's not why they lost money. When that's reason, then we can use that excuse.

Okay, so they're spending 60 million more Euros than they used to spend on R&D, and it hasn't yet yielded any increase in revenues, but somehow it isn't losing them money. I must be missing something.

I'm sure Ubisoft expects their swelling R&D budget to yield returns in the future, and perhaps it will, but there's no guarantee that it will. And until it does, those increased costs are losing Ubisoft money!