| TheSource said: Well...I was thinking about that. Assassin's Creed 2 cost $60 in stores for you and I. Ubisoft sold it for $48 to retailers at launch. Lets say that price held over the entire fiscal year...
The most they could get for the game is ~$48 * 9,000,000 or ~$432,000,000 Sony and Microsoft get ~$90 million of that Another ~$9 million goes to making the discs / instruction manuals So Ubisoft is left with ~$332 million The game probably had $30-$50 million in advertising (15% of total revenue) Probably cost $20-$30 million to make
So on the $432 million (340m Euro) they get up to 65% of the revenue as profit, maybe as much as $282 million / 222m Euro profit on the game. Their revenue was $1.106b for the fiscal year, 45% of which came on X360 / PS3....but 39% of X360/PS3 revenue (432/1106) came fron Assassin's Creed 2...which means almost every game for those systems probably performed well below expectations. It amounts to something like $432m from Assassin's Creed 2...and $66m from all other HD games... For Wii you have ~$28 * 3m for Just Dance which is like ~$84 million but Ubisoft revenues from other Wii games were ~$204m. That means a fair amount of other Wii stuff did ok or well, or a few other games clear 1m units.
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Ubisoft didn't really release anything except AC2, think HAWX and Call of Juarez are the only other games they released which sort of sold anything but neither set the charts alight. Seemed like a bit of a year off for Ubi - this year has new Splinter Cell, Prince of Persia, Assassin's Creed, Driver, Just Dance (Lol) games etc so should be strong for them.
Hard to understand where the huge amounts of revenue from Wii came from too, as Just Dance can't account for it all. They probably released a good 30 ****ty games for the thing over the year though - and unfortunately these results probably indicates Ubi's shovalware flooding of the market strategy is working.
DS drop off is mental too - and I can't really figure that one out. No this wasn't a 'too much shovalware' type thing as imo the market Ubi is catering for is generally satisfied with their products. The brand names normally get stronger from it, and sell more, not diminish. Could be piracy, could be used sales, could be lost to competition, but it's definitely been the hole in Ubi's results this year.
but overall, imo, a good year for Ubi. They didn't post a HUGE loss in a year where they only released two big franchise games (AC2 + Tom Clancey) and FY2011 looks extremely strong with possibly 10+ big sellers on the horizon.
