Ubisoft Surges on Strong Q2 Bookings and Tencent Investment Boost

French video game publisher Ubisoft reported stronger-than-expected second-quarter results, delivering a significant jump in net bookings and securing a major financial boost through its partnership with China’s Tencent. The company announced that quarterly net bookings climbed to 490.8 million euros, a 39% increase from the previous year and well above its earlier forecast of roughly 450 million euros. Ubisoft attributed the performance to broad strength across its game catalog as well as substantial revenue generated from television adaptations of its popular franchises.

A key highlight for investors is Tencent’s 1-billion-euro investment into Vantage Studios, a Ubisoft subsidiary overseeing the company’s three flagship franchises. Ubisoft said the proceeds will support early repayment of approximately 286 million euros in outstanding loans, significantly easing its debt burden. As of the end of September, Ubisoft’s net debt stood at 1.15 billion euros, with 210 million euros maturing in December.

Ahead of publishing its delayed half-year results, Ubisoft requested that trading of its shares and bonds resume on Euronext at 10 a.m. local time on Friday. The trading suspension, initiated on November 14, stemmed from a restatement of fiscal 2025 accounts requested by a newly appointed panel of auditors. The adjustment, tied to revenue recognition for partnership agreements, temporarily placed Ubisoft in breach of its leverage covenant ratio. The company said this issue will be fully resolved through early debt repayment funded by the Tencent deal.

Despite the accounting setback, Ubisoft reaffirmed its full-year outlook, expecting stable net bookings compared with last year and operating income close to breakeven. The company forecast third-quarter net bookings of around 305 million euros.

CEO Yves Guillemot added that Ubisoft plans to unveil detailed information about its upcoming “Creative Houses” operating model in January 2026. Meanwhile, the company continues its cost-saving initiative, targeting at least 100 million euros in reductions this year. Ubisoft's workforce dropped to 17,097 employees by the end of September—a reduction of about 1,500 roles over 12 months. CFO Frederick Duguet noted that nearly 70 million euros in savings were already achieved during the first half of the year.