Core Insights - Ubisoft reported first-quarter net bookings of €281.6 million for fiscal year 2025-26, which is a decrease of 2.9% compared to €290.0 million in the same period last year, falling short of expectations [3][23] - The company is undergoing a transformation by reorganizing into Creative Houses, aimed at enhancing quality, focus, autonomy, and accountability while fostering closer connections with players [4][7][16] - The closing of the transaction with Tencent is progressing well and is expected to be completed by the end of 2025, subject to regulatory approval [4][18] Financial Performance - IFRS 15 sales for Q1 2025-26 were €310.8 million, down 3.9% from €323.5 million in Q1 2024-25 [22] - Digital net bookings reached €250.2 million, a decrease of 2.7%, while Player Recurring Investment (PRI) net bookings were €151.8 million, down 4.3% [1][22] - Back-catalog net bookings increased by 4.4% year-on-year to €260.4 million, representing 92.5% of total net bookings [1] Game Performance - Assassin's Creed Shadows met expectations with over 5 million unique players since launch, while Rainbow Six Siege faced temporary disruptions due to technical pricing issues [6][9] - The Rainbow Six Siege X update received positive feedback, with significant player engagement growth despite earlier pricing issues [11][12] - Tom Clancy's The Division 2 had a strong start to the fiscal year, driven by new content and its inclusion in Game Pass [14] Strategic Outlook - For Q2 2025-26, net bookings are expected to reach around €450 million, driven by strategic partnerships and contributions from Rainbow Six Siege X [24] - The company confirmed its full-year targets, expecting stable net bookings year-on-year and approximately break-even non-IFRS operating income [25] - Upcoming titles for FY26 include Anno 117: Pax Romana™, Prince of Persia™: The Sands of Time remake, and Rainbow Six Mobile [26]