Ubisoft annual net sales as of FY 2022-23, by segment

Digital sales of video games: These correspond to the sale of games or additional content through 100% digital media (content for download: downloadable video games, DLC, etc.). Revenue from digital sales is recognized at the date the downloadable content is made available.

Physical sales of video games: Sales from the sale of boxed video games is recognized at the date of product delivery to the distributors, less rebates and a provision for returns and price reductions, if applicable. For boxed games sold in retail but also including digital content (season pass, DLC, etc.), part of this content is isolated and reclassified in digital sales.

Sales of video games including an online functionality such as Live Services (Digital and Physical sales): The service identified constitutes a separate service obligation, which is spread out over the estimated lifetime of the service as of the date on which the game is marketed.

Licenses relating to video games or works of cinema: Licensing agreements constitute:
Either an access right staggered over time;
Or a recognized right-of-use as of a given date, based on the use made of the license by the license-holder which corresponds to the date on which the licensed content is transferred to the client and which the client may benefit from without restriction. The reference made to the date of transfer of control is liable to lead to one part of the revenue being carried forward.

Virtual currency: Virtual currency constitutes a separate performance obligation. Revenue is staggered over the estimated term of use of the credits.

Subscriptions: Revenue from subscriptions is recognized on a straight-line basis over the term of the service provided.