2021 UNIVERSAL REGISTRATION DOCUMENT and Annual Financial Report Contents Message from the Chairman and Chief Executive Offi cer 3 1 Key fi gures AFR 5 6 Financial statements 195 1.1 Quarterly and annual consolidated 6.1 Consolidated fi nancial sales 6 statements for the year 1.2 Sales by platform (net bookings) 7 ended March 31, 2021 AFR 196 1.3 Sales by geographic region 6.2 Statutory Auditors’ report (net bookings) 8 on the consolidated fi nancial statements AFR 262 2 Group presentation 9 6.3 Separate fi nancial statements of Ubisoft Entertainment SA for 2.1 Group business model the year ended March 31, 2021 AFR 267 and strategy AFR DPEF 10 6.4 Statutory Auditors’ report 2.2 History 14 on the separate fi nancial 2.3 Financial year highlights AFR 15 statements AFR 300 2.4 Subsidiaries and equity 6.5 Statutory Auditors’ special report investments AFR 17 on regulated agreements and 2.5 Research and development, commitments 305 investment and fi nancing policy AFR 19 6.6 Ubisoft (parent company) results 2.6 2020-2021 performance review for the past fi ve fi nancial years AFR 306 (non-IFRS data) AFR 21 2.7 Outlook AFR 25 7 Information on the Company 3 Risks and internal control AFR 27 and its capital 307 3.1 Risk factors 28 7.1 Legal information AFR 308 3.2 Risk management and internal 7.2 Share capital AFR 311 control mechanisms 38 7.3 Share ownership AFR 316 7.4 Securities market 321 7.5 Additional information AFR 326 4 Corporate g overnance r eport AFR 45 4.1 Corporate governance 46 8 Glossary, cross-reference tables 4.2 Compensation of corporate offi cers 90 and SASB reporting 329 5 Corporate social Glossary 330 Cross-reference table of the Universal AFR DPEF responsibility 143 Registration Document 331 5.1 Methodology note on employee- Annual financial report related, environmental and societal cross-reference table AFR 333 reporting 144 Management report cross-reference 5.2 Corporate social responsibility table 334 governance 148 Statement of non-financial 5.3 Offering a customized gaming performance (DPEF ) experience that enriches players’ cross-reference table DPEF 336 lives beyond pure entertainment 152 Corporate governance report cross- 5.4 Acting as a responsible employer 156 reference table 338 5.5 Developing our local anchorage 167 Cross-reference table for the AMF Tables 5.6 Developing long-term relations on corporate officer compensation 339 with our business partners 173 SASB reporting DPEF 340 5.7 Optimizing our environmental impact 174 5.8 Duty of Care Plan 184 5.9 Report by one of the Statutory Auditors, appointed as an independent third party organization, In the table of contents, the components of the annual on the consolidated Statement of fi nancial report are identifi ed by the pictogram AFR non-fi nancial performance 190 In the table of contents, the components of the Statement of non-fi nancial performance are identifi ed by the pictogram DPEF Universal Registration Document 2021 including the annual financial report The Universal Registration Document was fi led on June 10, 2021 with the Autorité des Marchés Financiers (AMF – the French Financial Markets Authority), the competent authority in this respect under Regulation (EU) 2017/1129, without any prior approval requirement, as set out in article 9 of said regulation. The Universal Registration Document may be used for the purpose of a public offering of securities or their admission to trading on a regulated market if it is supplemented with a securities note and, where applicable, a summary and all amendments made to the Universal Registration Document. This set of documents is then approved by the AMF in accordance with Regulation (EU) 2017/1129. - Universal Registration Document 2021 1 2 - Universal Registration Document 2021 M essage from the Ch airman and Chief Executive Offi cer Yves GUILLEMOT bisoft achieved a record year in FY21, both in terms of net Overall, the videogame industry continues to demonstrate its increasing bookings and non-IFRS operating income, thanks to our infl uence, importance and growth potential. This was exemplifi ed during underlying performance that was signifi cantly stronger than the pandemic, throughout which more and more people from all over the Uexpected. During a challenging year, our teams demonstrated world benefi tted from the positive impacts that video games have to offer, incredible resilience, delivering amazing games and experiences. They including respite, entertainment and fostering of social connections. Also, continued feeding the depth and diversity of our back-catalog, which, a recent report from Deloitte (1) highlighted that playing video games is again, outperformed our expectations and represented for the third the undisputed top entertainment activity for Generation Z. As we look consecutive year more than 50% of our total net bookings, progressively to the future, opportunities for creators with strong proprietary video cementing the recurring profi le of our business. game IPs like Ubisoft are immense. Our ambitious long-term growth strategy is based largely on our organic Against this backdrop, Ubisoft has invested meaningfully over the past development capacities. By leveraging our vast and talented in-house years to expand its offering and signifi cantly grow its audience reach teams, we are creating a diverse portfolio of owned brands and IPs that and recurring revenues. Our upcoming line-ups will be built upon two can continually fuel our Direct-to-Player ecosystem. While our assets strong pillars: have never been so strong and this value creation model has generated ♦ fi rst, a diversity of business models and platforms to reach a above market shareholder returns over the long term, one of its corollaries signifi cantly larger audience, with major premium games releases is that we may regularly adapt our release schedule. Our decisions will as well as F2P titles for mobile, consoles and PC; always be dictated by the long-lasting value our diverse portfolio can bring to players and, ultimately, to Ubisoft. This approach is key to continue ♦ second, the profi le of our games will be geared towards strong player generating above market shareholder returns over the long term. engagement, with regular updates, multiplayer, social and community features, further contributing to our long-term recurring profi le. For this model to be effective, we have to continuously challenge ourselves and remain nimble. Over the past year, we have continued As previously mentioned, the value of our assets has never been so to pursue the transformation of our organization that we initiated 18 strong and we continue to invest to grow their value, with a major focus months ago in order to ensure Ubisoft is positioned to meaningfully grow on our biggest brands. This is illustrated by the recent announcement audience, recurring revenues and predictability over the coming years. of the expansion of The Division universe, with the goal to reach a We have also implemented profound changes to ensure the continued signifi cantly larger audience through new business models, platforms development of an inclusive working environment where all of our and entertainment mediums. talents can thrive and deliver the game experiences that players will love We also continue to build the strength of our technology, notably Ubisoft and share. For example, to continue delivering high quality standards, Connect, our online services and distribution platform, as well as i3D.net, strong marketability and differentiation we have added expertise and our fast-growing video game hosting activity, that we expect to generate production acumen to our editorial department. We have been adjusting great future value for Ubisoft. our processes, HR organization and remuneration policy to ensure even stronger accountability. We have hired a new Chief People Offi cer and Leveraging these assets and a solid balance sheet, we are in a strong coopted a new independent Board member, both of whom have recognized position to capitalize on the great opportunities offered by the videogame experience in orchestrating change in major corporations. We have also industry and are entering an exciting phase of our development. appointed new heads of Diversity & Inclusion and Workplace Culture to I heartily thank our talented teams, players, partners and shareholders formalize Ubisoft’s values and align the organization around those values. for your loyalty, support and confi dence in us. This is only a glimpse of all the changes we have made to transfi gure our organization. Yves Guillemot Chairman and Chief Executive Offi cer (1) Deloitte Digital media trends, 15th edition, April 16, 2021. Among Generation Z surveyed, 26% state that playing video games is their top entertainment activity, followed by listening to music (14%), browsing the internet (12%), engaging on social platforms (11%) and watching TV or movies at home (10%) - Universal Registration Document 2021 3 4 - Universal Registration Document 2021 1 Key fi gures 1.1 QUARTERLY AND ANNUAL 1.3 SALES BY GEOGRAPHIC CONSOLIDATED SALES 6 REGION (NET BOOKINGS) 8 1.2 SALES BY PLATFORM (NET BOOKINGS) 7 - Universal Registration Document 2021 5 Key fi gures 1 Quarterly and annual consolidated sales 1 .1 Quarterly and annual consolidated sales NET BOOKINGS 1,001 1,000 900 800 700 600 485 500 456 410 417 400 345 347 In € millions 314 300 200 142 100 0 1st quarter 2nd quarter 3rd quarter 4th quarter 2020/2021 2019/2020 Change at Change at Net bookings (1) current constant (in € millions) 2020-2021 2019-2020 exchange rates exchange rates