Categories AlphaGraphs, Earnings, Technology

Take-Two Interactive rebounds in Q2 on stable demand; stock gains

Gaming company Take-Two Interactive (TTWO) turned to profit in the September quarter from a loss last year, aided by a sharp increase in revenues. The results came in above Wall Street estimates and the company’s stock gained in the after-hours trading Wednesday.

Take-Two Interactive Q2 2019 earnings Infographic
Take-Two Interactive Q2 2019 earnings Infographic

The company, which is the parent of Rockstar Games and 2K, reported a net profit of $25.4 million or $0.22 per share for the September quarter, compared to a loss of $2.7 million or $0.03 per share in the year-ago quarter. The bottom-line surpassed analysts’ estimate.

Revenues moved up 11% to $492.7 billion during the quarter, reflecting the growing popularity of gaming franchises like Grand Theft Auto V and NBA 2K18. During the quarter, the company’s net bookings grew 1% to $583.4 million.

“Take-Two delivered better-than-expected operating results, including growth in Net Bookings, during the fiscal second quarter. This outperformance was driven primarily by Grand Theft Auto V and Grand Theft Auto Online, as well as the successful launch of NBA 2K19,” said CEO Strauss Zelnick.

Revenues moved up 11% to $492.7 billion, reflecting the growing popularity of gaming franchises like Grand Theft Auto V and NBA 2K18

For the third quarter, the company expects revenues between $1.10 billion and $1.15 billion. Earnings of the December quarter are forecast in the range of $36 million ($0.31 per share) to $48 million ($0.41 per share). For fiscal 2018, the management is looking for revenues in the range of $2.55 billion to $2.65 billion. The outlook for full-year net profit is between $202 million ($1.73 per share) and $232 million ($1.98 per share).

Take-Two gaming stock rallies on upbeat results, bookings

In the first quarter of fiscal 2019, the company’s revenues dropped 7% to $388 million. Earnings, meanwhile, rose to $0.62 per share and surpassed estimates.

Take-Two Interactive shares closed Wednesday’s regular trading session higher. The stock, which grew 8.5% over the past twelve months, gained about 2% following the earnings report.

 

Listen to publicly listed companies’ earnings conference calls along with the edited closed caption text

Most Popular

Does Unity Software (U) stock has more room to run?

Last month, the IPO market was in a full swing. IPOs of Snowflake (NYSE: SNOW) and JFROG (NASDAQ: FROG) had an impressive opening day in September, the former creating a

PepsiCo (PEP): Steady snacking habits amid pandemic drive strong quarter for beverage giant

PepsiCo Inc. (NASDAQ: PEP) beat market expectations on both revenue and earnings for the third quarter of 2020. The company saw the momentum continue in its snacks business while the

Does the virus-driven boom make Electronic Arts (EA) a good investment?

With more and more people turning to virtual entertainment sources, amid the virus-related movement restrictions, video game publishers like Electronic Arts (NASDAQ: EA) are witnessing unusually high demand. Not surprisingly,

Leave a Reply

Your email address will not be published. Required fields are marked *

Add Comment
Loading...

Cancel
Viewing Highlight
Loading...
Highlight
Close
Top