Activision Blizzard has posted better-than-expected revenues for Q2 2011, thanks largely to strong growth from its digital business.
The publisher reported record net revenues of $1.1bn for the three months ended June 30th, up from $967m in the same period last year. This is ahead of the $985m previously expected. Net income grew to $335m.
Sales through digital channels accounted for 37 per cent of the company’s total net revenues. In fact, revenue from downloads saw a year-on-year increase of 27 per cent, setting a new record for Activision.
Activision Blizzard CEO Bobby Kotick said: "Our better-than-expected second-quarter performance was driven by record digital sales of our online-enabled franchises.
"For the six month period, net revenues from digital channels grew more than 20 per cent, driving record operating margin and earnings per share growth of more than 50 per cent.
"Looking to the balance of the year, while we have numerous releases we believe our audiences will be especially excited by three key properties – Call of Duty: Modern Warfare 3, our new online service Call of Duty Elite and Skylanders: Spyro’s Adventure – all of which are shaping up to be incredible."
Following these results, Activision Blizzard has rasied its forecasts for the rest of the year. The publisher now expects to see net revenues of $650m in Q3, with a total revenue for the calendar year of $4.18bn.