Take-Two reports $41.1m loss but beats Q2 expectations

Take-Two has once again beaten its quarterly predictions, and has revised its estimations for the fiscal year.

The publisher’s revenue (GAAP) was $126.3m, a decline of 15 per cent compared to the same period last year. The firm’s net losses narrowed to $41.1m.

In terms of non-GAAP, revenue grew to $135.4m. This was hugely down compared to the $1.27bn generated in the same period last year, but of course Grand Theft Auto V launched during that time. Meanwhile losses reduced to $35.4m.

The firm has also revised its prediction for the fiscal year. Where before it estimated revenue of between $1.35bn and $1.45bn, now it predicts it will make between $1.4bn and $1.5bn.

Take-Two cites its catalogue sales as contributing to its higher than expected financials, with titles such as the Grand Theft Auto games, WWE 2K14 and Civilization V boosting numbers.

Digital content also formed a large part of the firm’s numbers. $89.8m was generated by digital content, and revenue from recurrent consumer spending rose 45 per cent year-on-year.

The firm also received around $22m from the sale of live-streaming platform Twitch, which was purchased by Amazon earlier this year.

Our second quarter results exceeded expectations, driven by strong catalog sales and continued growth in digitally-delivered revenue from recurrent consumer spending,” said Strauss Zelnick, Chairman and CEO of Take-Two.

With the successful launches of NBA 2K15, Borderlands: The Pre-Sequel, Sid Meier’s Civilization: Beyond Earth and WWE 2K15, our third quarter and holiday season is off to a great start, and there is tremendous anticipation for our upcoming releases, including Grand Theft Auto V for PlayStation 4, Xbox One and PC, as well as Evolve – the only title in history to win Game of Show honors at both E3 and Gamescom in the same year.

As a result of our better-than-expected results, strong current business trends and positive outlook, we are raising our revenue and earnings expectations for the full-year. Fiscal 2015 is poised to be one of our strongest years ever and we are well-positioned for continued success.”

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