Take-Two made heavy losses of $110m for the three months ending June 30th, the publisher has revealed.
This is compared to just $8.6m from the same period last year.
The publisher blamed lower than expected sales of Max Payne 3 and Spec Ops: The Line as part of the reason for the poor showing. Max Payne 3 has sold more than 3m units since its release in May.
Take-Two said it hoped its upcoming titles such as Borderlands 2 and BioShock Infinite would improve results for the rest of the financial year.
"Although our first quarter results were below expectations due to lower-than-anticipated sales of Spec Ops: The Line and Max Payne 3, the outlook for our slate of upcoming releases is stronger than ever," said Take-Two CEO Strauss Zelnick.
"Early consumer enthusiasm suggests robust demand for our extraordinary line-up of upcoming releases, particularly Borderlands 2, NBA 2K13 and BioShock Infinite. We continue to expect fiscal 2013 to be one of the best years in Take-Two's history."