The main thing from the Take-Two quarterly report: revenue fell by 2%, and receipts — by 29%
Take-Two reported on the results of the first fiscal quarter of 2022 (ended June 30). Although its net revenue decreased by 2% during this period, thanks to strong sales of key franchises, the company managed to increase profits by 72%.
Basic figures:
- GAAP net revenue was $813 million and net profit was $152.3 million.;
- the main driver of growth was sales of games such as NBA 2K21, GTA V, GTA Online, Red Dead Redemption 2, Borderlands 3, Civilization VI and a number of others;
- revenue from in-game purchases (microtransactions, DLC, virtual currency, etc.) increased by 15% year-on-year and amounted to $570 million. This is 70% of Take-Two’s total revenue;
- digital sales for the quarter brought the company 91% of revenue — $740.8 million. Growth in annual terms by 1%;
- net receipts (net booking) fell by 29% to $711 million. Nevertheless, this is $36 million more than originally planned.
According to Take-Two CEO Strauss Zelnick, it is difficult to compare the quarter with the same period last year. Then there was a pandemic in full swing, because of which the indicators of gaming companies began to grow sharply.
Data on specific games:
- Since its release in 2013, GTA V has sold 150 million copies, and sales of the entire franchise have exceeded 350 million copies. The size of the GTA Online audience has grown by 72 in two years%;
- RDR 2 has sold 38 million copies since its release in 2018, and the entire franchise has sold 60 million copies. The audience of Red Dead Online has grown by 18 in two years%;
- shipments of NBA 2K21 and Civilization VI exceeded 11 million copies for each game;
- The company has sold 71 million copies of Borderlands games, 38 million copies of Bioshock and 58 million copies of Civilization.
Take-Two shared forecasts for the next quarter, which will end on September 30. The company expects revenue of $740-$790 million and profit of $41-53 million. She also promised to announce a new franchise at the end of August.
