Activision Blizzard's quarterly revenue was $1.77 billion. The MAU of its games dropped to 372 million

Activision Blizzard reported on the first quarter of 2022 (ended March 31). Compared to last year, this time the company’s results were much more modest. In the period from January to March, her earnings amounted to $1.77 billion.

Key figures:

• In total, Activision Blizzard earned $1.77 billion in the quarter – 22% less than in the first quarter of 2021;
• net profit for this period amounted to $395 million. Decline by 36% in annual terms;
• In-game receipts (In-game net bookings) fell by 25% compared to last year and amounted to slightly more than $1 billion;
• digital sales totaled $1.59 billion. This is almost 90% of the total revenue;
• the total number of monthly active users in the company’s games is 372 million.

Activision recognizes the massive decline in performance and explains it, first of all, by the unimportant results of the Call of Duty franchise. The company also noted Blizzard’s long product development cycles.

The overall situation was compensated by the high growth rates of the King division.

The main expenses of the company fell on the preparation for the merger with Microsoft.

Activision Metrics:

• the division’s revenue for the first quarter of 2022 amounted to $453 million, which is 49% less than last year’s result;
• MAU dropped to 100 million people. This is 33% less than in the first quarter of 2021;
• Activision notes a decrease in net receipts (net bookings) the Call of Duty series. As the reasons, the company indicates a deterioration in premium sales of Call of Duty: Vanguard compared to last year, as well as a decline in engagement in Call of Duty: Warzone;
• The Call of Duty Mobile indicators have hardly changed compared to last year;
• Call of Duty developers have improved the gameplay of Vanguard and Warzone this quarter. The company is also preparing to introduce a new version of Warzone this year, which will include “revolutionary innovations”;
• In addition, Activision is focused on developing a new part of the series, supporting current games, as well as distributing Warzone to mobile platforms.

Blizzard Metrics:

• In the first quarter of 2022, Blizzard earned $274 million. Decline in annual terms – 43%;
• The total MAU of the division decreased by another 19% to 22 million, compared to last year;
• The figures are gradually declining due to the long development of new products for the Warcraft franchise. Currently in the works are World of Warcraft: Dragonflight, World of Warcraft: Wrath of the Lich King and an as yet unannounced mobile application;
• On April 12, the company released an addition to Hearthstone — Voyage to the Sunken City;
• Open beta testing of Diablo Immortal is scheduled for June 2, 2022 in most regions. The number of player registrations has exceeded 30 million. Work on Diablo 4 continues;
• External testing of the PVP mode in Overwatch 2 starts on April 26.

King Indicators:

• Unlike other divisions, King’s revenue has grown slightly. It rose by 12% and amounted to $682 million;
• but MAU decreased by 3% to 250 million;
• King’s net receipts increased by 8% again. This is mainly due to the largest franchise of the division – Candy Crush;
• Candy Crush has once again become the most profitable gaming franchise in American stores;
• the number of paying players has grown again. The company explains this by actively working on attracting users, gameplay and the in-game economy of Candy Crush;

In the Activision report, Blizzard stated that it continues to create a safe working environment for employees. In March, the company signed an agreement with the U.S. Equal Employment Opportunity Commission.

Activision also announced that it had transferred more than a thousand temporary full-time employees. Many of them received increased salaries and benefits.