Take-Two beats on top and bottom line, but Q2 revenue forecasts falls short
Yahoo Finance's Dan Howley joined Yahoo Finance Live to break down Take-Two Interactive's recent earnings report.
Video Transcript
- Dan Howley standing by with Take-Two. Their earnings are out. What can you tell us, Daniel?
DAN HOWLEY: That's right, Adam. They beat on both the top and bottom lines here with $711 million in revenue versus what was expected to be $684 million in revenue. Earnings per share also came in higher. $1.01 versus $0.90. And what's interesting is they're also saying that they'll beat out forecasts for Q2 2022-- this is their fiscal 2022 year-- with $815 million to $865 million of revenue expected. Estimates were for $868 million. So they're just falling shy of that, actually. But still not too far of what estimates were. Really, what's happening is we're seeing that analysts worried about what's going to happen going forward as far as their various releases.
They haven't come out with the new game in the prior quarter. And what they're expecting to release is really kind of remakes of the prior games that have done well for them, the Grand Theft Autos, the Grand Theft Auto online, the Red Dead Redemption 2. They're getting that kind of revenue. But really, what they need is kind of a new blockbuster to come out. And they don't have that any time soon. So we'll hopefully see something in the future from them about new releases.
