Take-Two Interactive Software, Inc. Reports Results for Fiscal Second Quarter 2025

Take-Two Interactive Software, Inc., a leading developer, publisher, and marketer of interactive entertainment, has released its financial results for the second quarter of fiscal year 2025, which ended on September 30, 2024. The company reported strong performance driven by its popular franchises, including Grand Theft Auto and Borderlands.

Financial Highlights

For the second quarter of fiscal 2025, Take-Two Interactive reported:

• Net Bookings of $1.47 billion, a 2% increase from $1.44 billion in the same period last year.
• GAAP net revenue of $1.35 billion, up 4% from $1.30 billion in the previous fiscal year's second quarter.
• GAAP net loss of $365.5 million, or $2.08 per share, compared to a net loss of $543.6 million, or $3.20 per share, in the same period last year.
• Recurrent consumer spending grew 6% and accounted for 81% of total Net Bookings.

Business and Operational Highlights

The company's performance was bolstered by the continued success of its key franchises:

• Significant contributions from NBA 2K25 and NBA 2K24, Grand Theft Auto Online and Grand Theft Auto V, Toon Blast, and other mobile games.
• Recurrent consumer spending, which includes virtual currency, add-on content, in-game purchases, and in-game advertising, increased by 8% and accounted for 80% of total GAAP net revenue.

Strategic Initiatives and Corporate Developments

Take-Two Interactive has reiterated its fiscal year 2025 Net Bookings guidance range of $5.55 to $5.65 billion. The company is confident in achieving sequential increases and record levels of Net Bookings in fiscal years 2026 and 2027, driven by upcoming releases such as Grand Theft Auto VI, Borderlands 4, and Mafia: The Old Country.

Management's Perspective

Strauss Zelnick, Chairman and CEO of Take-Two Interactive, commented, "I am pleased to report that we delivered strong second quarter results. Our Net Bookings of $1.47 billion were at the top of our guidance range, driven by the continued success of the Grand Theft Auto and Borderlands franchises, and our operating results surpassed our plans, largely due to a shift in the timing of marketing expenses within the year."

He added, "As we look ahead, we believe that Take-Two remains exceedingly well-positioned for the long-term. Our vision is clear, our talent is unparalleled, and we have one of the strongest portfolios of owned intellectual property in our industry."

Future Outlook

For the fiscal year ending March 31, 2025, Take-Two Interactive has provided the following guidance:

• Total net revenue is expected to be between $5.57 billion and $5.67 billion.
• Net Bookings are projected to be in the range of $5.55 billion to $5.65 billion.
• GAAP net loss is anticipated to be between $839 million and $775 million, or $4.80 to $4.43 per share.

The company also expects to release several major titles in the coming fiscal years, including Grand Theft Auto VI, Borderlands 4, and Mafia: The Old Country, which are expected to drive long-term value for shareholders.

SEC Filing: TAKE TWO INTERACTIVE SOFTWARE INC [ TTWO ] - 8-K - Nov. 06, 2024