Grand Theft Auto, NBA 2K Lift Take-Two Q1 Earnings to $1.2 Billion, FY 2025 Forecast Hints at GTA 6 Again

Take-Two remains confident to see a "significant inflection point" in fiscal 2025. Analysts expect that boost to come from Grand Theft Auto 6.

Advertisement
By Reuters | Updated: 9 August 2023 12:24 IST
Highlights
  • Take-Two's second-quarter forecast was below estimates
  • US spending on videogame content was flat in the first half of the year
  • Console sales, on the other hand, rose 23 percent
Grand Theft Auto, NBA 2K Lift Take-Two Q1 Earnings to $1.2 Billion, FY 2025 Forecast Hints at GTA 6 Again

Grand Theft Auto games have seen strong demand

Photo Credit: Reuters

Take-Two Interactive Software forecast second-quarter net bookings below Wall Street targets on Tuesday, in a sign that spending on games remained under pressure amid inflationary pressures.

US spending on videogame content, including new games and character skins, was flat in the first half of the year, while console sales rose 23 percent, according to data from gaming research firm Circana.

Last fiscal, Take-Two incurred $79 million (roughly Rs. 654 crore) in costs relating to unreleased and cancelled titles. It cancelled "several titles" that were a part of its fiscal 2026 pipeline to focus on those games with "higher levels of conviction and expectations of success".

The videogame publisher forecast net bookings for the September quarter between $1.4 billion (roughly Rs. 11,593 crore) and $1.45 billion (roughly Rs. 12,000 crore), the mid-point of which is below analysts' average estimate of $1.45 billion, according to Refinitiv data.

Advertisement

CEO Strauss Zelnick, however, said he expects the company to be in a "reasonably good position from an economic point of view" early next year, signalling that demand would improve.

The company reiterated net bookings forecast for the fiscal ending March 2024. It remains confident to see a "significant inflection point" in fiscal 2025, when it expects net bookings of over $8 billion (roughly Rs. 66,242 crore).

Advertisement

Analysts and investors expect that boost to come from the much-awaited game: Grand Theft Auto 6.

"For investors, the focus is more around them (Take-Two) maintaining their guidance," said Wedbush Securities analyst Nick McKay.

Advertisement

Take-Two's shares were up 3.8 percent after the bell.

Net bookings for the first quarter rose 20 percent to $1.20 billion (roughly Rs. 9,936 crore), driven by strong demand for its proven gaming titles including Grand Theft Auto and NBA 2K. Analysts expected $1.21 billion (roughly Rs. 10,018 crore).

Take-Two said net bookings from customers who make in-game purchases rose 38 percent in the quarter ended June 30.

Quarterly ad revenue grew about 11 percent, driven by improvements at Zynga's mobile games business.

© Thomson Reuters 2023


What are the most exciting titles that gamers can look forward to in 2023? We discuss some of our favourites on the latest episode of Orbital, the Gadgets 360 podcast. Orbital is available on Spotify, Gaana, JioSaavn, Google Podcasts, Apple Podcasts, Amazon Music and wherever you get your podcasts.
Affiliate links may be automatically generated - see our ethics statement for details.
 

For the latest tech news and reviews, follow Gadgets 360 on X, Facebook, WhatsApp, Threads and Google News. For the latest videos on gadgets and tech, subscribe to our YouTube channel. If you want to know everything about top influencers, follow our in-house Who'sThat360 on Instagram and YouTube.

Advertisement

Related Stories

Popular Mobile Brands
  1. Canva Code Review: Vibe Coding Meets Creative User Experience Design
  2. Samsung Galaxy Z Fold 7 Pre-Orders Reportedly Outpace the Galaxy Z Flip 7
  3. CMF Watch 3 Pro Launched With Up to 13 Days Battery Life: Price, Features
  4. BSNL Rs. 197 Prepaid Plan's Validity Reduced: Old vs. New Benefits
  5. Honor Pad GT 2 Pro With 10,100mAh Battery Goes Official
  6. ViewSonic X1-4K Pro, X2-4K Pro and SP7 Projectors Launched in India
  7. iQOO Neo 11 and Neo 11 Pro Key Specifications Tipped
  8. OnePlus 15, OnePlus Ace 6 Launch Timeline Leaked, Could Debut Together
  9. [Exclusive] Oppo K13 Turbo Series to Launch in India in Early August
  10. Samsung Galaxy Watch Ultra Gets Wear OS 6 Update With These Features
  1. Samsung Galaxy Watch Ultra Gets One UI 8 Watch Update With Wear OS 6 Features
  2. AMD Unveils Stable Diffusion 3 Medium Model With Support for 4-Megapixel Image Generation on Ryzen AI Laptops
  3. Samsung Galaxy Z Fold 7 Reportedly Outpaces Galaxy Z Flip 7 in Pre-Orders in South Korea
  4. Lava Blaze Dragon 5G Price Range, Key Features Revealed Ahead of July 25 Launch in India
  5. Samsung Galaxy Z Fold 6 Price in India Slashed After Galaxy Z Fold 7 Launch
  6. Honor Pad GT 2 Pro With Snapdragon 8 Gen 3 SoC, 10,100mAh Battery Launched: Price, Specifications
  7. CMF Watch 3 Pro Launched With 1.43-Inch AMOLED Screen, Up to 13 Days Battery Life: Price, Features
  8. Netflix Reportedly Testing Runway’s AI Video Tools in Content Production
  9. Vivo V60 Could Launch in India on August 12; Key Specifications and Price Tipped
  10. iOS 18.6 Release Candidate Beta Released Alongside macOS 15.6 RC and More for Both Public and Developers
Gadgets 360 is available in
Download Our Apps
Available in Hindi
© Copyright Red Pixels Ventures Limited 2025. All rights reserved.