Today the folks at Grand Theft Auto publisher Take-Two Interactive revealed their earnings for the three months leading up to June 30th, and while revenues were down year-over-year profits went up, beating some analysts’ estimates.
Notably, Take-Two reportedly earned $71.7 million (GAAP) on $388 million in revenues, a bit better than the $60.3 million it earned on $418.2 million in revenues during the same quarter last year.
While the company’s overall revenues fell, its revenue from digital sales (of everything from full games to digital currency) rose to $315 million from $268.2 million a year ago. That means 81 percent of the company’s revenue this quarter came from digital sales, driven in large part by recurrent player spending in games like Grand Theft Auto Online and NBA 2K18.
“This performance was driven by better-than-expected recurrent consumer spending on Grand Theft Auto Online and NBA 2K18, as well as robust ongoing demand for Grand Theft Auto V, which is now approaching 100 million units sold-in to date,” stated company chief Strauss Zelnick in a press release about the results. “Accordingly, we are increasing our operating outlook for fiscal year 2019.”
Specifically, the company now expects to earn between $169-$199 million in profits on $2.5-$2.6 billion in revenue by the end of its current fiscal year, which closes next March. That’s a bit higher than it previously predicted, and much of it is predicated on the expectation that Rockstar Games’ Red Dead Redemption 2 will do well when it launches in October.
Read more about:
2018