Take-Two Reports On Q1 Earnings

By Baystreet Stocks to Watch

Take-Two Interactive Sofare, Inc. (NASDAQ: TTWO) shares rose Friday following Q1 earnings.

A release issued Thursday revealed that net revenue was $388.0 million, as compared to $418.2 million in last year’s fiscal first quarter. Recurrent consumer spending (virtual currency, add-on content and in-game purchases) accounted for 62% of total net revenue, as compared to 41% in last year’s fiscal first quarter.

The largest contributors to net revenue in fiscal first quarter 2019 were Grand Theft Auto® Online and Grand Theft Auto V, NBA® 2K18, Dragon City and Monster Legends, and WWE® SuperCard and WWE 2K18.

Digitally-delivered net revenue grew to $315.0 million, as compared to $268.2 million in last year’s fiscal first quarter, and accounted for 81% of total net revenue, as compared to 64% in last year’s fiscal first quarter.

The largest contributors to digitally-delivered net revenue in fiscal first quarter 2019 were Grand Theft Auto Online and Grand Theft Auto V, NBA 2K18, Monster Legends and Dragon City, and WWE SuperCard.

Net income increased to $71.7 million, or $0.62 per diluted share, as compared to $60.3 million, or $0.56 per diluted share, for the comparable period last year.

As of June 30, 2018, the Company had cash and short-term investments of $1.102 billion.

According to Strauss Zelnick, Chairman and CEO of Take-Two, “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. Accordingly, we are increasing our operating outlook for fiscal year 2019.”

Shares in TTWO rocketed $12.61, or 11.1%, to $125.85.

This article provided by NewsEdge.