Take-Two Interactive Software Beats Profit and Sales Estimates, Expects Sequential Increases in Net Bookings

Take-Two Interactive Software (TTWO) shares advanced Friday, a day after the videogame maker posted better-than-expected results and gave an optimistic outlook as net bookings increased.

The developer of the “Grand Theft Auto” series reported fiscal 2025 first-quarter adjusted earnings per share (EPS) of $0.05, with revenue rising 4.2% year-over-year to $1.34 billion. Both exceeded forecasts.

CEO Says Net Bookings To Increase Sequentially in Fiscal 2026, 2027

Net bookings gained 1.7% to $1.22 billion, and Chief Executive Officer (CEO) Strauss Zelnick said, “We expect to achieve sequential increases in Net Bookings in Fiscal 2026 and 2027.”

Zelnick noted that in the first quarter, the “Grand Theft Auto” franchise exceeded the company’s expectations, “as momentum continues to build ahead of the launch of ‘Grand Theft Auto VI’ in Fall 2025.” However, he did not give an update on exactly when the much-awaited version of the game will be released.

Take-Two anticipates full-year revenue in the range of $5.57 billion to $5.67 billion, with second-quarter net bookings of $1.42 billion to $1.47 billion.

Shares of Take-Two Interactive Software rose 3.2% to $143.25 as of 11:15 a.m. ET Friday but remain 11% lower for 2024.

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Key Takeaways

• Take-Two Interactive Software beat first-quarter fiscal 2025 profit and sales estimates as net bookings increased.
• CEO Strauss Zelnick said the videogame maker sees sequential increases in net bookings in the fiscal years 2026 and 2027.
• The company did not report an exact release date for the much-anticipated “Grand Theft Auto VI” game, although it did say it would occur in “Fall 2025.”

Take-Two Interactive Software Exceeds Expectations

Take-Two Interactive Software, the developer of the popular “Grand Theft Auto” series, reported better-than-expected results for the first quarter of fiscal 2025. The company’s adjusted earnings per share (EPS) came in at $0.05, surpassing forecasts. Additionally, revenue for the quarter rose 4.2% year-over-year to $1.34 billion.

Net bookings, an important metric for the videogame industry, increased by 1.7% to $1.22 billion. Take-Two’s CEO, Strauss Zelnick, expressed optimism about the company’s future, stating that they expect sequential increases in net bookings in fiscal years 2026 and 2027.

Anticipation for “Grand Theft Auto VI”

One of the key drivers of Take-Two’s strong performance in the first quarter was the continued success of the “Grand Theft Auto” franchise. Zelnick mentioned that the franchise exceeded the company’s expectations during the quarter. The anticipation for the upcoming release of “Grand Theft Auto VI” in Fall 2025 has been building, contributing to the franchise’s momentum.

However, Take-Two did not provide an exact release date for “Grand Theft Auto VI” in their latest announcement. Fans of the series will have to wait for further updates regarding the highly anticipated game.

Positive Outlook for Take-Two Interactive Software

Take-Two Interactive Software is optimistic about its future financial performance. The company expects full-year revenue for fiscal 2025 to be in the range of $5.57 billion to $5.67 billion. Additionally, they anticipate second-quarter net bookings of $1.42 billion to $1.47 billion.

Despite the positive outlook, Take-Two Interactive Software’s stock has faced some challenges in 2024, with an 11% decrease. However, the recent better-than-expected results and optimistic outlook have led to a 3.2% increase in the company’s stock price.

Conclusion

Take-Two Interactive Software’s strong performance in the first quarter of fiscal 2025, beating profit and sales estimates, has generated optimism for the company’s future. With the upcoming release of “Grand Theft Auto VI” in Fall 2025, the company expects sequential increases in net bookings in the following fiscal years. Despite some challenges in the stock market, Take-Two Interactive Software remains confident in its ability to deliver strong financial results.