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Sep 30, 2024

Take-Two Q2 2025 Earnings Report

Delivered strong second quarter results driven by Grand Theft Auto and Borderlands franchises, with operating results surpassing plans due to marketing expense timing.

Key Takeaways

Take-Two Interactive Software, Inc. reported its results for the second quarter of fiscal year 2025. Net Bookings were $1.47 billion, at the top of the guidance range, driven by the success of the Grand Theft Auto and Borderlands franchises. The company is reiterating its fiscal year 2025 Net Bookings guidance range of $5.55 to $5.65 billion.

Total Net Bookings grew 2% to $1.47 billion compared to $1.44 billion last year.

Net Bookings from recurrent consumer spending grew 6% and accounted for 81% of total Net Bookings.

GAAP net revenue increased 4% to $1.35 billion, compared to $1.30 billion last year.

GAAP net loss was $365.5 million, or $2.08 per share, as compared to $543.6 million, or $3.20 per share, for the comparable period last year.

Total Revenue
$1.35B
Previous year: $1.45B
-6.4%
EPS
$0.66
Previous year: $1.22
-45.9%
Net Bookings
$1.47B
Previous year: $1.44B
+2.1%
Gross Profit
$681M
Previous year: $370M
+83.9%
Cash and Equivalents
$1.24B
Previous year: $1.23B
+0.9%
Free Cash Flow
-$165M
Previous year: $36.4M
-553.8%
Total Assets
$13.1B
Previous year: $15.2B
-14.0%

Take-Two

Take-Two

Take-Two Revenue by Segment

Forward Guidance

Take-Two is revising its outlook for the fiscal year ending March 31, 2025 and providing its initial outlook for its fiscal third quarter ending December 31, 2024.

Positive Outlook

  • Total net revenue $5,570 to $5,670 (millions)
  • Cost of revenue $2,397 to $2,422 (millions)
  • Operating expenses $3,772 to $3,792 (millions)
  • Interest and other, net $120 (millions)
  • Net Bookings $5,550 to $5,650 (millions)

Challenges Ahead

  • Loss income before income taxes $(719) to $(664) (millions)
  • Net loss $(839) to $(775) (millions)
  • Net loss per share $(4.80) to $(4.43)
  • Net cash provided by operating activities approximately $(200) (millions)
  • Adjusted Unrestricted Operating Cash Flow approximately $(150) (millions)