Take-Two, EA Project Strong Holiday Seasons

Take-Two Interactive’s earnings held steady on Wednesday as it anticipates the next release in its hugely popular “Grand Theft Auto” series.

The company, which owns major game makers including Rockstar and 2K, saw net revenue grow 2% year-over-year to $858.2 million. Digital sales accounted for 89% of Take-Two’s bookings, led by “Grand Theft Auto” and “NBA 2K.”

The company raised its full fiscal year guidance to up to $3.4 billion, with remasters of three classic “Grand Theft Auto” titles coming in November. “Grand Theft Auto V” is the most profitable entertainment property in history, according to Bloomberg. 

Take-Two’s chief rival in sports gaming, “FIFA”-maker Electronic Arts, posted its strongest fiscal second quarter in its history, banking $1.83 billion in the three months ending Sept. 30.

The results were “primarily driven by our EA Sports titles and Apex Legends,” said CFO Blake Jorgensen.

• EA’s revenue grew 58.6% year-over-year and 35.5% over the same period in 2019.
• EA raised its full-year adjusted sales projection to $7.63 billion from $7.4 billion.

“We’re positioned for a strong holiday season driven by our exciting ‘Battlefield 2042’ game,” Jorgensen added.

The company has built out its mobile portfolio this year through acquisitions, buying Playdemic for $1.4 billion in June, Glu Mobile at a $2.1 billion value in February, and Codemasters for $1.2 billion that same month.

EA and FIFA are parting ways on their exclusive licensing agreement, ending a 28-year partnership.