Take-Two revenue forecast shows GTA 6 won't release until May 2025

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Take-Two Interactive Software forecast fourth-quarter bookings below market expectations and cut its annual forecast on Thursday on a sign of weak demand for gaming titles like NBA 2K, sending its shares up 10% after the bell. Percentage has declined.

Lower consumer spending and stiff competition from players like Electronic Arts and Microsoft-owned Activision Blizzard is hurting the video game publisher.

Take-Two estimates fourth-quarter bookings to be between $1.27 billion (roughly Rs. 10,542 crores) and $1.32 billion (roughly Rs. 10,957 crores), while analysts' estimates are at $1.51 billion (roughly Rs. 12,534 crores). LSEG data.

It cut its estimate for full-year bookings to $5.25 billion (roughly Rs. 43,578 crores) to $5.30 billion (roughly Rs. 43,993 crores), from its earlier estimate of $5.45 billion (roughly Rs. 45,239 crores) to $5.55 billion. was given. (Approximately Rs 46,069 crore).

“The estimate cut is almost entirely due to the game being shifted out of the fiscal year, so there will be no real impact on the company's long-term prospects,” said Wedbush Securities analyst Michael Pachter.

But the company's latest estimate of “slightly above $7 billion (roughly Rs. 58,105 crores) for net bookings” for fiscal 2025, after last year's revised forecast of less than $8 billion (roughly Rs. 66,406 crores), has investors worried. The expectations were dashed.

They were hoping for a boost from Take-Two's Grand Theft Auto VI, the latest installment of the best-selling franchise that is scheduled for release in 2025.

“The reduction in outlook tells you that it (Grand Theft Auto VI) is not coming in the next fiscal year,” Pachter said.

third quarter hit

Take-Two's net bookings fell 3 percent to $1.34 billion (roughly Rs. 11,122 crore) in the third quarter, in line with analysts' estimates.

According to Take-Two CEO Strauss Zelnick, the solid performance of games such as GTA Online and the Red Dead Redemption series was partially offset by softness in mobile advertising and sales of NBA 2K.

On an adjusted basis, the company earned 71 cents per share, compared with estimates of 72 cents.


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