Take-Two Q1 Revenue Beats, But Cuts EBITDA Outlook and Guides Q2 Below Street
TTWO sits 23% above its 52-week low of $187.63.
Summary
Take-Two Interactive reported fiscal Q1 revenue of $1.53B, beating the $1.36B consensus, with a loss of $0.18/share narrower than the expected $0.20. The company lowered its full-year adjusted EBITDA guidance to $993M-$1.05B from $1.01B-$1.07B, and issued Q2 revenue guidance of $1.42B-$1.47B, well below the $1.75B Street view, with a wider loss per share of $0.75-$0.84 versus the $0.74 consensus. The mixed results reflect higher sales but a wider GAAP net loss, partly due to a cancelled title impairment, while recurrent spending anchors the top line. The company pins its multi-billion outlook on the impending launch of Grand Theft Auto VI in November, which keeps pressure on shares.
At the time of this announcement, TTWO was trading at $230.20 on NASDAQ in the Technology sector, with a market capitalization of approximately $43.5B. The 52-week trading range was $187.63 to $265.94. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Dow Jones Newswires.