Key Highlights
- Take-Two’s first-quarter revenue climbs to $1.53 billion while TTWO stock gains 4.30%.
- Company reports net bookings of $1.39 billion, down 3% year-over-year despite steady recurrent revenue.
- Grand Theft Auto VI confirmed for November 19 release, underpinning long-term growth strategy.
- Fiscal 2027 net bookings forecast maintained between $8.0 billion and $8.2 billion.
- First-quarter net loss expands to $34.1 million following $43.4 million impairment write-down.
Shares of Take-Two Interactive climbed 4.30% to close at $242.47, recovering from a session low around $225 following the release of quarterly earnings. The gaming giant delivered year-over-year revenue growth, though net bookings experienced a modest decline as recurrent consumer spending continued to drive the majority of performance. The company reaffirmed its commitment to the highly anticipated Grand Theft Auto VI, maintaining its November 19 release date.
Take-Two Interactive Software, Inc., TTWO
First Quarter Revenue Climbs to $1.53 Billion
Take-Two disclosed GAAP net revenue of $1.53 billion for the three months ended June 30, 2026. This marks an improvement from the $1.50 billion generated in the comparable period last year. Recurrent consumer spending grew 3% year-over-year and accounted for 84% of total GAAP revenue.
The company’s net bookings totaled $1.39 billion, representing a 3% decrease from the prior-year figure of $1.42 billion. While recurrent consumer spending within bookings declined 1%, it still comprised 84% of the overall mix. Key franchise contributors included NBA 2K and Grand Theft Auto, which continued to generate substantial engagement.
Additional revenue drivers featured Toon Blast, Match Factory, Empires & Puzzles, and Red Dead Redemption. Titles such as Words With Friends, WWE 2K, Zynga Poker, and Toy Blast also contributed to quarterly performance. This diversified portfolio helped mitigate softer bookings growth throughout the reporting window.
Quarterly Loss Widens on Impairment Charge
Take-Two reported a GAAP net loss of $34.1 million, equivalent to $0.18 per diluted share. This compares to a net loss of $11.9 million, or $0.07 per share, in the year-ago quarter. The widened loss stemmed primarily from a $43.4 million impairment charge.
The write-down resulted from Take-Two’s strategic decision to discontinue development of a previously unannounced third-party project. GAAP operating expenses totaled $918.0 million, while gross profit came in at $882.5 million. The quarter concluded with an operating loss of $35.5 million.
On an adjusted basis, management calculated non-GAAP EBITDA of $167.0 million after applying standard modifications. These adjustments incorporated deferred revenue recognition changes, stock-based compensation, amortization of acquired intangibles, and additional items. Take-Two applied an 18% management tax rate for internal performance evaluation purposes.
Grand Theft Auto VI Anchors FY27 Projections
Take-Two reaffirmed its fiscal 2027 net bookings outlook in the range of $8.0 billion to $8.2 billion. The publisher anticipates full-year GAAP revenue between $7.9 billion and $8.1 billion. Operating cash flow is projected to exceed $1.0 billion for the fiscal year.
Grand Theft Auto VI maintains its scheduled November 19 launch date and serves as the cornerstone of Take-Two’s fiscal 2027 release slate. Rockstar Games is developing this next mainline installment in the company’s most valuable intellectual property. Leadership believes the title will establish a broader revenue foundation and drive enhanced long-term cash generation.
For the second quarter of fiscal 2027, Take-Two projects net bookings in the $1.62 billion to $1.67 billion range. GAAP revenue is expected to fall between $1.42 billion and $1.47 billion for the period. The company anticipates a quarterly net loss ranging from $140 million to $157 million.
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