Take-Two Interactive reported strong fourth-quarter earnings ahead of its acquisition of mobile gaming company Zynga.
The video game publisher reported net income of $930.0 million, down from $839.4 million in the fourth quarter of last year and above the Wall Street consensus. Net income was $111.0 million, or $0.95 per diluted share, up from $218.8 million, or $1.88 per diluted share a year earlier, also beating Wall Street’s expectations. .
Net reserves increased 8% to $846 million per year.
The largest contribution to fourth quarter net income was NBA 2K22 s NBA 2K21; grand theft auto online s Grand Theft Auto V; Tina’s Wonderland; red dead redemption 2 s Red dead online; WWE 2K22; უკThe best eleven; s Two points.
Take-Two reached an agreement to acquire mobile gaming company Zynga in January 2022. Share-Two shareholders will vote on the transaction later this week and the deal is expected to close on May 23, 2022.
The executives did not comment further on the merger, except that the acquisition marked a “moment of transformation” for Take-Two and would create “the power of industry-leading securities”. Included in Zynga titles CSR careers, Empires and Puzzles, Fermville, golf opponent, Harry Potter: Puzzles and Spells, words with friends s zinga poker.
Upcoming titles likely to contribute to bookings include the launch Breed In June 2022 and Marvel’s Midnight Suns In the second half of 2022.
For fiscal 2023, the company expects GAAP net income of $3.67 to $3.77 billion, excluding Zynga, and net income of $223 to $252 million, and net reserves of $252 million. 2.75 to US$ 3.85 billion.
While expected net bookings were lower than Wall Street’s expectations, executives noted that demand for video games “normalized” after the high levels of the first pandemics.
“We expected our audience to stick with us and they did, and we also expected to see some level of regression in terms of audience engagement,” CEO Strauss Zelnik said on an earnings call.
Source: Hollywood Reporter
Camila Luna is a writer at Gossipify, where she covers the latest movies and television series. With a passion for all things entertainment, Camila brings her unique perspective to her writing and offers readers an inside look at the industry. Camila is a graduate from the University of California, Los Angeles (UCLA) with a degree in English and is also a avid movie watcher.
