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Take-Two Posts Smaller-Than-Expected Loss, Affirms 'GTA VI' November Launch Timeline

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Take-Two Posts Smaller-Than-Expected Loss, Affirms 'GTA VI' November Launch Timeline

Take-Two Interactive Software (TTWO) reported a smaller-than-expected fiscal fourth-quarter loss late Thursday, while the video game publisher said it was on track to launch the highly anticipated "Grand Theft Auto VI" on Nov. 19.

Take-Two's loss narrowed to $0.32 per share in the three months ended March from $21.08 the year before, compared with the FactSet-polled consensus calling for a $0.57 loss. Net bookings, which are products and services sold digitally and physically, remained flat year over year at $1.58 billion.

Last week, Wedbush Securities expected bookings at the high end of the company's $1.51 billion to $1.56 billion range, saying the metric could exceed the company's own guidance.

NBA 2K26, Grand Theft Auto Online, Grand Theft Auto V and Toon Blast were among the largest contributors to net bookings, Take-Two said. Overall revenue increased to $1.68 billion in the March quarter from $1.58 billion a year ago.

GTA VI's launch date was a key investor focus heading into the print. Originally scheduled to come out in 2025, Take-Two's Rockstar Games delayed the release of this iconic series first to May 26 this year and then to Nov. 19.

Take-Two said Thursday GTA VI is set to be launched on Nov. 19. It will be available on PlayStation 5 and Xbox series X/S.

"We believe Fiscal 2027 will establish new record levels of operating performance driven by the November 19th launch of Grand Theft Auto VI, along with strong execution across our portfolio," Take-Two Chief Executive Strauss Zelnick said in a statement.

The company's stock rose 6.2% in after-hours trading. It is down 7% this year through Thursday's close.

Oppenheimer expects GTA VI to contribute $3.45 in non-GAAP EPS in fiscal 2027, assuming 40 million units are sold at a $70 base price. However, buyside estimates indicate that more than 50 million units may be sold, analyst Martin Yang said in a research note published earlier this week.

An incremental 10 million GTA VI sales would add $1 to 2027 estimates, Yang said. "While we view (50 million) unit sales in (fiscal 2027) as possible, we believe management is unlikely to guide to such an optimistic goal initially," according to the report.

For fiscal 2027, Take-Two expects net bookings in a range of $8 billion to $8.20 billion. That compares with 19% growth to $6.72 billion in the year just ended.

EPS for the full year is pegged at $0.55 to $0.75, swinging from a loss annually. The consensus on FactSet is for GAAP EPS of $2.43. The company expects revenue between $7.90 billion and $8.10 billion.

Bookings are projected to come in between $1.32 billion and $1.37 billion for the three-month period ending June 30, Take-Two said. The company anticipates a net loss of $0.15 to $0.23 and revenue between $1.45 billion and $1.50 billion. Analysts polled by FactSet expect a first-quarter loss of $0.40 per share.

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