Take-Two Interactive Software reported a 17 percent increase in net bookings for the fourth quarter of fiscal year 2025, reaching $1.58 billion, driven by strong contributions from titles like NBA 2K25, Grand Theft Auto Online, Civilization VII, and Red Dead Redemption 2.
Revenue of Take-Two Interactive rose 13 percent to $1.58 billion, with recurrent consumer spending up 14 percent, accounting for 77 percent of total net bookings.
Take-Two Interactive Software CEO Harry Strauss Zelnick in the earnings report highlighted the robust performance and projected fiscal 2026 net bookings of $5.9 to $6.0 billion, anticipating record levels in fiscal 2027 with the release of Grand Theft Auto VI, which is expected to set a new baseline for business growth and profitability.
In full-fiscal, Take-Two Interactive Software reported a 6 percent increase in net bookings, reaching $5.65 billion, driven by strong performances from NBA 2K25, NBA 2K24, Grand Theft Auto Online, and other key titles. Recurrent consumer spending rose 7 percent, comprising 80 percent of net bookings.
Take-Two’s revenue grew 5 percent to $5.63 billion, with recurrent spending making up 79 percent of the total. Despite revenue growth, the company posted a net loss of $4.48 billion, or $25.58 per share, compared to a net loss of $3.74 billion, or $22.01 per share, in the prior year.
Outlook
Take-Two Interactive’s decision to delay the release of its highly anticipated title, “Grand Theft Auto VI,” into fiscal 2027 has raised concerns regarding its fiscal 2026 performance. The company is targeting bookings of $5.9 billion to $6 billion, highlighting the financial impact of the delay, Reuters news report.
Impact of “GTA VI” Delay
The “GTA” franchise has historically been a massive revenue generator for Take-Two, with previous installments setting sales records in the gaming industry. The delay of GTA VI not only postpones potential revenue windfalls but also provides a window of opportunity for competing publishers to capture market share during a period that would have been dominated by “GTA VI” sales. Additionally, the delay may signal potential development challenges or strategic timing considerations, further affecting investor sentiment as evidenced by the 3 percent decline in share price during extended trading.
Take-Two recorded a $3.5 billion impairment charge in the fourth quarter, reflecting a recalibration of its long-term expectations. While this charge is significant, the company remains optimistic about its broader release pipeline. Executives have outlined plans to launch 25 titles throughout fiscal 2027 and 2028, including “GTA VI,” suggesting that the revenue impact of the delay could be mitigated by a strong multi-title lineup.
Upcoming Titles and Potential Offsets
While “GTA VI” is expected to be a major catalyst, Take-Two has other potentially lucrative releases scheduled for the current fiscal period, including “Borderlands 4” and “Mafia: The Old Country.”
TelecomLead.com News Desk
