Key Notes
- Take-Two calls GTA VI preorders extraordinary and raises its fiscal 2027 revenue forecast to $7.98 billion to $8.18 billion.
- Quarterly revenue fell 15.6% to $1.497 billion, while net bookings of $1.601 billion missed the company’s forecast.
- The November 19 launch falls in a quarter for which Take-Two expects companywide bookings of $3.35 billion to $3.5 billion.
Take-Two Interactive (Nasdaq: TTWO) raised its annual revenue forecast as Grand Theft Auto VI preorders ran ahead of internal expectations, giving the publisher a brighter outlook despite a weaker quarter before the game’s November 19 launch.
The company now expects fiscal 2027 revenue of $7.98 billion to $8.18 billion, an $80 million increase at both ends of its previous forecast. Its annual net bookings target remains $8 billion to $8.2 billion.
GTA VI Preorders Outpace Expectations
Chief financial officer Lainie Goldstein described preorders as “extraordinary” in the company’s prepared remarks. Chief executive Strauss Zelnick said they were tracking well above initial expectations. Take-Two did not disclose a preorder unit count or dollar total.
GTA VI arrives on PlayStation 5 and Xbox Series X|S nine days from now. The series is already outperforming the company’s forecasts, and Grand Theft Auto V has sold nearly 235 million copies worldwide.
Rockstar’s launch campaign extends to a Miami music festival on November 21, featuring Travis Scott, Cardi B and Justice. FluxGamer also details the preload rollout beginning November 10, with up to 212 GB of console storage required.
Revenue Falls as the Loss Narrows
For the quarter ended September 30, Take-Two reported revenue of $1.497 billion, down 15.6% from a year earlier but above its $1.42 billion to $1.47 billion forecast. The net loss narrowed to $54 million, or 29 cents a share, from $133.9 million, or 73 cents.
Net bookings fell 18% to $1.601 billion, missing guidance of $1.62 billion to $1.67 billion. NBA 2K27 delivered the franchise’s second-highest launch bookings but still fell short of Take-Two’s plan. Mobile performed as expected, while the Grand Theft Auto series exceeded forecasts.
Bookings measure products and services sold during the period, including licensing and advertising. Revenue recognition can occur at a different time, so the measure is distinct from GAAP revenue.
Repeat spending on virtual currency, add-ons, in-game purchases and advertising accounted for 81% of revenue, up from 72%. That larger share reflected a weaker full-game business: repeat-spending revenue itself declined 5%.
Mobile revenue fell 11% to $731.1 million. Console revenue dropped 14.5% to $615.4 million, while PC and other revenue declined 35.2% to $150.5 million.
The Launch Quarter Carries the Recovery
Take-Two’s revised annual net income forecast is $109 million to $142 million, compared with $104 million to $143 million previously. It continues to expect more than $1 billion in operating cash flow.
The sharpest change is expected in the December quarter, which includes GTA VI’s release. Take-Two forecasts companywide bookings of $3.35 billion to $3.5 billion, against $1.76 billion a year earlier. November 19 will start putting actual sales numbers behind the preorder enthusiasm.
