Video game publisher Take-Two Interactive Software late Wednesday beat Wall Street's targets for its fiscal second quarter but guided below views for the current period. Still, TTWO stock rose in extended trading.
The New York City-based company earned an adjusted 66 cents a share on net bookings of $1.47 billion in the quarter ended Sept. 30. Analysts polled by FactSet had expected earnings of 42 cents a share on adjusted sales of $1.45 billion in fiscal Q2. In the year-earlier period, Take-Two earned an adjusted $1.22 a share on net bookings of $1.45 billion.
The continued success of Take-Two's "Grand Theft Auto" and "Borderlands" games drove the outperformance in the September quarter. Take-Two also benefited from a shift in the timing of marketing expenses to the fiscal third and fourth quarters.
For the fiscal third quarter, Take-Two expects to earn an adjusted 55 cents a share on net bookings of $1.38 billion. That's based on the midpoint of its outlook.
However, Wall Street was modeling earnings of 92 cents a share on adjusted sales of $1.44 billion in the December quarter. In the same quarter last year, Take-Two earned an adjusted 71 cents a share on net bookings of $1.34 billion.
For the full fiscal year ending March 31, Take-Two forecast adjusted earnings of $2.48 a share on net bookings of $5.6 billion. That's based on the midpoint of its guidance. Analysts were looking for earnings of $2.51 a share on adjusted sales of $5.62 billion in fiscal 2025.
TTWO Stock Rises After Report
In after-hours trading on the stock market today, TTWO stock climbed over 3% to 173. During the regular session Wednesday, TTWO stock advanced 1.6% to close at 166.62.
"As we look ahead, we believe that Take-Two remains exceedingly well-positioned for the long-term," Chief Executive Strauss Zelnick said in a news release. "We have one of the strongest portfolios of owned intellectual property in our industry. With many exciting new titles coming in fiscal 2026 — including 'Grand Theft Auto VI' in the fall, 'Borderlands 4' and 'Mafia: The Old Country' — we expect to create long-term value for our shareholders."
TTWO stock has been consolidating for the past 40 weeks with a buy point of 171.59, according to IBD MarketSurge charts.
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