Activision Blizzard (ATVI) stock gains on stronger-than-expected Q1 earnings

Shares of Activision Blizzard Inc. (NASDAQ: ATVI) gained Tuesday evening after the video game developer reported higher first-quarter revenues and earnings that topped expectations. The company also provided guidance for the second quarter and fiscal 2021.

At the end of the quarter, Activision had around 435 million monthly active users and there was a 36% year-over-year increase in net bookings to $2.07 billion. Net revenues moved up 27% to $2.28 billion and came in above the market’s prediction.

First-quarter earnings, excluding one-off items, rose to $0.98 per share from $0.76 per share last year, which is above the 70-cents profit analysts had projected. Net income, on an unadjusted basis, climbed to $619 million or $0.79 per share from $505 million or $0.65 per share in the first quarter of 2020.

Read management/analysts’ comments on Activision’s Q1 eanings

Activision’s stock has grown 20% in the past twelve months. It made strong gains Tuesday evening soon after the announcement, after closing the regular session lower.