Shares of Take-Two Interactive Software, Inc. (NASDAQ: TTWO) rose 1% on Tuesday. The stock has dropped 5% over the past one month. The gaming company is set to report its first quarter 2025 earnings results on Thursday, August 8, after market close. Here’s a look at what to expect from the earnings report:
Revenue
Take-Two has guided for total revenue of $1.30-1.35 billion for the first quarter of 2025. Analysts are projecting revenue of $1.25 billion. This compares to revenue of $1.28 billion reported in the same period a year ago. In the fourth quarter of 2024, revenue decreased 3% year-over-year to $1.40 billion.
Earnings
Take-Two expects net loss per share of $1.58 to $1.43 for Q1 2025. Analysts are predicting a loss of $0.02 per share. This compares to a loss of $1.22 per share reported in Q1 2024 and a loss of $17.02 per share reported in Q4 2024.
Points to note
Take-Two expects net bookings to range between $1.20-1.25 billion in Q1 2025. This compares to net bookings of $1.20 billion reported in Q1 2024. In Q4 2024, net bookings decreased 3% YoY to $1.35 billion.
As mentioned on the Q4 conference call, in Q1 2025, the largest contributors to net bookings are expected to be NBA 2K, the Grand Theft Auto series, the Red Dead Redemption series, Toon Blast, Empires & Puzzles, Match Factory, Words With Friends, Zynga Poker, and the hyper-casual mobile portfolio.
Recurrent consumer spending, which is generated from ongoing consumer engagement and includes virtual currency, add-on content, in-game purchases and in-game advertising, is projected to increase by approx. 1% in Q1. This outlook assumes mid-single-digit growth in mobile, flat results for NBA 2K, and a decline for Grand Theft Auto Online. In Q4 2024, recurrent consumer spending decreased 2%.
Take-Two expects operating expenses to range between $928-938 million in Q1. The company anticipates Opex to increase by around 14% year-over-year, driven mainly by additional marketing for Match Factory.