Publisher nearly $50 million in the black during non-GTA year thanks to Western adventure; NBA 2K11 ships 3 million; annual revenues up 65%.
Traditionally, Take-Two Interactive has lost money during years it hasn't released a major new Grand Theft Auto product. This year turned out to be the exception. Today, the publisher reported earnings for the 12 months ended October 31, which saw revenue rise 65 percent to $1.16 billion. The company also turned a profit of $49.7 million, way up from the $130 million loss it suffered a year prior.
"We have achieved our goal of profitability in a year without a new release of Grand Theft Auto," said outgoing CEO Ben Feder in a statement. "Our better-than-expected revenue growth and margin expansion were driven by strong demand for our diverse portfolio of games, including the hit new titles Red Dead Redemption and NBA 2K11, as well as strong sales of catalog titles and digitally delivered content. I am also pleased to report that our 2K Sports division was profitable during the period."
Thanks to the cancellation of Electronic Arts' NBA Elite 11, NBA 2K11 was unopposed in the basketball sim market, allowing it to ship 3 million units worldwide. As a result, it dominated its release month of October, according to sales rankings from the NPD Group. The game's success contributed to August-October revenues climbing 32 percent to $373 million, generating a quarterly profit of $54.2 million--up from a $7.9 million loss the year prior.
Another factor for Take-Two's August-October quarter was ongoing sales of such games as Sid Meier's Civilization V, Grand Theft Auto IV: Complete, and Mafia II. Red Dead Redemption also continued to sell well, nearing 8 million in worldwide sales during the period.
Today also marks the last time Take-Two will report earnings for a fiscal year ending on October 30. In October, the company announced it was shifting its fiscal year to end on March 31 to put it better in line with other publishers' fiscal years.
Looking ahead, the company expects $290 million to $315 million in revenues and earnings per share of $0.25 to $0.35 for the revised current October-December quarter. For the following quarter, ending March 31, Take-Two estimates revenues of $100 million to $150 million and a loss of between $0.50 to $0.60 per share. For the full revised fiscal year ending March 31, the publisher projects revenues of $1 billion to $1.1 billion and earnings per share of $0.50 to $0.65.
For the remainder of its new fiscal year, Take-Two expects to release Top Spin 4 and Major League Baseball 2K11 during the January-March quarter. L.A. Noire has a spring 2011 release, and executives said it would not be released during its current fiscal year during a post-earnings conference call. Duke Nukem Forever has a calendar year 2011 release window, with Spec Ops: The Line and XCOM both due sometime during the company's 2012 fiscal year, which begins on April 1, 2011. Lastly, BioShock Infinite will ship sometime during calendar year 2012.
@Little_Socrates Yea I've heard nothing but good things about the game from reviews to my friends who played it. I don't really mind to much that it remsembles. GTA4 because that is one of my favorite games this gen. I'm just afraid it will be so familiar that I'll get bored of RDR quickly. Thats why I'm waiting for more price drops before I buy it.
I'm glad it's such a big success, one of the best game this year by far. So much reason to keep playing after the main storyline, and that's the kind of game I like. No 8 hr campaign followed by nothing to do bs. Plus how can you forget the Undead add-on, a completely new campaign. Not as big and deep as the original storyline obviously, but enough to keep playing. This is what you call a full game that doesn't make you pay loads for DLC to get what becomes a full game after paying $80+
About time. Funny how Take Two has so many money problems considering the great games they produce. Guess they suck with money...or they really want to fund great game development.
I don't know why ROCK STAR didn't even announce anything about releasing RDR for pc. IT must be yes or no
Seriously, where is Red Dead for PC? dont even say piracy issues cuz console piracy is out of control too.
this result show how gamers are smart they buy a game worth their money,even take-two which is a fames studio because of grand theft games has to make good and fun games as good as grand theft to make money.
The game is one of the best looking games this generation on consoles, imagine how good it would look on PC.
Red dead was great, but it needed more multiplayer game modes included on the disc, there was really just deathmatch and capture the bag with team/free for all variations, not very open minded on what the west could of done for multiplayer
Would have been an even bigger profit if they'd released Red Dead on PC as well. Not that I'm bitter I don't own a console or anything...
L.A Noire,Duke Nukem, Spec ops,XCOM and not to mention Bioshock Infinite, all those potentially AAA titles coming up in the next 2 years and published by 1 company (Take-Two), i`m surprised they are not bigger than Activision!!
they definetly deserved it this year, red dead was one of the best experiences on any system and the undead collection just adds to that.
@Little_Socrates, if you haven't played the next gen GTA then please don't compare it to RDR. I understand that you may have played GTA Vice City and it is in many ways similar to GTA 4, but the change in atmosphere and the tweaking of the mechanics do a lot for the general game experience. The story and characters, also, change things a TON! Another valid point is that in GTA 4, things take place in the age of information. You kill someone, even if they're a mugger, and everyone knows it and the police are after you. That's not the law of Vice City in the 80's, and if you find a bunch of coke heads taking a woman hostage, you can ice them, and you'll actually gain fame and honor for that. I haven't played GTA Vice City, but GTA 4 is much more expertly crafted than the old GTA games. Overall, they're all the same in story and characters anyway so this game has pretty much been done before
I'm glad they're turning a profit - big fan of Take-Two titles - they have some of the best stories in the entire gaming industry. Hope they're putting out games for years to come.
RDR had flaws which didn't keep me playing it. Hopefully they have patched the game so I can continue. TT deserves the money, so congrats and give me GTA:V already.
Quite simply, I enjoyed RDR instead of GTA because in RDR, you can actually conduct yourself like a decent human being and still do most of the content. Marsden is a brilliantly sympathetic protagonist. Only a few little flaws, like the clumsy controls for lassooing, infinite bandits and IMHO a bit of a silly ending dented it for me.
@method115: Red Dead Redemption is in many ways similar to GTA, but the change in atmosphere and the tweaking of the mechanics do a lot for the general game experience. The story and characters, also, change things a TON! Another valid point is that in GTA, things take place in the age of information. You kill someone, even if they're a mugger, and everyone knows it and the police are after you. That's not the law of the west, and if you find a bunch of bandits taking a woman hostage, you can ice them, and you'll actually gain fame and honor for that. I haven't played GTAIV, but RDR is much more expertly crafted than the old GTA games.
RDR was a completely awesome and beautiful game with good frame rates, beautiful lighting, beautiful shawdos, lots of alph textures, and hd resoultion....all on 360 that is.
Glad to hear RDR sold gangbusters for Take-Two, as I'm a big fan of their games. Looking forward to L.A. Noire, Duke Nukem, and whatever else they offer next year, as I know 2012 will be a great year for them with BioShock Infinite on the way.
I do hope this encourages them to greenlight a PC version of Redemption - looks like a great title well worth the effort even if it suffers GTA4-esque PC growing pains.
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