NEW YORK--(BUSINESS WIRE)--Aug. 5, 2014-- Take-Two Interactive Software, Inc. (NASDAQ:TTWO) today reported better-than-expected financial results for fiscal first quarter 2015, ended June 30, 2014. In addition, the Company reiterated its financial outlook for the fiscal year ending March 31, 2015, and provided its initial financial outlook for fiscal second quarter 2015, ending September 30, 2014.
GAAP Financial Results
For fiscal first quarter 2015, GAAP net revenue was $125.4 million, a decline of 12% as compared to $142.7 million for fiscal first quarter 2014. GAAP net loss from continuing operations narrowed to $35.4 million, or $0.45 per diluted share, as compared to $61.9 million, or $0.71 per diluted share, for the year-ago period. As of June 30, 2014, the Company had cash and short-term investments of $841.4 million.
Non-GAAP Financial Results
For fiscal first quarter 2015, Non-GAAP net revenue grew 5% to $151.6 million, as compared to $144.3 million for the year-ago period. Non-GAAP net loss narrowed to $11.2 million, or $0.14 per diluted share, as compared to $47.1 million, or $0.54 per diluted share, for the year-ago period.
The largest contributors to Non-GAAP net revenue in fiscal first quarter 2015 were NBA® 2K14, Grand Theft Auto® V, Grand Theft Auto Online and Borderlands® 2. Non-GAAP net revenue from digitally-delivered content grew 43% year-over-year to $106.4 million, led by the Grand Theft Auto series, the NBA 2K franchise and offerings for Borderlands 2. Catalog sales accounted for $82.7 million of Non-GAAP net revenue led by the Grand Theft Auto series and offerings for Borderlands 2, Sid Meiers Civilization® V and BioShock® Infinite.
Management Comments
During the fiscal first quarter, we delivered Non-GAAP revenue growth without the benefit of any major new releases, said Strauss Zelnick, Chairman and CEO of Take-Two. Our better-than-expected results were driven by the strength of our expanding portfolio of digitally-delivered offerings combined with persistent robust demand for NBA 2K14 and Grand Theft Auto V.
Take-Two has an extraordinary development pipeline, including a diverse array of the highest-quality new titles and innovative offerings designed to drive recurrent consumer spending. Our lineup for the current fiscal year is highlighted by six eagerly anticipated new releases, such as Grand Theft Auto V for PS4, Xbox One and PC, NBA 2K15, and Evolve - the winner of the E3 2014 Game Critics Best of Show award. Fiscal 2015 is poised to be another year of strong profits for our organization, and we remain extraordinarily well-positioned for the future.
Business and Product Highlights
Since April 1, 2014:
Rockstar Games:
Released several updates for Grand Theft Auto Online, including the Capture Creator, which gives players the ability to build additional new content; The High Life Update, featuring high-end properties, new vehicles, an array of new Jobs and the introduction of the Mental State statistic; the Im Not a Hipster Update, featuring seven new vehicles along with new fashions, hairstyles, animal masks and more; and The Independence Day Special, a limited-time offer featuring July 4th-themed content, additional properties, as well as new On-call Matchmaking that reduces wait times between matches.
Announced that Grand Theft Auto V is planned for release this fall on PS4, Xbox One and PC, bringing across-the-board graphical and technical enhancements to the games already breathtaking open world experience. Current PS3 and Xbox 360 players will have the ability to transfer their Grand Theft Auto Online characters and progression to their choice of PS4, Xbox One or PC. All new content and gameplay created for both Grand Theft Auto V and Grand Theft Auto Online will also be available for the PS4, Xbox One and PC with more to come.
2K:
Launched XCOM®: Enemy Unknown for select Android devices, a mobile version of one of 2012s most critically acclaimed console/PC releases from Firaxis Games.
Announced that Battleborn, a new intellectual property for next-gen consoles and PC, is in development at Gearbox Software, the creative team behind Borderlands, and is planned for release during fiscal year 2016. The title, which was featured on the August cover of Game Informer, is a blended-genre game that combines first-person shooting, cooperative combat, and an expansive collection of characters to deliver an all-new hero-shooter experience.
Announced that Sid Meiers Civilization: Beyond Earth, a new science fiction-themed entry in the award-winning Civilization franchise, is currently in development by Firaxis Games and is planned for release on October 24, 2014 for PC, Mac and Linux. The title won more than 18 awards globally at the 2014 Electronic Entertainment Expo, including Best Strategy Game honors.
Announced that Evolve, a new intellectual property for next-gen consoles and PC developed by Turtle Rock Studios, the creators of the cooperative shooter classic, Left 4 Dead, won more than 50 editorial honors at the 2014 Electronic Entertainment Expo, including the coveted Game Critics Award top honor for Best of Show. The title is now planned to launch globally on February 10, 2015.
Announced that WWE Superstar John Cena® will be the cover Superstar for WWE® 2K15, which will be the first next-gen offering from the series. The title is planned to launch in North America on October 28, 2014, and internationally on October 31, 2014, for Xbox One, Xbox 360, PS4 and PS3.
Announced that Borderlands: The Pre-Sequel is planned for launch on October 14, 2014, in North America and October 17, 2014, internationally on the Xbox 360, PS3 and PC. Co-developed by Gearbox Software and 2K Australia, Borderlands: The Pre-Sequel is a new standalone game set in between the award-winning Borderlands and Borderlands 2.
Announced that Oklahoma City Thunder superstar, four-time NBA scoring champion, and recently crowned 2014 NBA Most Valuable Player, Kevin Durant, will make his solo cover debut on NBA 2K15, the next installment of the top-selling and top-rated NBA video game simulation franchise.* This years release will include additional teams and players from the Turkish Airlines Euroleague as part of their exclusive multi-year global partnership. NBA 2K15 is planned for launch on October 7, 2014, in North America and October 10, 2014, internationally on the PS3, PS4, Xbox 360, Xbox One and PC.
* According to 2008 - 2014 Metacritic.com and The NPD Group estimates of U.S. retail video game sales through June 2014.
http://phoenix.corporate-ir.net/phoenix.zhtml?c=86428&p=irol-newsArticle&ID=1955544&highlight=
The conference call just started. You can listen to it here.
