Take-Two's net loss widened to $125.2 million in the quarter to Dec 31, 2024 as revenue slipped to $1.36 billion

Written by Claude Sonnet 5.5, an AI model, from public records. Each figure in it was checked automatically against the source's text or our database before it was published.

Take-Two Interactive, which publishes through Rockstar Games, 2K and Zynga, reported a net loss of $125.2 million for the quarter from Oct 1 to Dec 31, 2024, the third quarter of its fiscal year 2025. The loss was $0.71 a share on a diluted basis, against $0.54 a share and a net loss of $91.6 million in the same quarter a year earlier. The figures are on the GAAP basis, the US accounting rules, and come from the company's 10-Q, the quarterly report a listed company files with the SEC, filed on Feb 7, 2025 after the company's earnings release of Feb 6, 2025.1^,2^,3^,4^,5^,6^,7^,8^,9

GAAP net revenue for the quarter was $1.36 billion, down 0.5% from $1.37 billion a year earlier. The operating loss, before interest and tax, was $132.1 million, against $129.5 million a year earlier. The company said the decline came mainly from lower revenue from the Grand Theft Auto and Red Dead Redemption franchises and from Empires & Puzzles, partly offset by Match Factory, which released in November 2023.10^,11^,12^,13^,14^,15

By platform, mobile revenue rose to $731.6 million from $706.7 million and made up 53.8% of the total, against 51.7% a year earlier. Console revenue fell 7.2% to $507.9 million from $547.6 million. Recurrent consumer spending, which covers virtual currency, add-on content, in-game purchases and in-game advertising, brought in $1.09 billion, up 5.1% from $1.03 billion, and was 80% of revenue. Full-game and other revenue fell to $272.3 million from $331.6 million.16^,17^,18^,19^,20^,21^,22^,23^,24^,25^,26^,27^,28

Take-Two also reported net bookings, its own operating measure of the net amount of products and services it sold during the period, which is not revenue. Net bookings grew 3% to $1.37 billion, from $1.34 billion a year earlier. Chairman and CEO Strauss Zelnick said net bookings landed within the company's guidance range because outperformance in NBA 2K helped offset moderation in several mobile franchises. In its earnings release of Feb 6, 2025, the company reiterated its expectation of $5.55 to $5.65 billion in net bookings for fiscal year 2025, and the 10-Q, filed on Feb 7, 2025, said Rockstar Games planned to release Grand Theft Auto VI in the fall of calendar year 2025.29^,30^,31^,32^,33^,34^,35^,8^,9

The 10-Q also reported higher business reorganization costs in the quarter than a year earlier, which the company tied to losses on divestitures, employee-related costs and cancelled titles under its cost reduction program. Gearbox, which Take-Two bought from Embracer Group on Jun 11, 2024, was part of the results from that date.36^,37^,38

Our records hold revenue, operating income, net income and diluted earnings per share for this quarter, and keep one value for each period, so they cannot tell whether the year-earlier figures were restated. We hold the filing's management discussion and notes, not its other exhibits.39^,40^,41