Activision Blizzard apparently has no reason to complain at the moment, because according to the latest financial report, the cash register is ringing. The news that the takeover by Microsoft is currently a problem does not change that.
As was announced yesterday, the British competition authority CMA has put a stop to the planned takeover of Activision Blizzard by Microsoft for the time being. The financial report for the past quarter comes at just the right time, because it turns out to be a pretty good, million-dollar consolation.
As a result, net income for the three months ended March 31, 2023 increased 87% year over year to $740 million. Revenue increased 35% to $2.38 billion while net bookings increased 26% to $1.86 billion. According to Activision Blizzard, all three of the company’s segments (Activision, Blizzard, King) contributed to this. Activision’s first-quarter revenue was up 28% year over year, Blizzard’s was up 62%, and King’s was up 8%.
All five major brands (Call of Duty, Warcraft, Overwatch, Diablo, and Candy Crush) have seen significant gains, and the mobile division appears to be thriving as well. Mman expects another strong increase in the current quarter due to the release of Diablo IV, which is said to already have strong pre-orders.
Aside from continuing the Call of Duty series, Diablo IV is likely to become another cash cow at Blizzard anyway: “This ambitious title will serve as the launch pad for an immersive live service, with regular seasons and story-driven expansions that… commitment will increase for many years to come.”
“We expect Activision Blizzard’s second quarter GAAP revenue to grow at least 10%, net income to grow at least 30% and total segment operating income to grow at least 40%, all year-over-year,” Activision said blizzard
In the new class trailer for Diablo IV, Blizzard is fully dedicated to the Necromancer.
