Take-Two has just been unveiled the results at the beginning of the financial year, and this already marks the beginning of a change for the American giant! As a matter of fact, Despite a jump in sales from $813 million to $1.1 billion, the company is now making losses. Nevertheless, the group is not worried and aims to become the largest publisher on its continent.
An absorption that has consequences
The move from a profit of $152 million to a deficit of $104 million does not go unnoticed looking at the report. This is the direct result of mobile games company Zynga, which fundamentally changes the face of Take-Two.. This means a larger share of sales from mobile platforms and thus a loss of importance for the consoles, the historical playground of the publisher. On the flip side, while these numbers are explainable, the lack of major releases is disappointing to the board, who were still expecting slightly more flattering data. Among the achievements, however, we note the performance of NBA 2K22 or The Quarry whereas Grand Theft Auto Online etc Red Dead Online continue to represent a very significant financial windfall, especially with the recent arrival of the GTA+ program.
A few broken records
This was also an opportunity to talk about the performance of Flagship licenses that manage to reach simply remarkable sales heights. We therefore find for the different stars of the catalogue:
- Grand Theft Auto : 380 million copies, including 170 million for Grand Theft Auto V ;
- Red Dead Redemption : 68 million copies, including 45 million for Red Dead Redemption 2 ;
- border areas : 75 million copies, including 15 million for borderland 3 ;
- NBA 2K : 125 million, of which 12 million for NBA 2K22 this is better than last year’s episode.
What vision for the future?
With such an acquisition, the company naturally expects an even clearer presence in the mobile sector. In fact, guidance calls for representativeness ranging from 34% to 45% of total revenue at the end of the current fiscal year, compared to just 10% prior to the Zynga acquisition. The challenge seems important, while at the same time it will be necessary to face and not count on rising labor costs Marvel’s Midnight Sun which is postponed indefinitely. Still, if all goes according to plan, expected sales would be $5.7 billion, offset by a $400 million drying loss.
It’s a real change being driven by Take-Two, both in its operations and in the size of the company. If it has sometimes acted as a prime target for a takeover by a manufacturer or other major player, Die Zeit seems more likely to win the title of the largest American publisher. It remains to be seen if future titles will be produced, including Grand Theft Auto VIwill manage to elevate the company to the rank it hopes for…
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