Take-Two Interactive Q3 Fiscal Year 2025 Earnings Results

Key insights

6 takeaways

01
Take-Two Interactive reported Q3 fiscal 2025 net bookings of $1.37 billion, maintaining its full-year guidance of $5.55 to $5.65 billion.See it on page 1
02
NBA 2K25 drove significant growth with a 30% increase in recurrent consumer spending and a 20% rise in daily active users.See it on page 2
03
Grand Theft Auto V has surpassed 210 million units sold-in, while Red Dead Redemption 2 has reached over 70 million units.See it on page 2
04
The company’s mobile segment under Zynga showed mixed results, with strong performance from Match Factory and Toon Blast offset by underperformance in hyper-casual titles and Empires & Puzzles.See it on page 2
05
Take-Two is preparing for a transformative growth period in 2025 with the scheduled releases of Sid Meier’s Civilization VII, Mafia: The Old Country, Borderlands 4, and Grand Theft Auto VI.See it on page 2
06
Management expects the upcoming release pipeline and disciplined cost management to drive record net bookings and enhanced profitability through fiscal years 2026 and 2027.See it on page 6

Summary

Take-Two Interactive’s third-quarter fiscal year 2025 earnings report highlights a period of solid financial performance, characterized by significant outperformance in the NBA 2K franchise that successfully offset moderation within the company’s mobile gaming portfolio. The company reported net bookings of $1.37 billion for the quarter ending December 31, 2024, aligning with previous guidance. While operating results exceeded expectations due to the strength of NBA 2K and a strategic shift in expense timing, management maintained its full-year fiscal 2025 net bookings guidance of $5.55 to $5.65 billion, citing ongoing mobile market trends and anticipated fourth-quarter expenses.

Key performance metrics underscore the continued dominance of core intellectual properties. NBA 2K25 served as a primary growth driver, with recurrent consumer spending for the title increasing by over 30% and daily active users rising nearly 20%. Long-standing titles also maintained significant reach, with Grand Theft Auto V surpassing 210 million units sold-in to date and Red Dead Redemption 2 reaching over 70 million units. In the mobile segment, Zynga’s performance was mixed; while Match Factory and core titles like Toon Blast showed strength, the hyper-casual portfolio and Empires & Puzzles underperformed relative to initial expectations.

Looking ahead, the company positions the upcoming calendar year as a transformative period for its growth trajectory. The release pipeline includes major titles such as Sid Meier’s Civilization VII, Mafia: The Old Country, Borderlands 4, and the highly anticipated launch of Grand Theft Auto VI in the fall. Management remains confident that these releases, combined with disciplined cost management and a focus on high-quality entertainment experiences, will drive record levels of net bookings and enhanced profitability throughout fiscal years 2026 and 2027.