NASDAQ$TTWO

Take Two Interactive Software Inc · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Take-Two's Q1 2022 earnings exceeded expectations, driven by strong recurrent consumer spending and digital delivery.

Take-Two Interactive reported better than expected results for the first quarter of fiscal year 2022. GAAP net revenue decreased slightly, but net income increased significantly. The company reiterated its outlook for fiscal year 2022.

  • GAAP net revenue decreased 2% to $813.3 million.
  • GAAP net income increased 72% to $152.3 million, or $1.30 per diluted share.
  • Net Bookings decreased 29% to $711.4 million.
  • Digitally-delivered GAAP net revenue increased 1% to $740.8 million, accounting for 91% of total GAAP net revenue.

Headline financials

Total Revenue

$813M

Previous: $831M-2.2%
EPS (adj)

$1.01

Previous: $2.30-56.1%
Net Bookings

$711M

Previous: $996M-28.6%
Capital Expenditures

-$86.4M

Previous: -$8.91M-870.6%
Free Cash Flow

$65.8M

Previous: $79.6M-17.3%
Net Income

$152M

Previous: $88.5M+72.0%
Operating Income

$170M

Previous: $82.1M+107.5%
Gross Profit

$484M

Previous: $355M+36.4%
Cash & Equivalents

$2.54B

Previous: $2.29B+11.0%
Total Assets

$6.31B

Previous: $5.37B+17.6%
Stock-Based Comp

$49.1M

Previous: $53.4M-8.1%

Revenue & EPS history

Take-Two · Revenue · Quarterly

$813M

Q1 2022-2.2%vs Q1 2021
Beat estimate in 6 of 16 quarters(38%)
ActualEstimate

Revenue by segment

Take-Two · $1.68B total across 3 segments · Q4 2026

  • Mobile
    $844M+0.0%
  • Console
    $675M+0.0%
  • PC and other
    $161M+0.0%

Forward guidance

Take-Two reiterates its outlook for the fiscal year ending March 31, 2022 and providing its initial outlook for its fiscal second quarter ending September 30, 2021.

Tailwinds

  • Timely delivery of titles included in the financial outlook.
  • Stable economic environment.
  • Continued consumer acceptance of Xbox One and PlayStation 4, as well as continued growth in the installed base of PlayStation 5 and Xbox Series X|S.
  • Ability to develop and publish products that capture market share for current generation systems while also leveraging opportunities on PC, mobile and other platforms.
  • Stable foreign exchange rates.

Headwinds

  • Uncertainty of the impact of the COVID-19 pandemic and measures taken in response thereto.
  • The effect that measures taken to mitigate the COVID-19 pandemic have on Take-Two's operations.
  • Effects of the COVID-19 pandemic on both consumer demand and the discretionary spending patterns of customers as the situation with the pandemic continues to evolve.
  • Risks of conducting business internationally.
  • Impact of potential inflation.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

+1.5%

Avg return

Earnings day

+1.2%

Avg return

5 days after

+2.0%

Avg return

30 days after

60%

40 / 67 earnings

Positive

+15.9%

Q4 2015

Best reaction

-13.8%

Q1 2013

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026+0.8%-13.4%-5.4%
Q3 2026-5.4%-3.4%-0.3%
Q2 2026-0.9%-4.8%-1.8%
Q1 2026-7.0%+4.3%+5.8%
Q4 2025-2.4%-2.4%-0.9%
Q3 2025+14.0%+14.3%+11.6%
Q2 2025+9.2%+9.4%+15.7%
Q1 2025+6.7%+6.8%+15.4%
Q4 2024-0.2%+2.3%+7.3%
Q3 2024-8.6%-9.5%-15.2%
Q2 2024+7.3%+10.1%+13.9%
Q1 2024-1.3%-0.7%+0.7%
Q4 2023+12.6%+10.6%+11.8%
Q3 2023+4.2%+1.7%+6.4%
Q2 2023-13.8%-5.8%-8.3%
Q1 2023-5.0%-3.2%-5.2%
Q4 2022+12.0%+5.6%+14.8%
Q3 2022-1.6%-2.0%-9.5%
Q2 2022+4.9%+0.7%-9.9%
Q1 2022-7.8%-8.7%-6.6%
Q4 2021+6.6%+9.6%+1.4%
Q3 2021-3.5%-3.7%-20.6%
Q2 2021+7.0%-5.4%+10.4%
Q1 2021+8.2%+6.7%+5.4%
Q4 2020-2.8%-1.2%+0.3%
Q3 2020-6.8%-6.9%-2.5%
Q2 2020+0.2%+2.0%+6.0%
Q1 2020+2.4%+5.9%+9.1%
Q4 2019+0.2%+3.2%+5.2%
Q3 2019-10.2%-12.9%-18.9%
Q2 2019-3.7%-11.8%-17.0%
Q4 2018+0.4%+2.2%+7.1%
Q3 2018-12.5%-7.1%-1.4%
Q2 2018+10.0%+8.1%-0.4%
Q1 2018+11.5%+13.2%+20.0%
Q4 2017+12.6%+11.6%+5.8%
Q3 2017-0.9%+6.8%+9.2%
Q2 2017+9.9%+12.8%+8.0%
Q1 2017+1.4%+1.5%+9.6%
Q4 2016+3.6%
Q3 2016+4.9%
Q2 2016+0.5%
Q1 2016-2.8%
Q4 2015+15.9%
Q3 2015-3.4%
Q2 2015+9.3%
Q1 2015-7.9%
Q4 2014-8.1%
Q3 2014-11.1%
Q2 2014-3.1%
Q1 2014+3.4%
Q4 2013+0.6%
Q3 2013+15.4%
Q2 2013+4.7%
Q1 2013-13.8%
Q4 2012+4.5%
Q3 2012+2.8%
Q2 2012-0.8%
Q1 2012-4.4%
Q4 2008+4.1%
Q4 2010+6.1%
Q3 2011+6.1%
Q3 2010+6.1%
Q2 2011+1.8%
Q1 2011+5.8%
Q3 2009+5.8%
Q4 2009+5.8%

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