Take-Two Interactive Software Inc on Monday reiterated its full-year adjusted revenue forecast below Wall Street estimates, as the videogame maker pushed back the release of two of its titles.
Shares of the New York-based company dropped 4% aftermarket, set to extend this year’s losses to about 21% after a 70% surge in 2020.
“We are reiterating our outlook, as there has been some movement in our release schedule, including two of our immersive core titles shifting to later in fiscal 2022 than contemplated by our prior guidance,” Take-Two said.
Companies like Take-Two, Electronic Arts and Activision Blizzard benefited from lockdowns keeping gamers glued to their consoles last year, but those gains have started to taper off as easing pandemic curbs encourage people to step out more.
Take-Two forecast full-year adjusted sales between $3.2 billion and $3.3 billion, compared with $3.55 billion in fiscal 2021. Analysts had expected $3.47 billion, according to Refinitiv IBES data.
Total consumer spending on video gaming in the United States rose only 2% to $14 billion in the second quarter, compared with the previous quarter’s 30% jump year-over-year, according to data from analytics firm NPD.
On an adjusted basis, the game publisher’s revenue in the quarter stood at $711.4 million, beating estimates of $687.6 million.
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