Take-Two Interactive has announced its third-quarter fiscal results for the holiday period ended on December 31, 2011, reflecting a dip in both revenues and net income. Total sales came to $236.3 million, as compared to $334.3 million for the third quarter of fiscal 2011, and profits fell from $40.8 million a year ago to $14.2 million for Q3 fiscal 2012.
Take-Two was sure to point out that last year's third quarter had benefited from the post-launch performance of Red Dead Redemption and the releases of Red Dead Redemption: Undead Nightmare and Grand Theft Auto IV: Complete. The top driver for this year was NBA 2K12, and the rest was essentially comprised of catalog sales.
It's also important to note that digitally delivered content accounted for 11% of net revenues. This was spurred on largely by the GTA franchise, with the Grand Theft Auto III - 10th Anniversary Edition for iOS and Android doing well. DLC for Red Dead Redemption, Borderlands and L.A. Noire also helped.
"During the fiscal third quarter, we continued to execute strategically, creatively and operationally," said Strauss Zelnick, Chairman and CEO of Take-Two. "We delivered results that were solidly within our expectations, driven by strong holiday demand for NBA 2K12, our popular catalog titles and digital offerings.
"Take-Two's future is extraordinarily promising. We have a proven strategy focused on building compelling interactive entertainment franchises, the strongest development pipeline in the Company's history, and ample resources to pursue our many growth opportunities. Fiscal 2013 is expected to be one of our best years ever, with substantial revenue growth and Non-GAAP net income in excess of $2.00 per diluted share. We are well positioned to continue to deliver growth and profitability over the long-term."
On a nine-month basis, it's important to note that Take-Two's net loss grew to $41.7 million, as compared to profits of $76.2 million during the same period a year ago. Net sales were also down considerably, dropping to $677.7 million, as compared to $954.6 million a year earlier.
Fiscal 2013 should be a very different story, assuming GTA V does indeed launch as expected.
