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Take-Two Posts Strong Q4 Figures, Guidance Dissappoints

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Take-Two Interactive (NASDAQ: TTWO) shares are volatile in Tuesday's after-hours trading session following strong fourth-quarter results but guidance which appeared to be well below the Street estimates. The stock has bounced between $19.38 and $21.60, and, about two hours after the report, is sitting down about four percent to $19.75.

The company reported sales of $233.2 million, 28.4 percent lower than the same period a year ago; however, the report smashed the analyst consensus of $201.51 million by 15.73 percent. BioShock Infinite is responsible for much of the increase in revenue.

EPS of $0.21 dropped by 44.7 percent year over year, but toppled analyst's consensus estimate of just $0.10 by 110 percent. General and administrative expenses increased significantly as a percent of sales, but marketing was greatly reduced.

Looking forward, Take-Two sees first quarter loss ranging from $0.23 to $0.35 per share. This is a huge miss compared to the $0.10 per share loss analysts predicted. Revenue for the quarter is projected to be just $120 million to $135 million, compared to the $211.3 million Wall Street estimate.

Take-Two's full year outlook -- while still below the Street -- is closer to the analyst consensus. The company sees EPS ranging from $0.80 to $1.05 versus the analyst estimate of $1.05, and revenue in the range of $1.35 billion to $1.45 billion versus an analyst estimate of $1.37 billion.

Posted-In: Earnings News Guidance

 

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