Take-Two (TTWO) Q4 2026 Earnings Transcript

Take-Two Interactive Software (TTWO) reported quarterly and full-year results that both surpassed guidance, with Q4 net bookings of $1.58 billion and annual net bookings of $6.72 billion, driven by above-expected contributions across franchises and mobile. Management announced the highly anticipated launch of Grand Theft Auto VI on November 19, which is expected to lift fiscal year 2027 net bookings to a record $8 billion-$8.2 billion. Guidance calls for recurrent consumer spending as a percentage of net bookings to decrease year over year, as mobile faces headwinds while NBA 2K and Grand Theft Auto show strength. Direct-to-consumer (DTC) distribution continues to expand, yielding improvements in conversion and customer loyalty, with cost and regulatory benefits cited as advantageous for sustaining the business model. Operating expenses for the upcoming year are expected at $4.18 billion-$4.2 billion, with roughly half of the management-basis increase allocated to selling and marketing, principally supporting the Grand Theft Auto VI launch and select mobile titles. Chairman Zelnick stressed capital deployment priorities remain unchanged: organic growth, selective and accretive M&A such as the recent Gearbox and Zynga deals, and opportunistic share buybacks executed at "deep value" levels. Rockstar will commence Grand Theft Auto VI marketing in summer, while the broader release pipeline is set at 29 titles through 2029, including core new IPs and remasters, exemplifying long-term focus on portfolio growth and franchise extensions.

(Source：Fool)