Take-Two Reiterates $8B Revenue Outlook as Grand Theft Auto VI Pre-Orders Begin
The gaming giant reported first-quarter net bookings of $1.39 billion, slightly ahead of guidance, while maintaining its full-year forecast anchored by the November launch of its blockbuster title.
Strong Start to Fiscal 2027
Take-Two Interactive Software reported first-quarter net bookings of approximately $1.39 billion, "slightly above the high end of our guidance range, primarily due to the outperformance of NBA 2K and the Grand Theft Auto series," CEO Strauss Zelnick said during the company's earnings call (earnings call, 2026-08-07).
The results exceeded the company's guidance range of $1.32 billion to $1.37 billion. GAAP net revenue increased 2% to $1.5 billion for the quarter ended June 30, 2026.
GTA VI Anticipation Builds
Take-Two reiterated its fiscal 2027 net bookings outlook of $8 billion to $8.2 billion, representing approximately 20% growth over the prior year at the midpoint. The forecast hinges on the November 19 launch of Grand Theft Auto VI, which Zelnick described as having "an exceptional start to preorders" (earnings call, 2026-08-07).
The company announced that Rockstar Games will release "an extended look" at GTA VI on August 27, which executives believe will further build consumer anticipation ahead of the November release. Grand Theft Auto V has now sold over 230 million units worldwide, while recurrent consumer spending for the series grew 3% during the quarter (earnings call, 2026-08-07).
NBA 2K Franchise Hits Record
NBA 2K26 delivered standout performance, with sales exceeding 12 million units, reflecting 9% growth compared to NBA 2K25. Engagement metrics showed significant strength, with daily active users up 15%, my career daily active users increasing 25%, and average games played per user rising 35% (earnings call, 2026-08-07).
Recurrent consumer spending for the franchise grew 7% during the quarter. The company plans to launch NBA 2K27 on September 4, featuring Victor Wembanyama, Caitlin Clark, and Derrick Rose on various edition covers.
Mixed Mobile Performance
Zynga's mobile division performed in line with expectations, though with varied results across titles. Toon Blast grew 8% year-over-year, while Words With Friends also increased 8%, and Top Eleven surpassed expectations with 15% growth (earnings call, 2026-08-07).
Overall mobile recurrent consumer spending declined 7% as expected, with the company projecting continued softness due to "last year's success of Colorblock Jam and our assumption that trends will moderate for several of Zynga's mature mobile titles," CFO Lainie Goldstein said (earnings call, 2026-08-07).
Financial Outlook and Operations
For the full fiscal year, Take-Two expects the net bookings breakdown to be roughly 37% from Rockstar Games, 34% from Zynga, and 29% from 2K (earnings call, 2026-08-07). The company forecasts operating cash flow in excess of $1 billion and expects to reach a net cash position by fiscal year-end.
Capital expenditures guidance increased to approximately $290 million from prior forecasts due to a planned real estate purchase. Second-quarter net bookings are projected to range from $1.62 billion to $1.67 billion, down from $1.96 billion in the prior-year period.
According to MarginX data, Take-Two's annual general meeting is scheduled for September 17, 2026.
This article was generated by MarginX from the earnings call on 2026-08-07. It is not investment advice.