Take Two Interactive Beats Earnings Estimates

Game publisher Take Two Interactive released their earnings report for the first quarter of 2025, and it was fairly positive.

Written by: Timothy St. John • Friday, August 9, 2024 • 2 min read

• Last updated: Friday, August 9, 2024

For its first fiscal quarter of 2025, Take Two Interactive Software (TTWO) beat analyst’s earnings predictions but did not make the expected sales figures for the quarter.

Predictions placed earnings per share for the video game publisher at 2 cents per share, but they actually made 5 cents per share. The company was expected to make $1.26 billion for the quarter but only pulled in $1.22 billion. Those numbers were enough for the owners of Rockstar Games and publishers of the Grand Theft Auto franchise to enjoy a stock price increase of 3.43% Friday morning, after the company’s earnings report released late Thursday.

At one point after the earnings report, the company’s stock rose by 4%. It has since settled, but Take Two is drawing investor interest right now after the large acquisition of Gearbox Software, who publish Borderlands Games, among others. They are also preparing to launch the much anticipated Grand Theft Auto 6 in late 2025.

How Is the Stock Shaping Up?

Take Two is no doubt benefitting from the recent market surge that accompanied a positive jobless claims report. That US economic report has spurred frenzied trading, and investors are feeling more optimistic about the state of the economy and are looking for stocks to invest in.

Take Two stock may take a hit when the new Borderlands movie releases later this month. Analysts predict a soft opening for the movie that is tied to the Gearbox Software video game franchise.

While the upcoming Grand Theft Auto 6 will be a massive seller from the company, it is still over a year away, and it could be delayed further. The game has already suffered multiple delays.

Take Two also has to contend with the stigma surrounding massive layoffs. They let around 600 employees go recently, which is expected as a major gaming release nears completion, but it does look bad for the company’s stock prospects and indicates to some investors that the company may be having trouble paying its bills.

Take Two’s stock will be partially affected by any new economic news, especially employment-related reports, which are a major focus of the market right now.

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ABOUT THE AUTHOR See More

Timothy St. John

Financial Writer - European & US Desks

Timothy St John is a seasoned financial analyst and writer, catering to the dynamic landscapes of the US and European markets. Boasting over a decade of extensive freelance writing experience, he has made significant contributions to reputable platforms such as Yahoo!Finance, business.com: Expert Business Advice, Tips, and Resources - Business.com, and numerous others. Timothy's expertise lies in in-depth research and comprehensive coverage of stock and cryptocurrency movements, coupled with a keen understanding of the economic factors influencing currency dynamics. Timothy majored in English at East Tennessee State University, and you can find him on LinkedIn.