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Take-Two Interactive Software, Inc. Reports Results for Fiscal Third Quarter 2026 February 3, 2026 at 4:05 PM EST Company raises fiscal year 2026 outlook Fiscal third quarter Net Bookings were $1.76 billion, above Company's guidance range Net Bookings for fiscal year 2026 are now expected to range from $6.65 to $6.7 billion NEW YORK--(BUSINESS WIRE)--Feb. 3, 2026-- Take-Two Interactive Software, Inc. (NASDAQ:TTWO) today reported results for the third quarter of its fiscal year 2026, ended December 31, 2025. For further information, please see the third quarter fiscal 2026 results slide deck posted to the Company’s investor relations website at take2games.com/ir. CEO Comments Strauss Zelnick, Chairman and CEO of Take-Two Interactive, stated: “Our outstanding third quarter results reflect outperformance from all of our labels, and we are once again raising our Net Bookings outlook for Fiscal 2026. With ongoing momentum across many of our businesses, and the highly anticipated launch of Grand Theft Auto VI on November 19th, we continue to project record levels of Net Bookings in Fiscal 2027, which we believe will establish a new financial baseline for our business, set us on a path to enhanced profitability, and provide further balance sheet strength and flexibility.” Third Quarter Fiscal 2026 Financial and Operational Highlights Total Net Bookings* grew 28% to $1.76 billion, compared to $1.37 billion during last year’s fiscal third quarter. Net Bookings from recurrent consumer spending** grew 23% and accounted for 76% of total Net Bookings. The largest contributors to Net Bookings were NBA® 2K26, Grand Theft Auto® Online and Grand Theft Auto V, Toon Blast™, Match Factory!™, Empires & Puzzles™, Color Block Jam™, Red Dead Redemption® 2 and Red Dead Online, Red Dead Redemption® and Undead Nightmare, Words With Friends™, WWE® 2K25, and Toy Blast™. GAAP net revenue was $1.70 billion, compared to $1.36 billion in last year’s fiscal third quarter. Recurrent consumer spending** increased 20% and accounted for 77% of total GAAP net revenue. The largest contributors to GAAP net revenue were NBA 2K26 and NBA 2K25, Grand Theft Auto Online and Grand Theft Auto V, Toon Blast, Match Factory!, Empires & Puzzles, Color Block Jam, Red Dead Redemption and Undead Nightmare, Red Dead Redemption 2 and Red Dead Online, Words With Friends, WWE 2K25, and Borderlands® 4. GAAP net loss was $92.9 million, or $0.50 per share, as compared to $125.2 million, or $0.71 per share, for the comparable period last year.
- Net Bookings is our operational metric and defined as the net amount of products and services sold digitally or sold-in physically during the period, and includes licensing fees, merchandise, in-game advertising, strategy guides and publisher incentives. ** Recurrent consumer spending is generated from ongoing consumer engagement and includes virtual currency, add-on content, in-game purchases and in-game advertising Third Quarter Fiscal 2026 Financial Results The following data is used internally by the Company’s management and Board of Directors to adjust the Company’s GAAP and Non-GAAP financial results in order to facilitate comparison of its operating performance between periods and to better understand its core business: Three Months Ended December 31, 2025 Financial Data
Change in deferred Amortization of Statement of net revenue and Stock-based Business Business Other
| in millions | acquired | ||||||
|---|---|---|---|---|---|---|---|
| Operations related cost of compensation reorganization acquisition (a) | |||||||
| intangibles | |||||||
| revenue | |||||||
| GAAP | |||||||
| ----------------- | --------- | ------ | ------ | -------- | --- | --- | --- |
| Total net revenue | $1,699.0 | 58.0 | |||||
| Cost of revenue | 753.5 | (3.1) | (3.6) | (160.7) | |||
| Gross profit | 945.5 | 61.1 | 3.6 | 160.7 | |||
| Operating | |||||||
| 984.2 | (86.7) | (15.1) | (0.6) | (4.0) | |||
| --- | ------ | --- | ------- | ------- | ------ | ------ | --- |
| expenses | |||||||
| (Loss) income | |||||||
| (38.7) | 61.1 | 90.3 | 175.8 | 0.6 | 4.0 | ||
| --- | ------- | ----- | ----- | ------ | ---- | ---- | --- |
| from operations | |||||||
| Interest and other, | |||||||
| (17.1) | (1.6) | 4.5 | 0.1 | ||||
| --- | ------- | ------ | --- | --- | --- | ---- | ---- |
| net | |||||||
| (Loss) income | |||||||
| before income | (55.8) | 59.6 | 90.3 | 175.8 | 0.6 | 8.5 | 0.1 |
| ------------- | ------- | ----- | ----- | ------ | ---- | ---- | ---- |
| taxes | |||||||
| -------- | ------ | ----- | ----- | --- | ---- | ---- | ---- |
| Non-GAAP | |||||||
| EBITDA | 174.8 | 59.6 | 90.3 | 0.6 | 6.5 | 0.1 | |
| The above table utilizes a management tax rate of 18% | |||||||
| Share count used to calculate management reporting diluted net income per share is 186.5 million | |||||||
| (a) Other includes adjustments for (i) the revaluation of the Turkish Lira against the U.S. Dollar and (ii) fair value adjustments related to certain equity | |||||||
| investments. | |||||||
| Outlook for Fiscal Year 2026 | |||||||
| Take-Two is raising its outlook for the fiscal year and providing its initial outlook for its fiscal fourth quarter ending March 31, 2026: | |||||||
| Fiscal Year Ending March 31, 2026 | |||||||
| The Company is also providing selected data, which is used internally by its management and Board of Directors to adjust the Company’s GAAP and | |||||||
| Non-GAAP financial outlook in order to facilitate comparison of its operating performance between periods and to better understand its core business | |||||||
| and future outlook: | |||||||
| Fiscal Year Ending March 31, 2026 | |||||||
| ------------------------ | ---------------------------------- | ---------------------- | --- | ----------- | --------------- | -------- | --- |
| Financial Data | |||||||
| Change in deferred net | Business | ||||||
| $ in millions except for | Stock-based | Amortization of | |||||
| Outlook (b) revenue and related cost of acquisition and | |||||||
| per share amounts | compensation | acquired intangibles | |||||
| ----------------- | ----------------- | ------- | --- | ------------ | -------------------- | --------- | --- |
| revenue | other (c) | ||||||
| GAAP | |||||||
| Total net revenue | $6,550 to $6,600 | $100 |
| Cost of revenue | $2,781 to $2,797 | $(5) | $31 | $(641) | |
|---|---|---|---|---|---|
| Operating expenses | $3,959 to $3,969 | $(333) | $(68) | $(8) | |
| Interest and other, net | $97 | $(14) | |||
| (Loss) income before | |||||
| $(287) to $(263) | $105 | $302 | $709 | $22 | |
| --- | ----------------- | ----- | ----- | ----- | ---- |
| income taxes | |||||
| Net loss | $(369) to $(338) | ||||
| -------- | ----------------- | --- | --- | --- | --- |
| $(2.00) to | |||||
| Net loss per share | |||||
| ------------------ | --- | --- | --- | --- | --- |
| $(1.84) | |||||
| Net cash provided by | approximately | ||||
| -------------------- | ------------- | --- | --- | --- | --- |
| operating activities | $450 | ||||
| approximately | |||||
| Capital expenditures | |||||
| -------------------- | --- | --- | --- | --- | --- |
| $180 | |||||
| ------------------ | ----------------- | ----- | ----- | --- | --- |
| Non-GAAP | |||||
| EBITDA | $657 to $681 | $105 | $302 | $8 | |
| Operational metric | |||||
| Net Bookings | $6,650 to $6,700 | ||||
| Management reporting tax rate anticipated to be 18% | |||||
| Share count used to calculate GAAP net loss per share is expected to be 183.9 million | |||||
| Share count used to calculate management reporting diluted net income per share is expected to be 186.3 million | |||||
| (b) The individual components of the financial outlook may not foot to the totals, as the Company does not expect actual results for every component to | |||||
| be at the low end or high end of the outlook range simultaneously. | |||||
| (c) Other includes adjustments for (i) business reorganization expenses, (ii) the revaluation of the Turkish Lira against the U.S. Dollar, and (iii) fair value | |||||
| adjustments related to certain equity investments. | |||||
| Fiscal Fourth Quarter Ending March 31, 2026 | |||||
| The Company is also providing selected data, which is used internally by its management and Board of Directors to adjust the Company’s GAAP and | |||||
| Non-GAAP financial outlook in order to facilitate comparison of its operating performance between periods and to better understand its core business | |||||
| and future outlook: | |||||
| Three Months Ending March 31, 2026 | |||||
| --- | ----------------------------------- | --------------- | --- | --- | --- |
| Financial Data | |||||
| $ in millions except for Outlook (b) Change in deferred net revenue Stock-based Amortization of Business | |||||
| --- | --- | --- | --- | --- | --- |
| per share amounts and related cost of revenue compensation acquired intangibles acquisition | |||||
| GAAP | |||||
| ---- | --- | --- | --- | --- | --- |
$1,573 to
| Total net revenue | $(63) | ||||
|---|---|---|---|---|---|
| $1,623 | |||||
| $675 to | |||||
| Cost of revenue | $(10) | $1 | $(161) | ||
| --------------- | --- | ------ | --- | ------- | --- |
| $692 | |||||
| $973 to | |||||
| Operating expenses | $(79) | $(17) | |||
| ------------------ | --- | --- | ------ | ------ | --- |
| $983 | |||||
| Interest and other, net | $26 | $(4) | |||
| ----------------------- | ---- | --- | --- | --- | ----- |
| (Loss) income before $(101) to | |||||
| $(53) | $78 | $178 | $4 | ||
| --- | --- | ------ | ---- | ----- | --- |
| income taxes $(78) | |||||
| $(129) to | |||||
| Net (loss) income | |||||
| ----------------- | --- | --- | --- | --- | --- |
| $(99) | |||||
| Net (loss) income per $(0.70) to | |||||
| --- | --- | --- | --- | --- | --- |
| share $(0.54) | |||||
| -------- | --- | --- | --- | --- | --- |
| Non-GAAP | |||||
| $138 to | |||||
| EBITDA | $(53) | $78 | |||
| ------ | --- | ------ | ---- | --- | --- |
| $161 | |||||
| ------------------ | --- | --- | --- | --- | --- |
| Operational metric | |||||
| $1,510 to | |||||
| Net Bookings | |||||
| ------------ | --- | --- | --- | --- | --- |
| $1,560 | |||||
| Management reporting tax rate anticipated to be 18% | |||||
| Share count used to calculate GAAP net loss per share is expected to be 185.3 million | |||||
| Share count used to calculate management reporting diluted net income per share is expected to be 187.6 million | |||||
| (b) The individual components of the financial outlook may not foot to the totals, as the Company does not expect actual results for every component to | |||||
| be at the low end or high end of the outlook range simultaneously. | |||||
| Key assumptions and dependencies underlying the Company’s outlook include: a continuation of the current economic backdrop; the timely delivery of | |||||
| the titles included in this financial outlook; continued growth in the installed base of PlayStation 5 and Xbox Series X | S, as well as engagement on | ||||
| Xbox One and PlayStation 4; the ability to develop and publish products that capture market share for these current generation systems while also | |||||
| leveraging opportunities on PC, mobile and other platforms; factors affecting our performance on mobile, such as player acquisition costs; our ongoing | |||||
| focus on our live services portfolio and new game pipeline; and stable foreign exchange rates. See also “Cautionary Note Regarding Forward Looking | |||||
| Statements” below. | |||||
| Product Releases | |||||
| The following have been released since October 1, 2025: | |||||
| Label | Product | Platforms | Release Date | ||
| ----- | ------------------------- | --- | ------------ | ----------------- | --- |
| 2K | WWE 2K Mobile for Netflix | iOS, Android | November 19, 2025 | ||
| Rockstar GamesRed Dead Redemption and Undead Nightmare PS5, Xbox Series X | S, Switch 2 December 2, 2025 | ||||
| Rockstar GamesRed Dead Redemption and Undead Nightmare for NetflixiOS, Android December 2, 2025 |
PS5, PS4, Xbox Series X|S, Xbox Rockstar GamesGrand Theft Auto Online: A Safehouse in the Hills December 10, 2025 One, PC Take-Two's future lineup announced to-date includes: Label Product Platforms Release Date 2K Sid Meier's Civilization VII for Apple ArcadeiOS February 5, 2026 2K PGA TOUR 2K25 Switch 2 February 6, 2026 2K WWE 2K26 PS5, Xbox Series X|S, Switch 2, PCMarch 13, 2026 Rockstar Games Grand Theft Auto VI PS5, Xbox Series X|S November 19, 2026 Zynga CSR 3 iOS, Android TBA Zynga Top Goal iOS, Android TBA Ghost Story GamesJudas PS5, Xbox Series X|S, PC TBA 2K Project ETHOS TBA TBA 2K BioShock next iteration TBA TBA Conference Call Take-Two will host a conference call today at 4:30 p.m. Eastern Time to review these results and discuss other topics. The call can be accessed by dialing (800) 715-9871 or (646) 307-1963 (conference ID: 9711440). A live listen-only webcast of the call will be available by visiting http://ir.take2games.com and a replay will be available following the call at the same location. Non-GAAP Financial Measure In addition to reporting financial results in accordance with U.S. generally accepted accounting principles (GAAP), the Company uses a Non-GAAP measure of financial performance: EBITDA, which is defined as GAAP net income (loss) excluding interest income (expense), provision for (benefit from) income taxes, depreciation expense, and amortization and impairment of acquired intangibles. The Company’s management believes it is important to consider EBITDA, in addition to net income, as it removes the effect of certain non-cash expenses, debt-related charges, and income taxes. Management believes that, when considered together with reported amounts, EBITDA is useful to investors and management in understanding the Company’s ongoing operations and in analysis of ongoing operating trends and provides useful additional information relating to the Company’s operations and financial condition. This Non-GAAP financial measure is not intended to be considered in isolation from, as a substitute for, or superior to, GAAP results. This Non-GAAP financial measure may be different from similarly titled measures used by other companies. In the future, Take-Two may also consider whether other items should also be excluded in calculating this Non-GAAP financial measure used by the Company. Management believes that the presentation of this Non-GAAP financial measure provides investors with additional useful information to measure Take-Two's financial and operating performance. In particular, this measure facilitates comparison of our operating performance between periods and may help investors to understand better the operating results of Take-Two. Internally, management uses this Non-GAAP financial measure in assessing the Company's operating results and in planning and forecasting. A reconciliation of this Non-GAAP financial measure to the most comparable GAAP measure is contained in the financial tables to this press release. Final Results The financial results discussed herein are presented on a preliminary basis; final data will be included in Take-Two’s Quarterly Report on Form 10-Q for the period ended December 31, 2025. About Take-Two Interactive Software Headquartered in New York City, Take-Two Interactive Software, Inc. is a leading developer, publisher, and marketer of interactive entertainment for consumers around the globe. We develop and publish products principally through Rockstar Games, 2K, and Zynga. Our strategy is to create hit entertainment experiences, delivered on every platform relevant to our audience through a variety of sound business models. Our pillars – creativity, innovation, and efficiency – guide us as we strive to create the highest quality, most captivating experiences for our consumers. The Company’s common stock is publicly traded on NASDAQ under the symbol TTWO. For more corporate and product information please visit our website at http://www.take2games.com. All trademarks and copyrights contained herein are the property of their respective holders.
Cautionary Note Regarding Forward-Looking Statements The statements contained herein, which are not historical facts, including statements relating to Take-Two Interactive Software, Inc.'s ("Take-Two," the "Company," "we," "us," or similar pronouns) outlook, are considered forward-looking statements under federal securities laws and may be identified by words such as "anticipates," "believes," "estimates," "expects," "intends," "plans," "potential," "predicts," "projects," "seeks," "should," "will," or words of similar meaning and include, but are not limited to, statements regarding the outlook for our future business and financial performance. Such forward- looking statements are based on the current beliefs of our management as well as assumptions made by and information currently available to them, which are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict. Actual outcomes and results may vary materially from these forward-looking statements based on a variety of risks and uncertainties, including risks relating to the timely release and significant market acceptance of our games; the risks of conducting business internationally, including as a result of unforeseen geopolitical events; the impact of changes in interest rates by the Federal Reserve and other central banks, including on our short-term investment portfolio; the impact of inflation; volatility in foreign currency exchange rates; our dependence on key management and product development personnel; our dependence on our NBA 2K and Grand Theft Auto products and our ability to develop other hit titles; our ability to leverage opportunities on PlayStation®5 and Xbox Series X|S; factors affecting our mobile business, such as player acquisition costs; and the ability to maintain acceptable pricing levels on our games. Other important factors and information are contained in the Company's most recent Annual Report on Form 10-K, including the risks summarized in the section entitled "Risk Factors," the Company’s most recent Quarterly Report on Form 10-Q, and the Company's other periodic filings with the SEC, which can be accessed at www.take2games.com. All forward-looking statements are qualified by these cautionary statements and apply only as of the date they are made. The Company undertakes no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise.
TAKE-TWO INTERACTIVE SOFTWARE, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (in millions, except per share amounts)
| Three Months Ended December 31, Nine Months Ended December 31, | |||||
| 2025 | 2024 | 2025 | 2024 | ||
| ------------ | ---------- | ------------- | ------------ | ------------- | --- |
| Net revenue: | |||||
| Game | $ 1,570.3 | $ 1,243.1 | $ 4,593.7 | $ 3,693.7 | |
| Advertising | 128.7 | 116.7 | 382.9 | 357.4 | |
| Total net revenue 1,699.0 1,359.8 4,976.6 4,051.1 | |||||
| Cost of revenue: | |||||
| ---------------- | -------- | ----------- | ---------- | ----------- | --- |
| Product costs | 220.9 | 200.2 | 660.6 | 616.0 | |
| Game intangibles 160.1 171.1 477.4 508.0 | |||||
| Licenses | 118.3 | 88.8 | 343.6 | 241.1 | |
| -------- | -------- | ---------- | ---------- | ----------- | --- |
| Internal royalties 167.4 103.1 335.0 249.3 | |||||
| Software development costs and royalties 86.8 36.7 289.0 177.8 | |||||
| Total cost of revenue 753.5 599.9 2,105.6 1,792.2 | |||||
| Gross profit 945.5 759.9 2,871.0 2,258.9 | |||||
| Selling and marketing 433.2 388.9 1,378.6 1,281.6 |
Research and development 282.7 240.9 812.1 707.4 General and administrative 218.6 189.6 650.6 653.1 Depreciation and amortization 49.1 49.5 148.3 141.6 Business reorganization 0.6 23.1 (3.5 ) 89.4 Total operating expenses 984.2 892.0 2,986.1 2,873.1 Loss from operations (38.7 ) (132.1 ) (115.1 ) (614.2 ) Interest and other, net (17.1 ) (20.8 ) (70.0 ) (75.2 ) Loss before income taxes (55.8 ) (152.9 ) (185.1 ) (689.4 ) Provision for (benefit from) for income taxes 37.1 (27.7 ) 53.6 63.3
| Net loss | $ (92.9 | ) $ (125.2 | ) $ (238.7 | ) $ (752.7 | ) | ||
|---|---|---|---|---|---|---|---|
| Loss per share: | |||||||
| Basic and diluted loss per share $ (0.50 ) $ (0.71 ) $ (1.30 ) $ (4.31 ) | |||||||
| Weighted average shares outstanding | |||||||
| ----------------------------------- | -------- | ----------- | ---------- | ----------- | --- | --- | --- |
| Basic | 185.0 | 176.0 | 183.4 | 174.5 |
TAKE-TWO INTERACTIVE SOFTWARE, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (in millions, except per share amounts)
| December 31, | March 31, | ||||||
|---|---|---|---|---|---|---|---|
| 2025 | 2025 | ||||||
| (Unaudited) | |||||||
| ASSETS | |||||||
| Current assets: | |||||||
| Cash and cash equivalents | $ 2,160.0 | $ 1,456.1 | |||||
| Short-term investments | 199.0 | 9.4 | |||||
| Restricted cash and cash equivalents | 13.2 | 14.9 |
Accounts receivable, net of allowances of $1.9 and $1.6 at December 31, 2025 and March 31, 2025, respectively 824.1 771.1
| Software development costs and licenses | 50.2 | 80.8 | |
|---|---|---|---|
| Contract assets | 87.3 | 80.8 | |
| Prepaid expenses and other | 344.8 | 402.8 | |
| Total current assets | 3,678.6 | 2,815.9 | |
| Fixed assets, net | 453.5 | 443.8 | |
| Right-of-use assets | 333.7 | 326.1 | |
| Software development costs and licenses, net of current portion 2,244.7 1,892.6 | |||
| Goodwill | 1,065.7 | 1,057.3 | |
| ---------------------- | ---------- | ------------ | --- |
| Other intangibles, net | 1,845.8 | 2,336.0 | |
| Long-term restricted cash and cash equivalents 78.6 88.2 | |||
| Other assets | 309.9 | 220.8 | |
| ------------------------------------ | ----------- | ------------ | --- |
| Total assets | $ 10,010.5 | $ 9,180.7 | |
| LIABILITIES AND STOCKHOLDERS' EQUITY | |||
| Current liabilities: | |||
| Accounts payable | $ 191.3 | $ 194.7 | |
| Accrued expenses and other current liabilities 1,100.2 1,127.6 | |||
| Deferred revenue | 1,292.7 | 1,083.5 | |
| ----------------------------- | ---------- | ------------ | --- |
| Lease liabilities | 69.3 | 61.5 | |
| Short-term debt, net | 582.2 | 1,148.5 | |
| Total current liabilities | 3,235.7 | 3,615.8 | |
| Long-term debt, net | 2,487.0 | 2,512.6 | |
| Non-current deferred revenue | 20.1 | 25.4 | |
| Non-current lease liabilities | 372.8 | 383.3 | |
| Non-current software development royalties 83.4 93.6 | |||
| Deferred tax liabilities, net | 190.8 | 259.6 | |
| ----------------------------- | -------- | ---------- | --- |
| Other long-term liabilities | 125.1 | 152.7 |
| Total liabilities | $ | 6,514.9 $ 7,043.0 | |
|---|---|---|---|
| Stockholders' equity: | |||
| Preferred stock, $0.01 par value, 5.0 shares authorized; no shares issued and outstanding at December 31, 2025 | |||
| — — | |||
| --- | --- | -------- | --- |
| and March 31, 2025 | |||
| Common stock, $0.01 par value, 300.0 and 300.0 shares authorized; 208.8 and 200.8 shares issued and 185.1 and | |||
| 2.1 2.0 | |||
| --- | --- | ------------ | --- |
| 177.1 outstanding at December 31, 2025 and March 31, 2025, respectively | |||
| Additional paid-in capital | 11,847.7 10,312.0 | ||
| -------------------------- | --- | ---------------------- | --- |
| Treasury stock, at cost; 23.7 and 23.7 common shares at December 31, 2025 and March 31, 2025, respectively (1,020.6 ) (1,020.6 ) | |||
| Accumulated deficit | (7,297.5 ) (7,058.8 | ) | |
| ------------------------------------ | --- | ---------------------- | --- |
| Accumulated other comprehensive loss | (36.1 ) (96.9 | ) | |
| Total stockholders' equity | $ | 3,495.6 $ 2,137.7 | |
| Total liabilities and stockholders' equity $ 10,010.5 $ 9,180.7 |
TAKE-TWO INTERACTIVE SOFTWARE, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (in millions)
| Nine Months Ended December 31, | |||
| 2025 | 2024 | ||
| Operating activities: | |||
| Net loss | $ (238.7 | ) $ (752.7 | ) |
| Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | |||
| Amortization and impairment of software development costs and licenses 282.9 181.2 | |||
| Stock-based compensation | 226.9 | 244.4 | |
| ------------------------ | -------- | ----------- | --- |
| Noncash lease expense | 42.3 | 45.1 | |
| Amortization and impairment of intangibles 525.3 563.4 | |||
| Depreciation | 124.1 | 114.2 | |
| ---------------- | -------- | ----------- | --- |
| Interest expense | 114.2 | 123.9 |
| Other, net | 25.8 | 25.2 | |
|---|---|---|---|
| Changes in assets and liabilities, net of effect from purchases of businesses: | |||
| Accounts receivable | (51.8 | ) 2.9 | |
| ------------------- | -------- | --------- | --- |
| Software development costs and licenses (518.5 ) (568.9 ) | |||
| Prepaid expenses and other current and other non-current assets (65.9 ) 30.1 | |||
| Deferred revenue | 201.0 | 25.3 | |
| ---------------- | -------- | ---------- | --- |
| Accounts payable, accrued expenses and other liabilities (278.7 ) (358.3 ) | |||
| Net cash provided by (used in) operating activities 388.9 (324.2 ) | |||
| Investing activities: | |||
| ---------------------------------- | --------- | ------------ | --- |
| Change in bank time deposits | (189.7 | ) 18.7 | |
| Purchases of fixed assets | (126.0 | ) (115.3 | ) |
| Divestitures | — | 36.0 | |
| Purchases of long-term investments | (21.2 | ) (21.4 | ) |
| Business acquisitions | (2.0 | ) 9.4 | |
| Asset acquisitions | (19.9 | ) (16.1 | ) |
| Net cash used in investing activities (358.8 ) (88.7 ) | |||
| Financing activities: | |||
| --------------------- | --- | --- | --- |
| Tax payment related to net share settlements on restricted stock awards (2.4 ) — | |||
| Issuance of common stock | 1,247.0 | 55.0 | |
| ------------------------ | ---------- | ---------- | --- |
| Payment for settlement of convertible notes — (8.3 ) | |||
| Proceeds from issuance of debt | — | 598.9 | |
| ------------------------------ | --------- | ----------- | --- |
| Cost of debt | — | (5.4 | ) |
| Repayment of debt | (600.0 | ) — | |
| Payment of contingent earn-out consideration — (12.0 ) | |||
| Net cash provided by financing activities 644.6 628.2 | |||
| Effects of foreign currency exchange rates on cash, cash equivalents, and restricted cash and cash | |||
| 17.9 | (8.4 | ) | |
| --- | ------- | ---------- | --- |
| equivalents |
Net change in cash, cash equivalents, and restricted cash and cash equivalents 692.6 206.9 Cash, cash equivalents, and restricted cash and cash equivalents, beginning of year (1) 1,559.2 1,102.0 Cash, cash equivalents, and restricted cash and cash equivalents, end of period (1) $ 2,251.8 $ 1,308.9
(1) Cash, cash equivalents and restricted cash and cash equivalents shown on our Condensed Consolidated Statements of Cash Flow includes amounts in the Cash and cash equivalents, Restricted cash and cash equivalents, and Long-term restricted cash and cash equivalents on our Condensed Consolidated Balance Sheet.
TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIES Net Revenue and Net Bookings by Geographic Region, Distribution Channel, and Platform Mix
| (in millions) | |||
|---|---|---|---|
| Three Months Ended | Three Months Ended | ||
| December 31, 2025 | December 31, 2024 | ||
| Amount % of total | Amount | % of total | |
| Net revenue by geographic region | |||
| United States | $ 1,012.2 60 | % $825.7 | 61 % |
| International | 686.8 40 | % 534.1 | 39 % |
| Total Net revenue | $ 1,699.0 100 | % $1,359.8 | 100 % |
| Net Bookings by geographic region | |||
| United States | $ 1,047.0 60 | % $841.8 | 61 % |
| International | 710.1 40 | % 531.6 | 39 % |
| Total Net Bookings | $ 1,757.1 100 | % $1,373.4 | 100 % |
| Three Months Ended | Three Months Ended | ||
| December 31, 2025 | December 31, 2024 | ||
| Amount % of total | Amount | % of total | |
| Net revenue by distribution channel | |||
| Digital online | $ 1,654.5 97 | % $1,310.7 | 96 % |
| Physical retail and other | 44.5 3 | % 49.1 | 4 % |
|---|---|---|---|
| Total Net revenue | $ 1,699.0 100 | % $1,359.8 | 100 % |
| Net Bookings by distribution channel | |||
| Digital online | $ 1,711.7 97 | % $1,324.0 | 96 % |
| Physical retail and other | 45.4 3 | % 49.4 | 4 % |
| Total Net Bookings | $ 1,757.1 100 | % $1,373.4 | 100 % |
| Three Months Ended | Three Months Ended | ||
| December 31, 2025 | December 31, 2024 | ||
| Amount % of total | Amount | % of total | |
| Net revenue by platform | |||
| Mobile | $ 865.8 51 | % $731.6 | 54 % |
| Console | 652.1 38 | % 507.9 | 37 % |
| PC and other | 181.1 11 | % 120.3 | 9 % |
| Total Net revenue | $ 1,699.0 100 | % $1,359.8 | 100 % |
| Net Bookings by platform | |||
| Mobile | $ 860.9 49 | % $709.5 | 52 % |
| Console | 702.6 40 | % 538.0 | 39 % |
| PC and other | 193.6 11 | % 125.9 | 9 % |
| Total Net Bookings | $ 1,757.1 100 | % $1,373.4 | 100 % |
TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIES Net Revenue and Net Bookings by Geographic Region, Distribution Channel, and Platform Mix (in millions)
| Nine Months Ended | Nine Months Ended | ||
|---|---|---|---|
| December 31, 2025 | December 31, 2024 | ||
| Amount % of total | Amount | % of total | |
| Net revenue by geographic region | |||
| United States | $2,948.7 59 | % $2,460.7 | 61 % |
| International | 2,027.9 41 | % 1,590.4 | 39 % |
| Total Net revenue | $4,976.6 100 | % $4,051.1 | 100 % |
| Net Bookings by geographic region | |||
| United States | $3,072.2 60 | % $2,484.7 | 61 % |
| International | 2,068.5 40 | % 1,581.8 | 39 % |
| Total Net Bookings | $5,140.7 100 | % $4,066.5 | 100 % |
| Nine Months Ended | Nine Months Ended | ||
| December 31, 2025 | December 31, 2024 | ||
| Amount % of total | Amount | % of total | |
| Net revenue by distribution channel | |||
| Digital online | $4,824.2 97 | % $3,906.2 | 96 % |
| Physical retail and other | 152.4 3 | % 144.9 | 4 % |
| Total Net revenue | $4,976.6 100 | % $4,051.1 | 100 % |
| Net Bookings by distribution channel | |||
| Digital online | $4,988.0 97 | % $3,928.5 | 97 % |
| Physical retail and other | 152.7 3 | % 138.0 | 3 % |
| Total Net Bookings | $5,140.7 100 | % $4,066.5 | 100 % |
| Nine Months Ended | Nine Months Ended | ||
| December 31, 2025 | December 31, 2024 |
| Amount | % of total | Amount | % of total | |||||
|---|---|---|---|---|---|---|---|---|
| Net revenue by platform | ||||||||
| Mobile | $2,489.1 | 50 | % $2,194.3 | 54 | % | |||
| PC and other | 1,922.7 | 39 | % 1,507.9 | 37 | % | |||
| Console | 564.8 | 11 | % 348.9 | 9 | % | |||
| Total Net revenue | $4,976.6 | 100 | % $4,051.1 | 100 | % | |||
| Net Bookings by platform | ||||||||
| Mobile | $2,471.8 | 48 | % $2,141.9 | 52 | % | |||
| PC and other | 2,084.9 | 41 | % 1,565.7 | 39 | % | |||
| Console | 584.0 | 11 | % 358.9 | 9 | % | |||
| Total Net Bookings | $5,140.7 | 100.0 | % $4,066.5 | 100 | % |
TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIES ADDITIONAL DATA (in millions)
| Cost of revenue - | ||||||||
| Three Months Ended Cost of revenue - Cost of revenue - Cost of revenue Cost of revenue - | ||||||||
| Net revenue | Software development | |||||||
| --- | ----------- | --- | --- | --- | --- | --- | --------------------- | --- |
| December 31, 2025 Product costs Game intangibles - Licenses Internal royalties | ||||||||
| costs and royalties | ||||||||
| As reported $ 1,699.0 $ 220.9 $ 160.1 $ 118.3 $ 167.4 $ 86.8 | ||||||||
| Net effect from deferred | ||||||||
| revenue and related cost | 58.0 | 1.5 | (4.6 | ) | ||||
| ------------------------- | ---- | -------- | ---- | --- | --- | --- | ------- | --- |
| of revenue | ||||||||
| Stock-based | ||||||||
| (3.6 | ) | |||||||
| --- | --- | --- | --- | --- | --- | --- | ------- | --- |
| compensation | ||||||||
| Amortization of acquired | ||||||||
| (0.6 | ) (160.1 | ) | ||||||
| --- | --- | ------- | ----------- | ---- | --- | --- | --- | --- |
| intangibles | ||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Depreciation | ||||||||
| Three Months Ended Selling and Research and General and Business | ||||||||
| and | Interest and other, net | |||||||
| --- | --- | --- | --- | ---- | --- | --- | ------------------------ | --- |
| December 31, 2025 marketing development administrative reorganization | ||||||||
| amortization |
As reported $ 433.2 $ 282.7 $ 218.6 $ 49.1 0.6 $ (17.1 ) Net effect from deferred
| revenue and related cost | (1.6 | ) | |||||
|---|---|---|---|---|---|---|---|
| of revenue | |||||||
| Stock-based | |||||||
| (24.2 ) | (25.6 | ) (36.9 | ) | ||||
| --- | ----------- | ----- | ---------- | ---- | --- | --- | --- |
| compensation | |||||||
| Amortization of acquired | |||||||
| (7.2 | ) | (7.9 | ) | ||||
| --- | --- | ------- | ---- | ------- | ---- | --- | --- |
| intangibles | |||||||
| Acquisition related | |||||||
| (0.3 | ) (3.7 | ) | 4.5 | ||||
| --- | --- | ------- | --------- | ---- | --- | ------ | --- |
| expenses | |||||||
| Impact of business | |||||||
| (0.6 | ) | ||||||
| --- | --- | --- | --- | --- | ------- | ---- | --- |
| reorganization | |||||||
| Other | 0.1 | ||||||
| ----- | --- | --- | --- | --- | --- | ------ | --- |
| Cost of revenue - | |||||||
| Three Months Ended Cost of revenue - Cost of revenue Cost of revenue Cost of revenue - | |||||||
| Net revenue | Software development | ||||||
| --- | ----------- | --- | --- | --- | --- | --------------------- | --- |
| December 31, 2024 Product costs -Game intangibles - Licenses Internal royalties | |||||||
| costs and royalties | |||||||
| As reported $ 1,359.8 $ 200.2 $ 171.1 $ 88.8 $ 103.1 $ 36.7 | |||||||
| Net effect from deferred | |||||||
| revenue and related cost 13.7 2.7 0.1 (1.6 ) | |||||||
| of revenue | |||||||
| Stock-based | |||||||
| (2.6 | ) | ||||||
| --- | --- | --- | --- | --- | --- | ------- | --- |
| compensation | |||||||
| Amortization and | |||||||
| impairment of acquired | (0.8 | ) (171.1 | ) | ||||
| ---------------------- | --- | ------- | ----------- | ---- | --- | --- | --- |
| intangibles | |||||||
| --- | --- | --- | --- | --- | --- | --- | --- |
| Depreciation | |||||||
| Three Months Ended Selling and Research and General and Business | |||||||
| and | Interest and other, net | ||||||
| --- | --- | --- | --- | ---- | --- | ------------------------ | --- |
| December 31, 2024 marketing development administrative reorganization | |||||||
| amortization | |||||||
| As reported $ 388.9 $ 240.9 $ 189.6 $ 49.5 $ 23.1 $ (20.8 ) | |||||||
| Net effect from deferred | |||||||
| revenue and related cost | 2.8 | ||||||
| ------------------------- | --- | --- | --- | --- | --- | ------ | --- |
| of revenue | |||||||
| Stock-based | |||||||
| (22.4 ) | (26.1 | ) (31.8 | ) | ||||
| --- | ----------- | ----- | ---------- | ---- | --- | --- | --- |
| compensation | |||||||
| Amortization and | |||||||
| impairment of acquired | (1.0 ) | (7.2 | ) | (9.2 | ) | ||
| ---------------------- | ---------- | ---- | ---- | ------- | ---- | --- | --- |
| intangibles | |||||||
| Acquisition related | |||||||
| (0.2 ) | (0.8 | ) 7.8 | 2.9 | ||||
| --- | ---------- | ---- | -------- | ---- | --- | ------ | --- |
| expenses |
Impact of business
| (23.1 | ) | ||||||
|---|---|---|---|---|---|---|---|
| reorganization | |||||||
| Other | 3.4 | ||||||
| ----- | --- | --- | --- | --- | --- | ------ | --- |
TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIES ADDITIONAL DATA
| (in millions) | |||||||
|---|---|---|---|---|---|---|---|
| Cost of revenue - | |||||||
| Nine Months Ended Cost of revenue - Cost of revenue - Cost of revenue Cost of revenue - | |||||||
| Net revenue | Software development | ||||||
| --- | ----------- | --- | --- | --- | --- | --------------------- | --- |
| December 31, 2025 Product costs Game intangibles - Licenses Internal royalties | |||||||
| costs and royalties | |||||||
| As reported $ 4,976.6 $ 660.6 $ 477.4 $ 343.6 $ 335.0 $ 289.0 | |||||||
| Net effect from deferred | |||||||
| revenue and related cost 164.1 (0.6 ) 0.6 1.9 | |||||||
| of revenue | |||||||
| Stock-based | |||||||
| 32.6 | |||||||
| --- | --- | --- | --- | --- | --- | ------- | --- |
| compensation | |||||||
| Amortization of acquired | |||||||
| (2.1 | ) (477.4 | ) | |||||
| --- | --- | ------- | ----------- | ---- | --- | --- | --- |
| intangibles | |||||||
| --- | --- | --- | --- | --- | --- | --- | --- |
| Depreciation | |||||||
| Nine Months Ended Selling and Research and General and Business | |||||||
| and | Interest and other, net | ||||||
| --- | --- | --- | --- | ---- | --- | ------------------------ | --- |
| December 31, 2025 marketing development administrative reorganization | |||||||
| amortization | |||||||
| As reported $ 1,378.6 $ 812.1 $ 650.6 $ 148.3 $ (3.5 ) $ (70.0 ) | |||||||
| Net effect from deferred | |||||||
| revenue and related cost | (1.1 | ) | |||||
| ------------------------- | --- | --- | --- | --- | --- | ------- | --- |
| of revenue | |||||||
| Stock-based | |||||||
| (73.8 ) | (71.8 | ) (113.9 | ) | ||||
| --- | ----------- | ----- | ----------- | ---- | --- | --- | --- |
| compensation | |||||||
| Amortization of acquired | |||||||
| (21.5 | ) | (24.2 | ) | ||||
| --- | --- | -------- | ---- | -------- | ---- | --- | --- |
| intangibles | |||||||
| Impact of business | |||||||
| 3.5 | |||||||
| --- | --- | --- | --- | --- | ------ | ---- | --- |
| reorganization | |||||||
| Acquisition related | |||||||
| (1.0 | ) (10.6 | ) | 11.5 | ||||
| --- | --- | ------- | ---------- | ---- | --- | ------- | --- |
| expenses | |||||||
| Other | (1.4 | ) | |||||
| ----- | --- | --- | --- | --- | --- | ------- | --- |
Cost of revenue - Nine Months Ended Cost of revenue - Cost of revenue - Cost of revenue Cost of revenue -
| Net revenue | Software development | ||||||
|---|---|---|---|---|---|---|---|
| December 31, 2024 Product costs Game intangibles - Licenses Internal royalties | |||||||
| costs and royalties | |||||||
| As reported $ 4,051.1 $ 616.0 $ 508.0 $ 241.1 $ 249.3 $ 177.8 | |||||||
| Net effect from deferred | |||||||
| revenue and related cost 15.5 0.3 1.7 (0.5 ) | |||||||
| of revenue | |||||||
| Stock-based | |||||||
| (8.6 | ) | ||||||
| --- | --- | --- | --- | --- | --- | ------- | --- |
| compensation | |||||||
| Amortization and | |||||||
| impairment of acquired | (2.4 | ) (508.0 | ) | ||||
| ---------------------- | --- | ------- | ----------- | ---- | --- | --- | --- |
| intangibles | |||||||
| --- | --- | --- | --- | --- | --- | --- | --- |
| Depreciation | |||||||
| Nine Months Ended Selling and Research and General and Business | |||||||
| and | Interest and other, net | ||||||
| --- | --- | --- | --- | ---- | --- | ------------------------ | --- |
| December 31, 2024 marketing development administrative reorganization | |||||||
| amortization | |||||||
| As reported $ 1,281.6 $ 707.4 $ 653.1 $ 141.6 $ 89.4 $ (75.2 ) | |||||||
| Net effect from deferred | |||||||
| revenue and related cost | 2.0 | ||||||
| ------------------------- | --- | --- | --- | --- | --- | ------ | --- |
| of revenue | |||||||
| Stock-based | |||||||
| (68.1 ) | (75.5 | ) (92.2 | ) | ||||
| --- | ----------- | ----- | ---------- | ---- | --- | --- | --- |
| compensation | |||||||
| Amortization and | |||||||
| impairment of acquired (4.1 ) (21.5 ) (27.4 ) | |||||||
| intangibles | |||||||
| Impact of business | |||||||
| (89.4 | ) | ||||||
| --- | --- | --- | --- | --- | -------- | ---- | --- |
| reorganization | |||||||
| Acquisition related | |||||||
| (0.3 ) | (1.5 | ) (61.9 | ) | 8.2 | |||
| --- | ---------- | ---- | ---------- | ---- | --- | ------ | --- |
| expenses | |||||||
| Other | 13.8 | ||||||
| ----- | --- | --- | --- | --- | --- | ------- | --- |
| TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIES | |||||||
|---|---|---|---|---|---|---|---|
| RECONCILIATION OF GAAP TO NON-GAAP MEASURE | |||||||
| (in millions) | |||||||
| ------------- | --- | --- | --- | --- | --- | --- | --- |
| Three Months Ended December 31, Nine Months Ended December 31, | |||||||
| 2025 | 2024 | 2025 | 2024 | ||||
| -------- | --- | -------- | ------------ | ----------- | ------------ | --- | --- |
| Net loss | $ (92.9 | ) $ (125.2 | ) $ (238.7 | ) $ (752.7 | ) |
Provision for (benefit from) for income taxes 37.1 (27.7 ) 53.6 63.3
| Interest expense | 13.6 | 12.2 | 52.7 | 50.0 | |
|---|---|---|---|---|---|
| Depreciation and amortization 49.1 49.5 148.3 141.6 | |||||
| Amortization of acquired intangibles 167.9 180.0 501.0 536.0 | |||||
| EBITDA | $ 174.8 | $ 88.8 | $ 516.9 | $ 38.2 | |
| -------------------------------------- | -------- | ---------- | ---------- | ---------- | --- |
| Outlook | |||||
| Fiscal Year Ending March 31, 2026 | |||||
| Net loss $(369) to $(338) | |||||
| Provision for income taxes $82 to $75 | |||||
| Interest expense $70 | |||||
| Depreciation $166 | |||||
| Amortization of acquired intangibles $708 | |||||
| EBITDA $657 to $681 | |||||
| -------------------------------------- | --- | --- | --- | --- | --- |
| Outlook | |||||
| Three Months Ended March 31, 2026 | |||||
| Net loss $(129) to $(99) | |||||
| Provision for income taxes $28 to $21 | |||||
| Interest expense $20 | |||||
| Depreciation $41 | |||||
| Amortization of acquired intangibles $178 | |||||
| EBITDA $138 to $161 | |||||
| -------------------- | --- | --- | --- | --- | --- |
View source version on businesswire.com: https://www.businesswire.com/news/home/20260203145448/en/ (Investor Relations) Nicole Shevins Senior Vice President Investor Relations & Corporate Communications Take-Two Interactive Software, Inc. (646) 536-3005 Nicole.Shevins@take2games.com (Corporate Press) Alan Lewis
Head of Global Corporate Communications Take-Two Interactive Software, Inc. (646) 536-2983 Alan.Lewis@take2games.com Source: Take-Two Interactive