Take-Two revenue up $556M in '08, talks '09 plans
Despite what he calls "clearly uncertain and challenging times," Take-Two chairman Strauss Zelnick said during an investor teleconference today that fiscal year 2008 saw the "strongest earnings in our company's history." Specifically, the publisher's revenue for FY08 was $1.5 billion, up from $981.8 million in FY07. Quarterly revenue for Q408 was $323.4M versus $292.6M for Q407.
Zelnick admitted that the company is "experiencing lower than expected holiday sales," adding that it predicts, "significantly reduced sales expectations for the next four months." CEO Ben Feder pointed out that while it is selling well now, Midnight Club: Los Angeles got off to a "slower than expected start."
Feder pointed out that the publisher's Metacritic average across all its titles in FY08 was 80%, saying it was "higher than any other publisher." Looking ahead, he confirmed that "Rockstar has one triple-A title in development which will release in calendar year 2009," but reacted to a question about a possible new GTA in 2010 by saying, "it's way to early to talk about."
Zelnick admitted that the company is "experiencing lower than expected holiday sales," adding that it predicts, "significantly reduced sales expectations for the next four months." CEO Ben Feder pointed out that while it is selling well now, Midnight Club: Los Angeles got off to a "slower than expected start."
Feder pointed out that the publisher's Metacritic average across all its titles in FY08 was 80%, saying it was "higher than any other publisher." Looking ahead, he confirmed that "Rockstar has one triple-A title in development which will release in calendar year 2009," but reacted to a question about a possible new GTA in 2010 by saying, "it's way to early to talk about."
On the topic of Atari's recent acquisition of Cryptic Studios, Feder confirmed that, "We no longer intend to publish the MMO game Champions Online."
While other publishers are closing studios, Feder says that Take-Two is snapping up the cast-off talent. Speaking about the upcoming GTA IV episode, The Lost and Damned, he said that the company is "looking across [its] entire portfolio to determine where DLC makes sense." He concluded by saying that Take-Two sees "emerging opportunities with iPhone," and said of Nintendo: "Our relationship ... has never been stronger. We talk to them all the time."
Overall, Take-Two says it has 36 titles in development for release in FY09, including "second-half titles" BioShock 2 (curiously, still listed as platform "TBA"), Mafia II and its second episodic update for GTA IV – a "majority" of its triple-A titles, as expected, will arrive in Q409.
Reader Comments (Page 1 of 1)
Nick the Hero of Canton @ Dec 17th 2008 5:59PM
As long as they don't fuck up Mafia II, I'll be happy :)
Haggard @ Dec 17th 2008 6:33PM
Agreed. If they market it right and make sure the game shares the awesome atmosphere and story of the original, with updated gameplay then I reckon it's a multiple-million seller.
And I hear that the same guy is writing the story for this one (and the important parts of the team are the same).
Mr Khan @ Dec 17th 2008 6:00PM
Revenue. What about profits? How do they stand in their eternal battle against the stockholders' angst?
pandlcg @ Dec 17th 2008 6:21PM
It closed at about $12 and is down about 20% in the after-market.
If it opens up at $10 tomorrow it'll be worth 40% of what EA offered investors only a couple of months ago.
Way to create shareholder value.
Gavin @ Dec 17th 2008 6:33PM
No one can battle stockholder angst in the current market. No one is as well off as they were 6 months ago and, in some ways, that makes sense. The NYSE was completely off it's rocker and needed a major correction.
Haggard @ Dec 17th 2008 6:34PM
Capitalism: rewarding those who fuck their customers since the dawn of time.
wise_old_bird @ Dec 18th 2008 4:38AM
Such a shame that stock values have nothing at all to do with the worth of a company anymore.
With the great depression and the latest troubles, it should be easy for anyone to understand this fact.
Little Big PSN ID: johnnynumber5 @ Dec 17th 2008 6:33PM
Chinatown wars should be a good barometer about the viability of GTA on a nintendo platform. I would love to see a top down GTA Wii-make.
Haggard @ Dec 17th 2008 6:35PM
Personally I think an updated port of GTA3, VC and SA all on one disc for the Wii would earn a ridiculous amount of money for a very small amount of development effort.
Gavin @ Dec 17th 2008 6:35PM
Any word (rumors?) on the PS3 exclusive they hinted at months back? Anything on LA Noir?
AustinAM @ Dec 17th 2008 6:49PM
"*It's way *too early to talk about."
SoulPatch @ Dec 17th 2008 7:35PM
Nothing on LA Noir? That game looked awesome...about 4 years ago when it was announced. It seems to be turning into the "Alan Wake" of Rockstar.