GAAP Net Revenue Grew 31% to $1.414 Billion
Non-GAAP Net Revenue was $1.561 Billion
GAAP Net Loss Narrowed to $0.10 Per Diluted Share
Non-GAAP Net Income Was $1.96 Per Diluted Share
NEW YORK--(BUSINESS WIRE)--May 18, 2016--
Take-Two Interactive Software, Inc. (NASDAQ:TTWO) today reported
stronger-than-expected financial results for its fourth quarter and
fiscal year 2016, ended March 31, 2016, and provided its initial
financial outlook for its first quarter and fiscal year 2017.
Fiscal Fourth Quarter 2016
GAAP Financial Results
For fiscal fourth quarter 2016, GAAP net revenue grew to $377.2 million,
as compared to $300.1 million for fiscal fourth quarter 2015. GAAP net
income increased to $46.4 million, or $0.48 per diluted share, as
compared to GAAP net loss of $242.8 million, or $2.99 per diluted share,
for the year-ago period. GAAP net income for fiscal fourth quarter 2016
reflects $14.2 million in tax benefits related to video game development
costs. GAAP net revenue from digitally-delivered content grew 35%
year-over-year to $194.8 million.
During fiscal fourth quarter 2016, the Company’s cash and short-term
investments balance increased to $1.270 billion as of March 31, 2016, up
from $1.215 billion as of December 31, 2015.
Non-GAAP Financial Results
For fiscal fourth quarter 2016, Non-GAAP net revenue was $342.5 million,
as compared to $427.7 million for fiscal fourth quarter 2015, which had
benefited from the launch of Evolve™ and ongoing sales from the
Company’s more extensive holiday 2014 release slate. Non-GAAP net income
was $51.7 million, or $0.46 per diluted share, as compared to $54.3
million, or $0.49 per diluted share, for the year-ago period. Non-GAAP
net income for fiscal fourth quarter 2016 reflects $5.4 million in tax
benefits related to video game development costs.
The largest contributors to Non-GAAP net revenue in fiscal fourth
quarter 2016 were Grand Theft Auto V® and Grand Theft Auto
Online, NBA® 2K16, XCOM® 2 and WWE® 2K16. Non-GAAP net
revenue from digitally-delivered content grew 12% year-over-year to
$226.6 million, led by Grand Theft Auto, NBA 2K, XCOM 2,
and WWE 2K. Revenue from recurrent consumer spending (virtual
currency, downloadable add-on content and online games) grew 15%
year-over-year and accounted for 55% of Non-GAAP net revenue from
digitally-delivered content, or 37% of total Non-GAAP net revenue.
Catalog sales accounted for $211.3 million of Non-GAAP net revenue led
by the Grand Theft Auto and Borderlands series.
Fiscal Year 2016
GAAP Financial Results
For fiscal year 2016, GAAP net revenue increased to $1.414 billion, as
compared to $1.083 billion for fiscal year 2015. GAAP net loss narrowed
to $8.3 million, or $0.10 per diluted share, as compared to $279.5
million, or $3.48 per diluted share, for the prior fiscal year. GAAP net
loss for fiscal year 2016 reflects business reorganization charges of
$71.3 million, partially offset by $37.8 million in tax benefits related
to video game development costs. GAAP net revenue from
digitally-delivered content grew 53% year-over-year to a record $697.7
million
Non-GAAP Financial Results
For fiscal year 2016, Non-GAAP net revenue was $1.561 billion, as
compared to $1.669 billion for fiscal year 2015, which had benefited
from a more extensive release slate. Non-GAAP net income was $218.3
million, or $1.96 per diluted share, as compared to $219.2 million, or
$1.98 per diluted share, for the prior fiscal year. Non-GAAP net income
for fiscal year 2016 reflects $37.6 million in tax benefits related to
video game development costs.
The largest contributors to Non-GAAP net revenue in fiscal year 2016
were Grand Theft Auto V and Grand Theft Auto Online, NBA
2K16, WWE 2K16, NBA 2K15, and XCOM 2. Non-GAAP
net revenue from digitally-delivered content grew 36% year-over-year to
a record $835.2 million, led by Grand Theft Auto, NBA 2K, Borderlands,
XCOM 2 and WWE 2K. Revenue from recurrent consumer
spending grew 33% year-over-year and accounted for 48% of Non-GAAP net
revenue from digitally-delivered content, or 26% of total Non-GAAP net
revenue.
Management Comments
“Fiscal 2016 marked the third consecutive year of stronger-than-expected
Non-GAAP revenues and profits for Take-Two,” said Strauss Zelnick,
Chairman and CEO of Take-Two. “Our results were driven by the continued
extraordinary performance of Grand Theft Auto V, ongoing momentum
in our NBA 2K and WWE 2K series, the successful launch of XCOM
2, and our highest-ever revenue from recurrent consumer spending.
“Fiscal 2017 is poised to be another strong year for Take-Two, with
anticipated Non-GAAP earnings in excess of $1.00 per share. Our diverse
lineup includes the new intellectual property Battleborn, which
we released earlier this month, and the eagerly anticipated
upcoming launches of Mafia III, Sid Meier’s Civilization VI,
NBA 2K17 and WWE 2K17. We plan to support these titles
with innovative offerings designed to promote ongoing engagement and
drive recurrent consumer spending. Looking ahead, we expect to grow
Non-GAAP revenues and earnings in fiscal 2018, based on our robust
development plan that extends well beyond the current fiscal year.
Rockstar Games is of course hard at work on some exciting future
projects that will be revealed soon.”
Business and Product Highlights
Since January 1, 2016:
Rockstar Games:
-
Released new free content updates for Grand Theft Auto Online,
including:
-
A May 3, 2016 update featuring the new ‘In & Out’ Adversary Mode
and more.
-
GTA Online Lowriders: Custom Classics, featuring two new
upgradeable muscle cars plus an additional upgrade style for an
existing lowrider, new weapons, clothing and tattoos, as well as
the “Sumo” Adversary Mode.
-
Grand Theft Auto Online: Be My Valentine, featuring an
updated Albany Roosevelt classic car, new clothes and accessories,
the couples-based “Till Death Do Us Part” Adversary Mode, along
with the return of all content from the previous Valentine's Day
update.
-
A January 28, 2016 update featuring the new “Drop Zone” Adversary
Mode, two new high-end vehicles and additional improvements to Grand
Theft Auto Online.
-
Released Grand Theft Auto: Liberty City Stories for Android
devices. Originally designed with mobile gameplay in mind, Grand
Theft Auto: Liberty City Stories is also available for select iOS
devices.
-
Rockstar Games also is hard at work on some exciting future projects
that will be revealed soon.
2K:
-
Entered into a new multi-year partnership agreement with WWE granting
2K the exclusive worldwide rights to develop and publish WWE video
game properties across all major platforms and distribution channels.
-
Launched Battleborn™, a groundbreaking new title from the
creators of Borderlands at Gearbox Software, on PlayStation 4,
Xbox One and PC. Battleborn is being supported with a rich
array of both free and paid additional content, including a Season
Pass, as well as the free-to-play Battleborn Tap companion App,
which mirrors the game’s progression and loot system.
-
Launched the physical release of Tales from the Borderlands,
the critically acclaimed and award-winning episodic adventure game
from Telltale Games, on PlayStation 4, PlayStation 3, Xbox One, Xbox
360 and PC.
-
Released WWE 2K16 on Windows PC. Developed collaboratively by
Yukes and Visual Concepts, WWE 2K16 is being supported with
downloadable add-on content, including a Season Pass, and is
also available on Xbox One, Xbox 360, PlayStation 4 and PlayStation 3.
-
Launched XCOM 2, the sequel to the Game of the Year
award-winning strategy title XCOM: Enemy Unknown, for PC.
Developed by Firaxis Games, XCOM 2 received outstanding review
scores, with IGN awarding it a 9.3 out of 10 and saying, “XCOM
2 is an amazing game”, along with PC Gamer writing,
“We’ll play this forever,” and awarding it a 94% out of 100%. Game
Informer Magazine also wrote that XCOM 2 is
“one of the deepest and most rewarding strategy games on the market”
and awarded it a 9.5 out of 10. XCOM 2 is being supported with
an array of downloadable add-on content, including the now available Anarchy’s
Children and Alien Hunters packs, adding even more
customization options and replayability.
-
Announced that Sid Meier’s Civilization VI, the next entry in
the award-winning turn-based strategy franchise that has sold-in over
34 million units, is currently in development for PC at Firaxis Games
and planned for launch on October 21, 2016. Sid Meier’s
Civilization VI will offer players new ways to engage with their
world, advance their culture, expand their empire across the map, and
play amongst history’s greatest leaders to build a civilization that
will stand the test of time.
-
Announced that Mafia® III, the next installment in 2K’s
successful organized crime series that is currently in development at
Hangar 13, is planned for launch on October 7, 2016 for Xbox One,
PlayStation 4 and PC. Collector’s, deluxe and standard editions of Mafia
III will be available for all three platforms, and those who
pre-order any edition of Mafia III will receive the Family
Kick-Back, which includes three exclusive vehicles and weapons
available to players at launch.
Financial Outlook for Fiscal 2017
Take-Two is providing its initial financial outlook for its fiscal first
quarter ending June 30, 2016 and fiscal year ending March 31, 2017 as
follows:
|
|
|
|
First Quarter
|
|
Fiscal Year
|
|
|
|
|
Ending 6/30/2016
|
|
Ending 3/31/2017
|
|
|
|
|
|
|
|
|
|
Non-GAAP net revenue
|
|
$225 to $260 Million
|
|
$1.5 to $1.6 Billion
|
|
|
|
|
|
|
|
|
|
Non-GAAP net income (loss) per diluted share (1)
|
|
($0.40) to ($0.30)
|
|
$1.00 to $1.25
|
|
|
|
|
|
|
|
|
|
GAAP to Non-GAAP Reconciling Items (2):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net effect from deferral in net revenues and related cost of
goods sold
|
|
($1.39)
|
|
($3.64)
|
|
|
|
|
|
|
|
|
|
Stock-based compensation expense (3)
|
|
$0.14
|
|
$0.43
|
|
|
|
|
|
|
|
|
|
Non-cash amortization of discount on convertible notes
|
|
$0.05
|
|
$0.14
|
|
|
|
|
|
|
|
|
|
Non-cash tax expense
|
|
$0.01
|
|
$0.00
|
|
|
|
|
|
|
|
1)
|
|
For the fiscal year ending March 31, 2017, our Non-GAAP net income
per diluted share outlook is calculated using the “if-converted”
method as a result of the issuances of our 1.75% Convertible Notes
in November 2011 and 1.00% Convertible Notes in June 2013, and
Non-GAAP diluted net income for the fiscal year is adjusted by
adding-back $4.4 million related to coupon interest and debt
issuance costs, net of tax. Shares used to calculate our Non-GAAP
net income per diluted share outlook are as follows:
|
|
|
|
|
|
|
|
|
|
Weighted average basic shares
|
|
86.5 Million
|
|
92.5 Million
|
|
|
Add: Weighted average participating shares
|
|
-
|
|
2.5 Million
|
|
|
Add: Potential Dilution from convertible notes
|
|
-
|
|
22.0 Million
|
|
|
Total weighted average diluted shares
|
|
86.5 Million
|
|
117.0 Million
|
|
|
|
|
|
|
|
2)
|
|
All GAAP to Non-GAAP reconciling items are net of tax and per
share.
|
3)
|
|
The Company's stock-based compensation expense for the periods
above includes the cost of approximately 0.9 million restricted
stock units previously granted to ZelnickMedia that are subject to
variable accounting. Actual expense to be recorded in connection
with these shares is dependent upon several factors, including
future changes in Take-Two's stock price.
|
|
|
|
|
|
|
|
Key assumptions and dependencies underlying the Company’s financial
outlook include: the timely delivery of the titles included in this
financial outlook; continued consumer acceptance of the Xbox One and
PlayStation 4; the ability to develop and publish products that capture
market share for these new-generation systems while continuing to
leverage opportunities on the Xbox 360, PlayStation 3 and PC; and stable
foreign exchange rates. See also “Cautionary Note Regarding Forward
Looking Statements” below.
Product Releases
The following titles were released since January 1, 2016:
Label
|
|
|
Title
|
|
|
Platforms
|
|
|
Release Date
|
2K
|
|
|
WWE 2K16: Future Stars Pack (DLC)
|
|
|
Xbox 360, Xbox One, PS3, PS4
|
|
|
January 26, 2016
|
2K
|
|
|
XCOM 2
|
|
|
PC, Mac, Linux
|
|
|
February 5, 2016
|
Rockstar Games
|
|
|
Grand Theft Auto: Liberty City Stories
|
|
|
Android
|
|
|
February 11, 2016
|
2K
|
|
|
WWE 2K16: 2015 Hall of Fame Showcase (DLC)
|
|
|
Xbox 360, Xbox One, PS3, PS4
|
|
|
February 23, 2016
|
2K
|
|
|
WWE 2K16
|
|
|
PC
|
|
|
March 11, 2016
|
2K
|
|
|
XCOM 2: Anarchy’s Children (DLC)
|
|
|
PC, Mac, Linux
|
|
|
March 17, 2016
|
2K
|
|
|
XCOM: Enemy Unknown Plus
|
|
|
PlayStation Vita
|
|
|
March 22, 2016
|
2K
|
|
|
Civilization Revolution 2 Plus
|
|
|
PlayStation Vita
|
|
|
March 29, 2016
|
2K
|
|
|
Tales from the Borderlands
|
|
|
Xbox 360, Xbox One, PS3, PS4, PC
|
|
|
April 26, 2016
|
2K
|
|
|
Battleborn
|
|
|
Xbox One, PS4, PC
|
|
|
May 3, 2016
|
2K
|
|
|
Battleborn Tap
|
|
|
iOS, Android
|
|
|
May 3, 2016
|
2K
|
|
|
XCOM 2: Alien Hunters (DLC)
|
|
|
PC
|
|
|
May 12, 2016
|
|
|
|
|
|
|
|
|
|
|
Take-Two's lineup of future titles announced to date includes:
|
|
|
|
|
|
|
|
|
|
|
Label
|
|
|
Title
|
|
|
Platforms
|
|
|
Release Date
|
2K
|
|
|
NBA 2K17
|
|
|
Xbox 360, Xbox One, PS3, PS4, PC
|
|
|
September 2016
|
2K
|
|
|
Mafia III
|
|
|
Xbox One, PS4, PC
|
|
|
October 7, 2016
|
2K
|
|
|
Sid Meier’s Civilization VI
|
|
|
PC
|
|
|
October 21, 2016
|
2K
|
|
|
WWE 2K17
|
|
|
TBA
|
|
|
October 2016
|
|
|
|
|
|
|
|
|
|
|
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 (877) 407-0984 or (201) 689-8577. 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 Measures
In addition to reporting financial results in accordance with U.S.
generally accepted accounting principles (GAAP), the Company uses
Non-GAAP measures of financial performance. The Company believes that
these Non-GAAP financial measures, when taken into consideration with
the corresponding GAAP financial measures, are important in gaining an
understanding of the Company’s ongoing business. These Non-GAAP
financial measures also provide for comparative results from period to
period. Therefore, the Company believes it is appropriate to exclude the
following Non-GAAP items, net of applicable taxes, as discussed below:
-
Net effect from deferral in net revenues and related cost of goods
sold – the Company defers revenue and related costs from the sale
of certain titles when our post-contract customer support obligations
are determined to be significant and we cannot establish fair value
for that deliverable. The Company also defers revenue from the sale of
virtual currency. These amounts are deferred over the estimated
remaining life of the game to which they pertain. As there is no
impact to the Company’s operating cash flow, management excludes the
impact of deferred net revenue and related costs from its Non-GAAP
financial measures when evaluating the Company's operating
performance, when planning, forecasting and analyzing future periods,
and when assessing the performance of its management team. In
addition, we believe that these Non-GAAP financial measures provide a
more timely indication of trends in our business, provide
comparability with the way our business is measured by analysts, and
provide consistency with industry data sources.
-
Stock-based compensation – the Company does not consider
stock-based compensation charges when evaluating business performance
and management does not contemplate stock-based compensation expense
in its short- and long-term operating plans. As a result, the Company
has excluded such expenses from its Non-GAAP financial measures.
-
Business reorganization – although the Company has incurred
business reorganization expenses in the past, each charge relates to a
discrete event based on a unique set of business objectives.
Management does not believe these charges reflect the Company's
primary business, ongoing operating results or future outlook. As
such, the Company believes it is appropriate to exclude these expenses
and related charges from its Non- GAAP financial measures.
-
Non-cash amortization of discount on convertible notes – the
Company records non-cash amortization of discount on convertible notes
as interest expense in addition to the interest expense already
recorded for coupon payments. The Company excludes the non-cash
portion of the interest expense from its Non-GAAP financial measures
because these amounts are unrelated to its ongoing business operations.
-
Non-cash tax expense for the impact of deferred tax liabilities
associated with tax deductible amortization of goodwill – due to
the nature of the adjustment as well as the expectation that it will
not have any cash impact in the foreseeable future, the Company
believes it is appropriate to exclude this expense from its Non-GAAP
financial measures.
-
Gain on long-term investment, net – from time to time, the
Company makes strategic investments. The Company excludes the impact
of any gains and losses on such investments from its Non-GAAP
financial measures.
These Non-GAAP financial measures are not intended to be considered in
isolation from, as a substitute for, or superior to, GAAP results. These
Non-GAAP financial measures 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 the
Non-GAAP financial measures used by the Company. Management believes
that the presentation of these Non-GAAP financial measures provides
investors with additional useful information to measure Take-Two's
financial and operating performance. In particular, the measures
facilitate comparison of operating performance between periods and help
investors to better understand the operating results of Take-Two by
excluding certain items that may not be indicative of the Company's core
business, operating results or future outlook. Internally, management
may use these Non-GAAP financial measures in assessing the company's
operating results and in planning and forecasting. In addition to the
Non-GAAP financial measures provided in this press release, see the
Company’s website for additional information regarding our non-GAAP
results.
Final Results
The financial results discussed herein are presented on a preliminary
basis; final data will be included in Take-Two’s Annual Report on Form
10-K for the fiscal year ended March 31, 2016.
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. The Company develops and publishes
products through its two wholly-owned labels Rockstar Games and 2K. Our
products are designed for console systems and personal computers,
including smartphones and tablets, and are delivered through physical
retail, digital download, online platforms and cloud streaming services.
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 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," "will," or words of similar meaning and include,
but are not limited to, statements regarding the outlook for the
Company's 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: our
dependence on key management and product development personnel, our
dependence on our Grand Theft Auto products and our ability to develop
other hit titles, the timely release and significant market acceptance
of our games, the ability to maintain acceptable pricing levels on our
games, and risks associated with international operations. 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. and SUBSIDIARIES
|
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
|
(in thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended March 31,
|
|
Twelve months ended March 31,
|
|
|
|
2016
|
|
|
|
2015
|
|
|
|
2016
|
|
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net revenue
|
|
$
|
377,206
|
|
|
$
|
300,089
|
|
|
$
|
1,413,698
|
|
|
$
|
1,082,938
|
|
|
|
|
|
|
|
|
|
|
Cost of goods sold:
|
|
|
|
|
|
|
|
|
Internal royalties
|
|
|
72,552
|
|
|
|
271,907
|
|
|
|
328,610
|
|
|
|
306,717
|
|
Software development costs and royalties
|
|
|
71,352
|
|
|
|
86,752
|
|
|
|
223,512
|
|
|
|
231,615
|
|
Product costs
|
|
|
46,554
|
|
|
|
39,389
|
|
|
|
200,206
|
|
|
|
178,810
|
|
Licenses
|
|
|
18,999
|
|
|
|
12,634
|
|
|
|
61,545
|
|
|
|
77,725
|
|
Total cost of goods sold
|
|
|
209,457
|
|
|
|
410,682
|
|
|
|
813,873
|
|
|
|
794,867
|
|
|
|
|
|
|
|
|
|
|
Gross profit (loss)
|
|
|
167,749
|
|
|
|
(110,593
|
)
|
|
|
599,825
|
|
|
|
288,071
|
|
|
|
|
|
|
|
|
|
|
Selling and marketing
|
|
|
38,020
|
|
|
|
52,467
|
|
|
|
198,309
|
|
|
|
235,341
|
|
General and administrative
|
|
|
44,395
|
|
|
|
38,202
|
|
|
|
192,452
|
|
|
|
175,093
|
|
Research and development
|
|
|
33,308
|
|
|
|
35,157
|
|
|
|
119,807
|
|
|
|
115,043
|
|
Business reorganization
|
|
|
113
|
|
|
|
-
|
|
|
|
71,285
|
|
|
|
-
|
|
Depreciation and amortization
|
|
|
7,338
|
|
|
|
5,934
|
|
|
|
28,800
|
|
|
|
21,057
|
|
Total operating expenses
|
|
|
123,174
|
|
|
|
131,760
|
|
|
|
610,653
|
|
|
|
546,534
|
|
Income (loss) from operations
|
|
|
44,575
|
|
|
|
(242,353
|
)
|
|
|
(10,828
|
)
|
|
|
(258,463
|
)
|
Interest and other, net
|
|
|
(6,257
|
)
|
|
|
(7,204
|
)
|
|
|
(30,205
|
)
|
|
|
(31,893
|
)
|
Gain on long-term investments, net
|
|
|
2,683
|
|
|
|
-
|
|
|
|
2,683
|
|
|
|
17,476
|
|
Income (loss) from operations before income taxes
|
|
|
41,001
|
|
|
|
(249,557
|
)
|
|
|
(38,350
|
)
|
|
|
(272,880
|
)
|
(Benefit from) provision for income taxes
|
|
|
(5,398
|
)
|
|
|
(6,766
|
)
|
|
|
(30,048
|
)
|
|
|
6,590
|
|
Net income (loss)
|
|
$
|
46,399
|
|
|
$
|
(242,791
|
)
|
|
$
|
(8,302
|
)
|
|
$
|
(279,470
|
)
|
|
|
|
|
|
|
|
|
|
Earnings (loss) per share:
|
|
|
|
|
|
|
|
|
Basic earnings (loss) per share
|
|
$
|
0.54
|
|
|
$
|
(2.99
|
)
|
|
$
|
(0.10
|
)
|
|
$
|
(3.48
|
)
|
|
|
|
|
|
|
|
|
|
Diluted earnings (loss) per share
|
|
$
|
0.48
|
|
|
$
|
(2.99
|
)
|
|
|
(0.10
|
)
|
|
$
|
(3.48
|
)
|
|
|
|
|
|
|
|
|
|
Weighted average shares outstanding:
|
|
|
|
|
|
|
|
|
Basic
|
|
|
86,375
|
|
|
|
81,085
|
|
|
|
83,417
|
|
|
|
80,367
|
|
Diluted
|
|
|
114,496
|
|
|
|
81,085
|
|
|
|
83,417
|
|
|
|
80,367
|
|
|
|
|
|
|
|
|
|
|
Computation of Basic EPS:
|
|
|
|
|
|
|
|
|
Net income (loss)
|
|
$
|
46,399
|
|
|
$
|
(242,791
|
)
|
|
$
|
(8,302
|
)
|
|
$
|
(279,470
|
)
|
Less: net income allocated to participating securities
|
|
|
(1,447
|
)
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
Net income (loss) for basic EPS calculation
|
|
$
|
44,952
|
|
|
$
|
(242,791
|
)
|
|
$
|
(8,302
|
)
|
|
$
|
(279,470
|
)
|
|
|
|
|
|
|
|
|
|
Weighted average shares outstanding - basic
|
|
|
86,375
|
|
|
|
81,085
|
|
|
$
|
83,417
|
|
|
|
80,367
|
|
Less: weighted average participating shares outstanding
|
|
|
(2,694
|
)
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
Weighted average common shares outstanding - basic
|
|
|
83,681
|
|
|
|
81,085
|
|
|
$
|
83,417
|
|
|
|
80,367
|
|
|
|
|
|
|
|
|
|
|
Basic EPS
|
|
$
|
0.54
|
|
|
$
|
(2.99
|
)
|
|
$
|
(0.10
|
)
|
|
$
|
(3.48
|
)
|
|
|
|
|
|
|
|
|
|
Computation of Diluted EPS:
|
|
|
|
|
|
|
|
|
Net income (loss)
|
|
$
|
46,399
|
|
|
$
|
(242,791
|
)
|
|
$
|
(8,302
|
)
|
|
$
|
(279,470
|
)
|
Less: net income allocated to participating securities
|
|
|
(1,092
|
)
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
Add: interest expense, net of tax, on Convertible Notes
|
|
|
8,172
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
Net income (loss) for diluted EPS calculation
|
|
$
|
53,479
|
|
|
$
|
(242,791
|
)
|
|
$
|
(8,302
|
)
|
|
$
|
(279,470
|
)
|
|
|
|
|
|
|
|
|
|
Weighted average common shares outstanding - basic
|
|
|
83,681
|
|
|
|
81,085
|
|
|
|
83,417
|
|
|
|
80,367
|
|
Add: dilutive effect of common stock equivalents
|
|
|
28,121
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
Weighted average common shares outstanding - diluted
|
|
|
111,802
|
|
|
|
81,085
|
|
|
|
83,417
|
|
|
|
80,367
|
|
|
|
|
|
|
|
|
|
|
Diluted EPS
|
|
$
|
0.48
|
|
|
$
|
(2.99
|
)
|
|
$
|
(0.10
|
)
|
|
$
|
(3.48
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIES
|
CONSOLIDATED BALANCE SHEETS
|
(in thousands, except per share amounts)
|
|
|
|
|
|
|
|
March 31,
|
|
March 31,
|
|
|
|
2016
|
|
|
|
2015
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
Current assets:
|
|
|
|
|
Cash and cash equivalents
|
|
$
|
798,742
|
|
|
$
|
911,120
|
|
Short-term investments
|
|
|
470,820
|
|
|
|
186,929
|
|
Restricted cash
|
|
|
261,169
|
|
|
|
169,678
|
|
Accounts receivable, net of allowances of $45,552 and $70,471 at
March 31, 2016 and
|
|
|
|
|
2015, respectively
|
|
|
168,527
|
|
|
|
217,860
|
|
Inventory
|
|
|
15,888
|
|
|
|
20,051
|
|
Software development costs and licenses
|
|
|
178,387
|
|
|
|
163,385
|
|
Deferred cost of goods sold
|
|
|
98,474
|
|
|
|
56,779
|
|
Prepaid expenses and other
|
|
|
53,269
|
|
|
|
54,057
|
|
Total current assets
|
|
|
2,045,276
|
|
|
|
1,779,859
|
|
|
|
|
|
|
Fixed assets, net
|
|
|
77,127
|
|
|
|
69,792
|
|
Software development costs and licenses, net of current portion
|
|
|
214,831
|
|
|
|
124,329
|
|
Deferred cost of goods sold, net of current portion
|
|
|
17,915
|
|
|
|
19,869
|
|
Goodwill
|
|
|
217,080
|
|
|
|
217,288
|
|
Other intangibles, net
|
|
|
4,609
|
|
|
|
4,769
|
|
Other assets
|
|
|
13,439
|
|
|
|
12,167
|
|
Total assets
|
|
$
|
2,590,277
|
|
|
$
|
2,228,073
|
|
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS' EQUITY
|
|
|
|
|
Current liabilities:
|
|
|
|
|
Accounts payable
|
|
$
|
30,448
|
|
|
$
|
38,789
|
|
Accrued expenses and other current liabilities
|
|
|
607,479
|
|
|
|
444,738
|
|
Deferred revenue
|
|
|
582,484
|
|
|
|
482,733
|
|
Total current liabilities
|
|
|
1,220,411
|
|
|
|
966,260
|
|
|
|
|
|
|
Long-term debt
|
|
|
497,935
|
|
|
|
473,030
|
|
Non-current deferred revenue
|
|
|
216,319
|
|
|
|
164,618
|
|
Other long-term liabilities
|
|
|
74,227
|
|
|
|
61,077
|
|
Total liabilities
|
|
|
2,008,892
|
|
|
|
1,664,985
|
|
Commitments and contingencies
|
|
|
|
|
|
|
|
|
|
Stockholders' equity:
|
|
|
|
|
Preferred stock, $.01 par value, 5,000 shares authorized
|
|
|
-
|
|
|
|
-
|
|
Common stock, $.01 par value, 200,000 shares authorized; 103,765 and
104,594 shares
|
|
|
|
|
issued and 86,573 and 88,356 outstanding at March 31, 2016 and 2015,
respectively
|
|
|
1,038
|
|
|
|
1,046
|
|
Additional paid-in capital
|
|
|
1,088,628
|
|
|
|
1,028,197
|
|
Treasury stock, at cost; 17,192 and 16,238 common shares at March
31, 2016 and 2015, respectively
|
|
|
(303,388
|
)
|
|
|
(276,836
|
)
|
Accumulated deficit
|
|
|
(166,997
|
)
|
|
|
(158,695
|
)
|
Accumulated other comprehensive loss
|
|
|
(37,896
|
)
|
|
|
(30,624
|
)
|
Total stockholders' equity
|
|
|
581,385
|
|
|
|
563,088
|
|
Total liabilities and stockholders' equity
|
|
$
|
2,590,277
|
|
|
$
|
2,228,073
|
|
|
|
|
|
|
|
|
|
|
|
TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIES
|
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)
|
(in thousands)
|
|
|
Twelve months ended March 31,
|
|
|
|
2016
|
|
|
|
2015
|
|
|
|
|
|
|
Operating activities:
|
|
|
|
|
Net loss
|
|
$
|
(8,302
|
)
|
|
$
|
(279,470
|
)
|
|
|
|
|
|
Adjustments to reconcile net loss to net cash provided by operating
activities:
|
|
|
|
|
Amortization and impairment of software development costs and
licenses
|
|
|
134,472
|
|
|
|
133,453
|
|
Depreciation and amortization
|
|
|
28,800
|
|
|
|
21,057
|
|
Amortization and impairment of intellectual property
|
|
|
160
|
|
|
|
344
|
|
Stock-based compensation
|
|
|
69,996
|
|
|
|
65,246
|
|
Deferred income taxes
|
|
|
(270
|
)
|
|
|
2,279
|
|
Amortization of discount on Convertible Notes
|
|
|
23,457
|
|
|
|
22,026
|
|
Amortization of debt issuance costs
|
|
|
1,567
|
|
|
|
1,663
|
|
Gain on of long-term investments, net
|
|
|
(2,683
|
)
|
|
|
(17,476
|
)
|
Other, net
|
|
|
2,588
|
|
|
|
2,068
|
|
Changes in assets and liabilities:
|
|
|
|
|
Restricted cash
|
|
|
(91,491
|
)
|
|
|
24,161
|
|
Accounts receivable
|
|
|
49,348
|
|
|
|
(164,717
|
)
|
Inventory
|
|
|
3,809
|
|
|
|
9,729
|
|
Software development costs and licenses
|
|
|
(219,217
|
)
|
|
|
(188,772
|
)
|
Prepaid expenses, other current and other non-current assets
|
|
|
(12,272
|
)
|
|
|
5,398
|
|
Deferred revenue
|
|
|
152,325
|
|
|
|
568,028
|
|
Deferred cost of goods sold
|
|
|
(41,144
|
)
|
|
|
(70,788
|
)
|
Accounts payable, accrued expenses and other liabilities
|
|
|
170,162
|
|
|
|
78,585
|
|
Net cash provided by operating activities
|
|
|
261,305
|
|
|
|
212,814
|
|
|
|
|
|
|
Investing activities:
|
|
|
|
|
Change in bank time deposits
|
|
|
(182,383
|
)
|
|
|
(87,500
|
)
|
Purchase of fixed assets
|
|
|
(37,280
|
)
|
|
|
(49,501
|
)
|
Sale and maturities of available for sale securities
|
|
|
43,314
|
|
|
|
-
|
|
Purchase of available for sale securities
|
|
|
(150,501
|
)
|
|
|
(100,116
|
)
|
Cash received from the sale of long-term investment
|
|
|
2,683
|
|
|
|
21,976
|
|
Purchase of long-term investment
|
|
|
-
|
|
|
|
(5,000
|
)
|
Other
|
|
|
(349
|
)
|
|
|
-
|
|
Net cash used in investing activities
|
|
|
(324,516
|
)
|
|
|
(220,141
|
)
|
|
|
|
|
|
Financing activities:
|
|
|
|
|
Excess tax benefit from stock-based compensation
|
|
|
1,421
|
|
|
|
928
|
|
Tax payment related to net share settlements on restricted stock
awards
|
|
|
(22,916
|
)
|
|
|
-
|
|
Repurchase of common stock
|
|
|
(26,552
|
)
|
|
|
-
|
|
Net cash (used in) provided by financing activities
|
|
|
(48,047
|
)
|
|
|
928
|
|
|
|
|
|
|
Effects of foreign exchange rates on cash and cash equivalents
|
|
|
(1,120
|
)
|
|
|
(17,881
|
)
|
|
|
|
|
|
Net decrease in cash and cash equivalents
|
|
|
(112,378
|
)
|
|
|
(24,280
|
)
|
Cash and cash equivalents, beginning of year
|
|
|
911,120
|
|
|
|
935,400
|
|
Cash and cash equivalents, end of period
|
|
$
|
798,742
|
|
|
$
|
911,120
|
|
|
|
|
|
|
|
|
|
|
|
|
TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIES
|
|
RECONCILIATION OF GAAP TO Non-GAAP MEASURES (Unaudited)
|
|
|
|
|
|
|
(in thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended March 31,
|
|
Twelve months ended March 31,
|
|
|
|
|
|
|
|
2016
|
|
|
|
2015
|
|
|
|
2016
|
|
|
|
2015
|
|
Net Revenues
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Net Revenues
|
|
$
|
377,206
|
|
|
$
|
300,089
|
|
|
$
|
1,413,698
|
|
|
$
|
1,082,938
|
|
|
|
|
Net effect from deferral in net revenues
|
|
|
(34,694
|
)
|
|
|
127,647
|
|
|
|
146,928
|
|
|
|
585,827
|
|
|
Non-GAAP Net Revenues
|
|
$
|
342,512
|
|
|
$
|
427,736
|
|
|
|
1,560,626
|
|
|
$
|
1,668,765
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Digital Online Revenues (included in Net Revenues above)
|
|
|
|
|
|
|
|
|
|
GAAP Digital Online Revenues
|
|
$
|
194,798
|
|
|
$
|
144,612
|
|
|
$
|
697,658
|
|
|
$
|
455,299
|
|
|
|
|
Net effect from deferral in digital online revenues
|
|
|
31,829
|
|
|
|
57,920
|
|
|
|
137,563
|
|
|
|
160,675
|
|
|
Non-GAAP Digital Online Revenues
|
|
$
|
226,627
|
|
|
$
|
202,532
|
|
|
$
|
835,221
|
|
|
$
|
615,974
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross Profit
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Gross Profit
|
|
$
|
167,749
|
|
|
$
|
(110,593
|
)
|
|
$
|
599,825
|
|
|
$
|
288,071
|
|
|
|
|
Net effect from deferral in net revenues and related cost of goods
sold
|
|
|
(11,043
|
)
|
|
|
309,026
|
|
|
|
106,531
|
|
|
|
502,565
|
|
|
|
|
Stock-based compensation
|
|
|
2,388
|
|
|
|
6,059
|
|
|
|
15,323
|
|
|
|
17,121
|
|
|
Non-GAAP Gross Profit
|
|
|
159,094
|
|
|
$
|
204,492
|
|
|
$
|
721,679
|
|
|
$
|
807,757
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (Loss) from Operations
|
|
|
|
|
|
|
|
|
|
GAAP Income (Loss) from Operations
|
|
$
|
44,575
|
|
|
$
|
(242,353
|
)
|
|
$
|
(10,828
|
)
|
|
$
|
(258,463
|
)
|
|
|
|
Net effect from deferral in net revenues and related cost of goods
sold
|
|
|
(11,043
|
)
|
|
|
309,026
|
|
|
|
106,531
|
|
|
|
502,565
|
|
|
|
|
Stock-based compensation
|
|
|
15,852
|
|
|
|
12,772
|
|
|
|
69,996
|
|
|
|
65,246
|
|
|
|
|
Impact of business reorganization
|
|
|
113
|
|
|
|
-
|
|
|
|
72,513
|
|
|
|
195
|
|
|
Non-GAAP Income from Operations
|
|
$
|
49,497
|
|
|
$
|
79,445
|
|
|
$
|
238,212
|
|
|
$
|
309,543
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income (Loss)
|
|
|
|
|
|
|
|
|
|
GAAP Net Income (Loss)
|
|
$
|
46,399
|
|
|
$
|
(242,791
|
)
|
|
$
|
(8,302
|
)
|
|
$
|
(279,470
|
)
|
|
|
|
Net effect from deferral in net revenues and related cost of goods
sold
|
|
|
(9,529
|
)
|
|
|
279,554
|
|
|
|
92,370
|
|
|
|
451,749
|
|
|
|
|
Stock-based compensation
|
|
|
13,109
|
|
|
|
11,450
|
|
|
|
48,061
|
|
|
|
36,206
|
|
|
|
|
Gain on long-term investments, net
|
|
|
(2,683
|
)
|
|
|
-
|
|
|
|
(2,683
|
)
|
|
|
(9,999
|
)
|
|
|
|
Impact of business reorganization
|
|
|
113
|
|
|
|
-
|
|
|
|
72,513
|
|
|
|
156
|
|
|
|
|
Non-cash amortization of discount on Convertible Notes
|
|
|
4,061
|
|
|
|
5,806
|
|
|
|
15,043
|
|
|
|
18,933
|
|
|
|
|
Non-cash tax expense
|
|
|
245
|
|
|
|
265
|
|
|
|
1,296
|
|
|
|
1,669
|
|
|
Non-GAAP Net Income
|
|
$
|
51,715
|
|
|
$
|
54,284
|
|
|
$
|
218,298
|
|
|
$
|
219,244
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted Earnings (Loss) Per Share
|
|
|
|
|
|
|
|
|
|
GAAP earnings (loss) per share
|
|
$
|
0.48
|
|
|
$
|
(2.99
|
)
|
|
$
|
(0.10
|
)
|
|
$
|
(3.48
|
)
|
|
Non-GAAP earnings per share
|
|
$
|
0.46
|
|
|
$
|
0.49
|
|
|
$
|
1.96
|
|
|
$
|
1.98
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of diluted shares used in computation
|
|
|
|
|
|
|
|
|
|
|
|
GAAP
|
|
|
114,496
|
|
|
|
81,085
|
|
|
|
83,417
|
|
|
|
80,367
|
|
|
|
|
Non-GAAP
|
|
|
114,496
|
|
|
|
114,034
|
|
|
|
114,161
|
|
|
|
113,951
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Computation of Diluted GAAP EPS:
|
|
|
|
|
|
|
|
|
|
Net income (loss)
|
|
$
|
46,399
|
|
|
$
|
(242,791
|
)
|
|
$
|
(8,302
|
)
|
|
$
|
(279,470
|
)
|
|
|
Less: net income allocated to participating securities
|
|
|
(1,092
|
)
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
Add: interest expense, net of tax, on Convertible Notes
|
|
|
8,172
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
|
Net income (loss) for diluted EPS calculation
|
|
$
|
53,479
|
|
|
$
|
(242,791
|
)
|
|
$
|
(8,302
|
)
|
|
$
|
(279,470
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average shares outstanding - basic
|
|
|
86,375
|
|
|
|
81,085
|
|
|
|
83,417
|
|
|
|
80,367
|
|
|
|
Add: dilutive effect of common stock equivalents
|
|
|
28,121
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
|
Total weighted average shares outstanding - diluted
|
|
|
114,496
|
|
|
|
81,085
|
|
|
|
83,417
|
|
|
|
80,367
|
|
|
|
Less: weighted average participating shares outstanding
|
|
|
(2,694
|
)
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
|
Weighted average common shares outstanding - diluted
|
|
|
111,802
|
|
|
|
81,085
|
|
|
|
83,417
|
|
|
|
80,367
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings (loss) per share
|
|
$
|
0.48
|
|
|
$
|
(2.99
|
)
|
|
$
|
(0.10
|
)
|
|
$
|
(3.48
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Computation of Diluted Non-GAAP EPS:
|
|
|
|
|
|
|
|
|
|
Non-GAAP net income
|
|
$
|
51,715
|
|
|
$
|
54,284
|
|
|
$
|
218,298
|
|
|
$
|
219,244
|
|
|
|
Less: net income allocated to participating securities
|
|
|
(1,217
|
)
|
|
|
(3,091
|
)
|
|
|
(7,146
|
)
|
|
|
(13,716
|
)
|
|
|
Add: interest expense, net of tax, on Convertible Notes
|
|
|
1,390
|
|
|
|
1,375
|
|
|
|
5,579
|
|
|
|
5,515
|
|
|
|
|
Net income for diluted earnings per share calculation
|
|
$
|
51,888
|
|
|
$
|
52,568
|
|
|
$
|
216,731
|
|
|
$
|
211,043
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average shares outstanding - basic
|
|
|
86,375
|
|
|
|
87,579
|
|
|
|
87,154
|
|
|
|
87,496
|
|
|
|
Add: dilutive effect of common stock equivalents
|
|
|
28,121
|
|
|
|
26,455
|
|
|
|
27,007
|
|
|
|
26,455
|
|
|
|
|
Total weighted average shares outstanding - diluted
|
|
|
114,496
|
|
|
|
114,034
|
|
|
|
114,161
|
|
|
|
113,951
|
|
|
|
Less: weighted average participating shares outstanding
|
|
|
(2,694
|
)
|
|
|
(6,494
|
)
|
|
|
(3,737
|
)
|
|
|
(7,129
|
)
|
|
|
|
Weighted average common shares outstanding - diluted
|
|
|
111,802
|
|
|
|
107,540
|
|
|
|
110,424
|
|
|
|
106,822
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per share
|
|
$
|
0.46
|
|
|
$
|
0.49
|
|
|
$
|
1.96
|
|
|
$
|
1.98
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIES
|
Net Revenue by Geographic Region, Distribution Channel, and
Platform Mix
|
(in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31, 2016
|
|
Three Months Ended
March 31, 2015
|
|
|
|
|
Amount
|
|
% of Total
|
|
Amount
|
|
% of Total
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Net Revenues by Geographic Region
|
|
|
|
|
|
|
|
|
|
|
United States
|
|
|
|
$
|
196,037
|
|
|
52
|
%
|
|
$
|
164,657
|
|
55
|
%
|
International
|
|
|
|
|
181,169
|
|
|
48
|
%
|
|
|
135,432
|
|
45
|
%
|
Total GAAP net revenues
|
|
|
|
|
377,206
|
|
|
100
|
%
|
|
|
300,089
|
|
100
|
%
|
|
|
|
|
|
|
|
|
|
|
|
Change in Deferred Net Revenues
|
|
|
|
|
|
|
|
|
|
|
United States
|
|
|
|
$
|
(4,159
|
)
|
|
|
|
$
|
61,941
|
|
|
International
|
|
|
|
|
(30,535
|
)
|
|
|
|
|
65,706
|
|
|
Total changes in deferred net revenues
|
|
|
|
|
(34,694
|
)
|
|
|
|
|
127,647
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Net Revenues by Geographic Region
|
|
|
|
|
|
|
|
|
|
|
United States
|
|
|
|
$
|
191,878
|
|
|
56
|
%
|
|
$
|
226,598
|
|
53
|
%
|
International
|
|
|
|
|
150,634
|
|
|
44
|
%
|
|
|
201,138
|
|
47
|
%
|
Total non-GAAP net revenues
|
|
|
|
$
|
342,512
|
|
|
100
|
%
|
|
$
|
427,736
|
|
100
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31, 2016
|
|
Three Months Ended
March 31, 2015
|
|
|
|
|
Amount
|
|
% of Total
|
|
Amount
|
|
% of Total
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Net Revenues by Distribution Channel
|
|
|
|
|
|
|
|
|
|
|
Physical retail and other
|
|
|
|
$
|
182,408
|
|
|
48
|
%
|
|
$
|
155,477
|
|
52
|
%
|
Digital online
|
|
|
|
|
194,798
|
|
|
52
|
%
|
|
|
144,612
|
|
48
|
%
|
Total GAAP net revenues
|
|
|
|
|
377,206
|
|
|
100
|
%
|
|
|
300,089
|
|
100
|
%
|
|
|
|
|
|
|
|
|
|
|
|
Change in Deferred Net Revenues
|
|
|
|
|
|
|
|
|
|
|
Physical retail and other
|
|
|
|
$
|
(66,523
|
)
|
|
|
|
$
|
69,727
|
|
|
Digital online
|
|
|
|
|
31,829
|
|
|
|
|
|
57,920
|
|
|
Total changes in deferred net revenues
|
|
|
|
|
(34,694
|
)
|
|
|
|
|
127,647
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Net Revenues by Distribution Channel
|
|
|
|
|
|
|
|
|
|
|
Physical retail and other
|
|
|
|
$
|
115,885
|
|
|
34
|
%
|
|
$
|
225,204
|
|
53
|
%
|
Digital online
|
|
|
|
|
226,627
|
|
|
66
|
%
|
|
|
202,532
|
|
47
|
%
|
Total non-GAAP net revenues
|
|
|
|
$
|
342,512
|
|
|
100
|
%
|
|
$
|
427,736
|
|
100
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31, 2016
|
|
Three Months Ended
March 31, 2015
|
|
|
|
|
Amount
|
|
% of Total
|
|
Amount
|
|
% of Total
|
GAAP Net Revenues by Platform Mix
|
|
|
|
|
|
|
|
|
|
|
Console
|
|
|
|
$
|
288,785
|
|
|
77
|
%
|
|
$
|
260,969
|
|
87
|
%
|
PC and other
|
|
|
|
|
88,421
|
|
|
23
|
%
|
|
|
39,120
|
|
13
|
%
|
Total GAAP net revenues
|
|
|
|
|
377,206
|
|
|
100
|
%
|
|
|
300,089
|
|
100
|
%
|
|
|
|
|
|
|
|
|
|
|
|
Change in Deferred Net Revenues
|
|
|
|
|
|
|
|
|
|
|
Console
|
|
|
|
$
|
(30,253
|
)
|
|
|
|
$
|
114,171
|
|
|
PC and other
|
|
|
|
|
(4,441
|
)
|
|
|
|
|
13,476
|
|
|
Total changes in deferred net revenues
|
|
|
|
|
(34,694
|
)
|
|
|
|
|
127,647
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Net Revenues by Platform Mix
|
|
|
|
|
|
|
|
|
|
|
Console
|
|
|
|
$
|
258,532
|
|
|
75
|
%
|
|
$
|
375,140
|
|
88
|
%
|
PC and other
|
|
|
|
|
83,980
|
|
|
25
|
%
|
|
|
52,596
|
|
12
|
%
|
Total non-GAAP net revenues
|
|
|
|
$
|
342,512
|
|
|
100
|
%
|
|
$
|
427,736
|
|
100
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIES
|
Net Revenue by Geographic Region, Distribution Channel, and
Platform Mix
|
(in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended
March 31, 2016
|
|
Twelve Months Ended
March 31, 2015
|
|
|
|
|
Amount
|
|
% of Total
|
|
Amount
|
|
% of Total
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Net Revenues by Geographic Region
|
|
|
|
|
|
|
|
|
|
|
United States
|
|
|
|
$
|
742,963
|
|
53
|
%
|
|
$
|
623,080
|
|
58
|
%
|
International
|
|
|
|
|
670,735
|
|
47
|
%
|
|
|
459,858
|
|
42
|
%
|
Total GAAP net revenues
|
|
|
|
|
1,413,698
|
|
100
|
%
|
|
|
1,082,938
|
|
100
|
%
|
|
|
|
|
|
|
|
|
|
|
|
Change in Deferred Net Revenues
|
|
|
|
|
|
|
|
|
|
|
United States
|
|
|
|
$
|
97,770
|
|
|
|
$
|
269,349
|
|
|
International
|
|
|
|
|
49,158
|
|
|
|
|
316,478
|
|
|
Total changes in deferred net revenues
|
|
|
|
|
146,928
|
|
|
|
|
585,827
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Net Revenues by Geographic Region
|
|
|
|
|
|
|
|
|
|
|
United States
|
|
|
|
$
|
840,733
|
|
54
|
%
|
|
$
|
892,429
|
|
53
|
%
|
International
|
|
|
|
|
719,893
|
|
46
|
%
|
|
|
776,336
|
|
47
|
%
|
Total non-GAAP net revenues
|
|
|
|
$
|
1,560,626
|
|
100
|
%
|
|
$
|
1,668,765
|
|
100
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended
March 31, 2016
|
|
Twelve Months Ended
March 31, 2015
|
|
|
|
|
Amount
|
|
% of Total
|
|
Amount
|
|
% of Total
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Net Revenues by Distribution Channel
|
|
|
|
|
|
|
|
|
|
|
Physical retail and other
|
|
|
|
$
|
716,040
|
|
51
|
%
|
|
$
|
627,639
|
|
58
|
%
|
Digital online
|
|
|
|
|
697,658
|
|
49
|
%
|
|
|
455,299
|
|
42
|
%
|
Total GAAP net revenues
|
|
|
|
|
1,413,698
|
|
100
|
%
|
|
|
1,082,938
|
|
100
|
%
|
|
|
|
|
|
|
|
|
|
|
|
Change in Deferred Net Revenues
|
|
|
|
|
|
|
|
|
|
|
Physical retail and other
|
|
|
|
$
|
9,365
|
|
|
|
$
|
425,152
|
|
|
Digital online
|
|
|
|
|
137,563
|
|
|
|
|
160,675
|
|
|
Total changes in deferred net revenues
|
|
|
|
|
146,928
|
|
|
|
|
585,827
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Net Revenues by Distribution Channel
|
|
|
|
|
|
|
|
|
|
|
Physical retail and other
|
|
|
|
$
|
725,405
|
|
46
|
%
|
|
$
|
1,052,791
|
|
63
|
%
|
Digital online
|
|
|
|
|
835,221
|
|
54
|
%
|
|
|
615,974
|
|
37
|
%
|
Total non-GAAP net revenues
|
|
|
|
$
|
1,560,626
|
|
100
|
%
|
|
$
|
1,668,765
|
|
100
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended
March 31, 2016
|
|
Twelve Months Ended
March 31, 2015
|
|
|
|
|
Amount
|
|
% of Total
|
|
Amount
|
|
% of Total
|
GAAP Net Revenues by Platform Mix
|
|
|
|
|
|
|
|
|
|
|
Console
|
|
|
|
$
|
1,167,623
|
|
83
|
%
|
|
$
|
881,516
|
|
81
|
%
|
PC and other
|
|
|
|
|
246,075
|
|
17
|
%
|
|
|
201,422
|
|
19
|
%
|
Total GAAP net revenues
|
|
|
|
|
1,413,698
|
|
100
|
%
|
|
|
1,082,938
|
|
100
|
%
|
|
|
|
|
|
|
|
|
|
|
|
Change in Deferred Net Revenues
|
|
|
|
|
|
|
|
|
|
|
Console
|
|
|
|
$
|
12,687
|
|
|
|
$
|
564,794
|
|
|
PC and other
|
|
|
|
|
134,241
|
|
|
|
|
21,033
|
|
|
Total changes in deferred net revenues
|
|
|
|
|
146,928
|
|
|
|
|
585,827
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Net Revenues by Platform Mix
|
|
|
|
|
|
|
|
|
|
|
Console
|
|
|
|
$
|
1,180,310
|
|
76
|
%
|
|
$
|
1,446,310
|
|
87
|
%
|
PC and other
|
|
|
|
|
380,316
|
|
24
|
%
|
|
|
222,455
|
|
13
|
%
|
Total non-GAAP net revenues
|
|
|
|
$
|
1,560,626
|
|
100
|
%
|
|
$
|
1,668,765
|
|
100
|
%
|
View source version on businesswire.com: http://www.businesswire.com/news/home/20160518006179/en/
Source: Take-Two Interactive
Take-Two Interactive Software, Inc. Investor Relations: Henry
A. Diamond, 646-536-3005 Senior Vice President Investor
Relations & Corporate Communications Henry.Diamond@take2games.com or Corporate
Press: Alan Lewis, 646-536-2983 Vice President Corporate
Communications & Public Affairs Alan.Lewis@take2games.com
|