Take-Two Earnings: Strength in Mobile Titles Balances Softness in Console and PC Gaming

Take-Two Interactive’s fiscal 2025 started well as GAAP revenue and net bookings fell well within the range of guidance. Zynga continues to be critical to overall success, driving 58% of bookings in the quarter. Console and PC platforms struggled to retain players as Grand Theft Auto V and NBA 2K24 near the end of their lifecycles. Console and PC stand to gain heavily from GTA VI, but that title remains at least a year out. Management gave no indication GTA VI was being delayed further, but wouldn’t discuss guidance for 2026 or 2027. Before then, Take-Two has a strong release slate with a new title in nearly every major franchise except for the Red Dead series. We are maintaining our $155 fair value estimate.