Take-Two Reports Increased Quarterly Losses as Ubisoft Metrics Drop

Take-Two Interactive has reported its earnings for the first fiscal quarter of 2027, covering the period from April 1 to June 30, 2026. The company recorded quarterly revenue of $1.53 billion, marking a 2% increase compared to the previous year. Although Take-Two initially forecasted a decline, it managed to slightly increase its revenue. However, net bookings decreased by 3% to $1.39 billion. Recurrent consumer spending, which includes sales of downloadable content, microtransactions, and in-game advertising, accounted for 84% of Take-Two's total revenue.

Mobile games remained the primary revenue source for Take-Two during the quarter, bringing in $762.3 million, though this figure was down 5% year over year. Console games generated $640.5 million, representing a 16% increase, while PC games contributed $131.1 million, down 13%. Despite the revenue rise, Take-Two has not yet achieved profitability. By the end of the quarter, net losses increased by 186% to $34.1 million. The company explained that this increase was partly due to its decision to cease involvement in the development of an unannounced game from a third-party studio.

Take-Two did not disclose specific pre-order levels for Grand Theft Auto VI in its report, but it confirmed that the game is still scheduled for release on November 19, 2026, for PlayStation 5 and Xbox Series X/S. Separately, analysts at Newzoo estimated that pre-orders for Grand Theft Auto VI exceeded $260 million worldwide following their launch on June 25, though Rockstar Games and Take-Two have not officially verified those figures. Updated sales figures from Take-Two indicate that Grand Theft Auto V has reached 230 million copies sold, with the entire series reaching 475 million. Red Dead Redemption 2 reached 87 million copies, and its series totaled 116 million copies. The NBA series reached 175 million copies, and downloads for Rollic Games mobile titles exceeded 3.9 billion.

Meanwhile, Ubisoft also announced its financial results for the April to June 2026 period, marking the first quarter of its current fiscal year. Ubisoft earned a total of €268.2 million, representing a 13.7% drop compared to the previous year. Net bookings fell by 9.2% to €255.8 million, though the company initially anticipated a larger decline. Digital game versions accounted for €206.2 million of the revenue, which is a 17.6% decrease from the prior year. Back-catalog games generated the vast majority of revenue at €221 million, down 15.1% year over year. North America remained Ubisoft's largest market, accounting for 47% of all revenues, while platform distribution breakdown showed 46% from consoles, 27% from PC, and 19% from mobile.

Ubisoft attributed the revenue and booking decreases to a high base effect, noting that the previous year benefited from strong income generated by Assassin's Creed Shadows, whereas the recent quarter lacked releases of that magnitude. Pre-orders for Assassin's Creed Black Flag Resynced brought in €15 million during April to June 2026 ahead of its July launch. Ubisoft also highlighted a record-breaking financial quarter for the mobile game Invincible: Guarding the Globe, driven by the release of the fourth season of the animated series and a new hero addition. Following the earnings report release, Ubisoft shares dropped by 14.18% to close at €4.73 per share on July 23.