Take-Two Interactive Software FY2026 Q4 Earnings Release

TAKE -TWO INTERACTIVE
SOFTWARE, INC.
(NASDAQ: TTWO)
FOURTH QUARTER AND FISCAL 2026 RESULTS &
GUIDANCE SUMMARY

CAUTIONARY NOTE:
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 word s such as “anticipates,” “believes,” “estimates,”
“expects,” “intends,” “plans,” “potential,” “predicts,” “projects,” “seeks,” “should,” “will,” or words of similar meaning an d i nclude, 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 o ur management as well as assumptions made by and
information currently available to them, which are subject to inherent uncertainties, risks, and changes in circumstances tha t a re 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 imp act 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 e xchange 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 t o m aintain 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 ris ks 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.
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Q4 FY 2026 RESULTS SUMMARY:
GAAP
FINANCIAL SUMMARY ($ in millions, except EPS)
Q 4
ACTUAL GUID ANCE
GAAP Net Revenue $ 1 , 6 8 0 $ 1 , 5 7 3 T O $ 1 , 6 2 3
Operating Expenses $928 $ 9 7 3 T O $ 9 8 3
GAAP Net Loss $(60) $(129) TO $(99)
GAAP EPS $ ( 0 . 3 2 ) $ ( 0 . 7 0 ) T O $ ( 0 . 5 4 )
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Q4 FY 2026 RESULTS SUMMARY:
SELECT MANAGEMENT AND OPERATING RESULTS
4
• Our Q4 Net Bookings were above the high end of our guidance range:
o Reflected better -than -expected performance from the Grand Theft
Auto series, several mobile titles, and the Red Dead Redemption
series
o During the quarter, we launched Sid Meier’s Civilization VII for Apple
Arcade, PGA TOUR 2K25 for Switch 2, and WWE 2K26
• RCS rose 7% for the period and was in -line with our guidance:
o NBA 2K grew 10%;
o Mobile increased 7%; and
o Grand Theft Auto Online rose 5%
SELECT FINANCIAL DATA ($ in millions)
Q4
ACTUAL GUID ANCE
Net Bookings $1,580 $1,510 TO $1,560
Recurrent Consumer Spending Growth
(RCS)
+7% +7%

FY 2026 RESULTS SUMMARY:
GAAP
FINANCIAL SUMMARY ($ in millions, except EPS)
FY 2026
ACTUAL GUID ANCE
GAAP Net Revenue $ 6 , 6 5 6 $ 6 , 5 5 0 T O $ 6 , 6 6 0
Operating Expenses $ 3 , 9 1 4 $ 3 , 9 5 9 T O $ 3 , 9 6 9
GAAP Net Loss $(298) $(369) TO $(338)
GAAP EPS $ ( 1 . 6 2 ) $ ( 2 . 0 0 ) T O $ ( 1 . 8 4 )
5

FY2026 RESULTS SUMMARY:
SELECT MANAGEMENT AND OPERATING RESULTS
6
• Net Bookings were above the high end of our guidance range and
exceeded our initial May 2025 outlook by approximately $750 million
• Recurrent consumer spending grew 17% and vastly exceeded our initial
May outlook:
o NBA 2K grew over 30%;
o Mobile increased 13%; and
o Grand Theft Auto Online increased 6%
SELECT FINANCIAL DATA ($ in millions)
FY2026
ACTUAL GUID ANCE
Net Bookings $6,721 $6,650 TO $6,700
Recurrent Consumer Spending Growth
(RCS)
+17% +17%

NET REVENUE
AND NET BOOKINGS
$5,648
$6,721
$8,000 – $8,200
$5,457
$6,528
FY25 FY26E FY27E
Recurrent Consumer Spending Physical & Other Digital
80% of
Total
78% of
Total $191
$193 65% of
Total
$1,581 $1,580
$1,529
$1,540
Q4 FY25 Q4 FY26 Recurrent Consumer Spending Physical & Other Digital
77% of
Total
82% of
Total
$45
$53 $40
GAAP Net Revenue
Net Bookings (Operational Metric)
$ in Millions
$684
$400
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$1,583 $1,680
$1,526
$1,636
Q4 FY25 Q4 FY26 Recurrent Consumer Spending Physical & Other Digital
76% of
Total
81% of
Total $57 $44
$ in Millions
$5,634
$6,656
$7,900 – $8,100
$5,432
$6,460
FY25 FY26E FY27E
Recurrent Consumer Spending Physical & Other Digital
79% of
Total
78% of
Total $202
$197

CASH FLOW
-$45
$624
OVER
$1,000
$169 $163 $200
FY25 FY26 FY27E
Net Cash From Operating Activities Capital Expenditures
Net Cash From Operating Activities
$ in Millions

FY 2027 GUIDANCE:
GAAP
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FISCAL YEAR 2027 GUIDANCE ($ in millions, except EPS)
FY 2027 GUIDANCE
GAAP Net Revenue $7,900 TO $8,100
Operating Expenses $4,180 TO $4,200
GAAP Net Income $105 TO $141
GAAP EPS $0.55 TO $0.75

FY 2027 GUIDANCE:
SELECT FINANCIAL DATA
10
FISCAL YEAR 2027 GUIDANCE ($ in millions, except EPS)
FY 2027
CURRENT GUIDANCE
($ IN MILLIONS)
Net Bookings $8,000 TO $8,200
Recurrent Consumer Spending Growth
(RCS)
Flat YOY
• We project Net Bookings to range from $8 to $8.2 billion, which represents 20% growth over Fiscal
2026 at the midpoint, primarily driven by the launch of Grand Theft Auto VI on November 19 th,
along with successful execution across our entire portfolio
• We expect RCS to be flat compared to Fiscal 2026, assuming:
o NBA 2K is up high single -digits;
o The Grand Theft Auto series is up ; and
o Mobile is down , due to last year’s success of Color Block Jam , and our assumption that
trends will moderate for several of Zynga’s mature mobile titles
• We are forecasting Operating Cash Flow in excess of $1 billion
• We expect to sustain this higher level of scale and generate strong cash flows well into the future as
we release our robust, long -term development pipeline and capitalize on new opportunities across
our highly established, multi -faceted business

Q1 FY2027 GUIDANCE:
GAAP
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Q1 FISCAL 2027 GUIDANCE ($ in millions, except EPS)
Q1 FY27 GUIDANCE
GAAP Net Revenue $1,450 TO $1,500
Operating Expenses $926 TO $936
GAAP Net Loss $(42) TO $(27)
GAAP EPS $(0.23) TO $(0.15)

Q1 FY2027 GUIDANCE:
SELECT FINANCIAL DATA
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Q1 FISCAL 2027 GUIDANCE ($ in millions, except EPS)
• We expect to deliver Net Bookings of $1.32 billion to $1.37 billion
• We project RCS to decrease by approximately 3%, which assumes:
o High single -digit growth for NBA 2K;
o Declines for mobile and the Grand Theft Auto series
Q1 FY2027 GUIDANCE
($ IN MILLIONS)
Net Bookings $1,320 TO $1,370
Recurrent Consumer Spending Growth
(RCS)
-3% YOY

FY27 -FY29 PIPELINE DETAILS
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* FY27 -29 release estimates provided as of May 21, 2026.
** Several changes have been made from the prior count provided in May 2025: 1) New title categories are provided on Slide 27 ; 2) in the interest of precision, we are now only counting mobile games in our pipeline that have been specifically scheduled for worldwide launch within the three -year window; and 3) small platform extensions are no longer included in the coun t.
These titles are a snapshot of our current development pipeline. It is likely that some of these titles will not be develope d through completion, that launch timing may change, and that we will also be adding new titles to our slate.

PIPELINE DEFINITIONS
Any title released on a mobile platform. In the interest of precision, we are now only counting mobile games in our pipeline tha t have been
specifically scheduled for worldwide launch within the three -year window. Excludes hyper -casual games.
MOBILE
All sports titles.
SPORTS
New core IP releases.
CORE NEW IP
Sequels/prequels, complete remakes, and major platform extensions.
CORE EXISTING IP

NON -GAAP FINANCIAL MEASURE
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In addition to reporting financial results in accordance with U.S. generally accepted accounting principles (GAAP), the Compa ny uses a Non -GAAP
measure of financial performance: EBITDA, which is defined as GAAP net income (loss) excluding interest income (expense), pro vis ion for (benefit
from) income taxes, depreciation expense, and amortization and impairment of acquired intangibles. The Company is no longer r epo rting Adjusted
Unrestricted Operating Cash Flow, as certain cash that was previously restricted is no longer required to be restricted.
The Company’s management believes it is important to consider EBITDA, in addition to net income, as it removes the effect of cer tain non -cash
expenses, debt -related charges, and income taxes. Management believes that, when considered together with reported amounts, EBIT DA is useful
to investors and management in understanding the Company’s ongoing operations and in analysis of ongoing operating trends and pr ovides 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 re sults. This Non -GAAP
financial measure may be different from similarly titled measures used by other companies. In the future, Take -Two may also cons ider whether other
items should also be excluded in calculating this Non -GAAP financial measure used by the Company. Management believes that the p resentation of
this Non -GAAP financial measure provides investors with additional useful information to measure Take -Two’s financial and operat ing performance.
In particular, this measure facilitates comparison of our operating performance between periods and may help investors to und ers tand 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 i n the financial
tables to this press release.

RECONCILIATION OF GAAP TO NON -GAAP MEASURE
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TAKE -TWO INTERACTIVE SOFTWARE, INC. AND SUBSIDIARIES RECONCILIATION OF GAAP TO NON -GAAP
MEASURE
(in millions)

RECONCILIATION OF GAAP TO NON -GAAP MEASURE
17
TAKE -TWO INTERACTIVE SOFTWARE, INC. AND SUBSIDIARIES RECONCILIATION OF GAAP TO NON -GAAP
MEASURE
(in millions)

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