Take-Two Interactive Cuts FY Outlook; Stock Tanks 15%

(RTTNews) - Take-Two Interactive Software Inc. (TTWO) lowered its fiscal-year outlook, which reflects the company's more cautious view of the current macroeconomic backdrop, among other factors. Take-Two's stock tanked over 15% in extended session, following the news.

The company now expects revenues of $5.41 to $5.51 billion, net loss of $674 to $631 million and loss per share of $4.22 to $3.95.

Previously, the company expected revenues of $5.73 to $5.83 billion, net loss of $438 to $398 million and loss per share of $2.75 to $2.50.

Analysts polled by Thomson Reuters currently expect earnings of $4.83 per share on revenues of $5.89 billion. Analysts' estimates typically exclude one-time items.

"Our reduced forecast reflects shifts in our pipeline, fluctuations in FX rates, and a more cautious view of the current macroeconomic backdrop, particularly in mobile," said CEO Strauss Zelnick.

TTWO closed Monday's trading at $108.40, down $0.13 or 0.12%, on the Nasdaq. The stock further slipped $16.36 or 15.09% in the after-hours trading.