Video game publisher Activision Blizzard reported third quarter earnings Thursday ahead of the much awaited release of Call of Duty WWII. $ATVI easily beat consensus estimates but MAU’s fell after they had been soaring which hurt the stock.
Video game publisher Activision Blizzard reported third quarter earnings Thursday ahead of the much awaited release of Call of Duty WWII. $ATVI easily beat consensus estimates but MAU’s fell after they had been soaring which hurt the stock.
The gaming company offered positive guidance to offset concerns. Games like Games like Overwatch and World of Warcraft and the Call of Duty franchise have seen Activision Blizzard’s digital revenue soar.
Earnings: EPS: 60 cents vs. 49 cents expected according to Thomson Reuters consensus estimates on revenue of $1. 0 billion vs. $1.74 billion expected according to Thomson Reuters consensus estimates
Reaction: Activision Blizzard, Inc; Nasdaq $ATVI $62.57 -2.88 -4.40%
Segment Revenue for the third quarter:
- Activision: $759 million vs. $690 million expected according to StreetAccount
- Blizzard: $531 million vs. $508 million expected according to StreetAccount
- King: $528 million vs. $483 million expected according to StreetAccount
Guidance:
For the fourth quarter, Activision expects net revenue of $6.675Bil in FY17 and $1.7Bil. Sees GAAP EPS of $1.22 and non-GAAP EPS of $2.08 in FY17. For 4Q17, the company anticipates GAAP EPS of $0.10 per share and non-GAAP EPS of $0.36 per share.
Source: ATVI, TradersCommunity, AlphaStreet