Take-Two Q3 Net Bookings $1.76B, Revenue Beats Expectations, Outlook Raised

Take-Two Interactive posted stronger-than-expected top-line results for the quarter ended Dec. 31, 2025, reporting net bookings of approximately $1.76 billion and GAAP net revenue of $1.77 billion. The revenue beat came well above the company’s pre-quarter GAAP net revenue guidance of $1,570 to $1,620 million and pushed management to raise its full-year Net Bookings outlook to $6,400 to $6,500 million and GAAP net revenue guidance to $6,380 to $6,480 million.

Despite the revenue beat, the quarter carried mixed signals for operators and investors. GAAP EPS came in at a loss of $0.73 per share, worse than the company’s Q3 guidance range of a $0.49 to $0.35 loss and below analyst expectations. Adjusted EBITDA was reported at $116.7 million, a 6.6 percent margin, which missed analyst estimates by a wide margin and left full-year EBITDA guidance below Street forecasts. Operating margin improved to negative 5.5 percent from negative 20.1 percent in the year-ago quarter, reflecting progress on cost control even as profitability remains a work in progress.

Management pointed to live services, mobile and NBA 2K as engines of momentum. Strauss Zelnick, chairman and CEO, said: “We achieved outstanding second quarter results by releasing new hit titles, driving innovation in live services, and maintaining our commitment to developing the highest quality products. With momentum across our business, particularly in mobile and NBA 2K, we are raising our Fiscal Year 2026 Net Bookings forecast for the second consecutive quarter. Rockstar Games will now release Grand Theft Auto VI on November 19, 2026, and we remain both excited and confident they will deliver an unrivalled blockbuster entertainment experience. With the most robust pipeline in our Company’s history, we expect to achieve record levels of Net Bookings in Fiscal 2027, which will establish a new baseline for our business and set us on a [...]”

The company reiterated its pre-quarter projection in investor materials, saying: “We expect to deliver Net Bookings of $1.55 billion to $1.6 billion.” It also spelled out the assumptions behind recurrent consumer spending growth, noting: “We project RCS to increase by approximately 8%, which assumes: o Low double-digit growth for Mobile; o Mid single-digit growth for NBA 2K; and o A decline for Grand Theft Auto Online.” Take-Two’s slides also flagged a timing shift of console marketing and IT expenses into the back half of the fiscal year.

Market reaction was immediate. Shares traded down about 6.9 percent to $235.60 shortly after the results, versus a mid-January snapshot around $240.14. Analysts and investors must weigh the revenue beat and raised FY26 outlook against the wider-than-expected GAAP loss and the weak adjusted EBITDA. Some published accounts claimed a larger full-year Net Bookings range near $6.65 to $6.7 billion, but that higher figure is inconsistent with the company’s investor relations numbers showing $6.4 to $6.5 billion.

What this means for players, developers and investors is practical and forward-looking: Take-Two’s live service and mobile revenue streams are holding up, and the confirmed Grand Theft Auto VI launch date of November 19, 2026 gives the company a clear commercial milestone to drive FY27. Expect management’s subsequent filings and the earnings materials to clarify adjusted versus GAAP reconciliations, and watch quarterly RCS and NBA 2K trends as the clearest short-term indicators of whether Take-Two can turn the revenue momentum into sustained profitability.