GTA4 Drives Take Two's Q2 FY09 News

In the quarter ended April 30th 2008, Take Two saw net revenues of $539.8 million compared to $205.4 million in the previous year. Net income for the second quarter period was $98.2 million, in contrast to a $51.2 million loss for the same quarter of fiscal 2007.

Highlighting the costs associated with Take-Two's other notable activities during the period, specifically the continued EA ramblings, the second quarter saw legal expenses and professional fees of $3.8 million primarily related to the ongoing acquisition.

Sales figures for GTA4 as of May 31st 2008 reveal that over 11 million copies have been sold to retail, with approximately 8 million units sold through to gamers.

As a likely result of GTA4's performance, Take-Two has decided to upgrade its expectations for proceeding quarters. Net revenue for the third quarter is expected to increase from $325 million to $375 million; fourth quarter increased from $300 million to $350 million; full year $1.4 billion to $1.5 billion.

"Take-Two's performance has exceeded expectations through the first half of fiscal 2008, clearly demonstrating the creative, operational and financial strength of our business," noted Strauss Zelnick, Chairman of Take-Two. "Our results reflected the extraordinary success of Grand Theft Auto IV, the value of our catalog of titles, and our ongoing initiatives to improve the efficiency of our operations. We look forward to continuing to enhance stockholder value by building on our broad portfolio of internally developed and owned interactive entertainment brands, leveraging the opportunities in the current industry cycle, and operating our business in an effective manner."

Ben Feder, Chief Executive Officer of Take-Two, added, "Based on the Company's stronger than expected results, we have increased our financial guidance for fiscal 2008 and are confident in our ability to continue to perform for the balance of the year. Furthermore, Take-Two is extremely well positioned in an industry that is experiencing explosive growth. We believe that our exceptional creative talent, diverse range of hit products, and the proven global demand for our titles will be the drivers of increasing value over time."