10-QPeriod: Q3 FY2026

TAKE TWO INTERACTIVE SOFTWARE INC Quarterly Report for Q3 Ended Dec 31, 2025

Filed February 4, 2026For Securities:TTWO

Summary

Take-Two Interactive Software, Inc. (TTWO) reported its third-quarter fiscal year 2026 results on February 4, 2026. The company demonstrated robust revenue growth, with total net revenue increasing by 24.9% to $1.7 billion for the three months ended December 31, 2025, compared to the prior year. This growth was driven by strong performance across key franchises including NBA 2K, Grand Theft Auto, and newer titles like Color Block Jam. Recurrent consumer spending (RCS) continues to be a significant revenue driver, accounting for 76.8% of net revenue for the quarter. Financially, the company has improved its net loss position year-over-year, reporting a net loss of $92.9 million for the quarter, an improvement from $125.2 million in the prior year. This improvement, coupled with a 27.9% increase in Net Bookings to $1.8 billion for the quarter, indicates positive momentum. The company also ended the period with a stronger balance sheet, boasting $2.3 billion in cash, cash equivalents, and restricted cash, up from $1.6 billion at the start of the fiscal year, reflecting successful financing activities including an equity issuance. Looking ahead, the highly anticipated release of Grand Theft Auto VI in November 2026 is a key event to monitor for future growth.

Financial Highlights

53 data points
Beta

Revenue

$1.70B

55.7% Gross Margin

Net Income

-$92.90M

-5.5% Net Margin

EPS (Diluted)

$-0.50

Total Assets

$10.01B

Cash & Equivalents

$2.16B

Free Cash Flow

$236.20M

Financial Statements
Beta
Revenue$1.70B
Cost of Revenue$753.50M
Gross Profit$945.50M
Operating Expenses$984.20M
Operating Income-$38.70M
Interest Expense$35.70M
Net Income-$92.90M
EPS (Basic)$-0.50
EPS (Diluted)$-0.50
Shares Outstanding (Basic)185.00M

Key Highlights

  • 1Total net revenue increased by 24.9% year-over-year to $1.7 billion for the three months ended December 31, 2025.
  • 2Net Bookings saw a significant increase of 27.9% to $1.8 billion for the three months ended December 31, 2025.
  • 3Recurrent Consumer Spending (RCS) remains a strong contributor, making up 76.8% of net revenue for the quarter.
  • 4Net loss improved to $92.9 million from $125.2 million in the same period last year.
  • 5Cash, cash equivalents, and restricted cash increased to $2.3 billion as of December 31, 2025.
  • 6The company is actively preparing for the release of Grand Theft Auto VI, scheduled for November 19, 2026.
  • 7Mobile revenue showed strong growth, up $134.2 million, while console revenue increased by $144.2 million for the quarter.

Frequently Asked Questions

The increase in net revenue was primarily driven by strong performance from key franchises like NBA 2K, Grand Theft Auto, and Red Dead Redemption, alongside successful new releases such as Color Block Jam and sustained contributions from titles like Toon Blast!. The growth was also fueled by a substantial rise in Recurrent Consumer Spending (RCS).

The company has improved its profitability, reporting a reduced net loss of $92.9 million for the three months ended December 31, 2025, compared to a net loss of $125.2 million in the prior year period. This improvement reflects revenue growth and operational efficiencies.

Take-Two Interactive ended the quarter with a healthy cash, cash equivalents, and restricted cash balance of $2.3 billion, an increase from the prior fiscal year-end. This strengthening is attributed to financing activities, including an equity issuance, and positive operating cash flow, partially offset by investments in assets and debt repayment.

The most significant upcoming event is the planned release of Grand Theft Auto VI on November 19, 2026. This title is expected to be a major driver of future revenue and profitability. Investors should also monitor the continued performance of their mobile and live service offerings.