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Activision Blizzard Updates on First Quarter 2013 Financial Results [Manufacturing Close - Up](Manufacturing Close - Up Via Acquire Media NewsEdge) Activision Blizzard, Inc. announced better-than-expected financial results for the first quarter of 2013. In a release on May 8, the Company noted that for the quarter ended March 31, Activision Blizzard's GAAP net revenues were $1.32 billion, as compared with $1.17 billion for the first quarter of 2012. On a non-GAAP basis, the company's net revenues were $804 million, as compared with $587 million for the first quarter of 2012. For the first quarter, GAAP net revenues from digital channels represented 28 percent of the company's total revenues. On a non- GAAP basis, net revenues from digital channels were 53 percent. For the quarter ended March 31, Activision Blizzard's GAAP earnings per diluted share were $0.40, as compared with $0.33 for the first quarter of 2012. On a non-GAAP basis, the company's earnings per diluted share were $0.17, as compared with $0.06 for the first quarter of 2012. Bobby Kotick, Chief Executive Officer, Activision Blizzard, said, "Our first-quarter performance was driven by continued consumer interest in all of our key franchises. Blizzard Entertainment's StarCraft II: Heart of the Swarm was the #1 PC game for the quarter.1 Additionally, during the quarter, Blizzard's World of Warcraft remained the #1 subscription-based MMORPG in the world with more than eight million subscribers, although the game saw declines of approximately 1.3 million subscribers, mainly from the East, but in the West as well.2" Kotick added, "While we have had a solid start to the year, we now believe that the risks and uncertainties in the back half of 2013 are more challenging than our earlier view, especially in the holiday quarter. The shift in release dates of competing products, the disappointing launch of the Wii U, uncertainties regarding next- generation hardware, and subscriber declines in our World of Warcraft business all raise concerns, as do continued challenges in the global economy. For these reasons, we remain cautious. However, our focused and disciplined approach to our business has served us well in the past, and through continued investment and careful management of our costs, we expect to continue delivering shareholder value over the long term as we have for the last 20 years." Selected Business Highlights: -As of March 31, Blizzard Entertainment's World of Warcraft remains the #1 subscription-based MMORPG, with 8.3 million subscribers.2 -For the first quarter, Blizzard Entertainment had two top-10 PC titles in both North America and Europe with Blizzard Entertainment's StarCraft II: Heart of the Swarm and Diablo III.1 -As of March 31, in North America and Europe combined, Activision Publishing was the #1 publisher overall for the quarter, including accessory packs and figures, with the #1 and #2 best-selling franchises - Skylanders and Call of Duty.3 -In both North America and Europe, including accessory packs and figures, Activision Publishing's Skylanders Giants was the #1 best- selling game overall in dollars for the first quarter of 2013.3 -For the quarter, in North America and Europe combined, Activision Publishing's Call of Duty: Black Ops II was the #2 best- selling title in dollars.1 -During the quarter, non-GAAP digital revenues from Activision Publishing's Call of Duty franchise increased more than 100 percent year over year.2 -On May 1, Activision Publishing announced that it will release its new Call of Duty game, Call of Duty: Ghosts, on November 5. -On April 29, Blizzard Entertainment announced that it will release Diablo III for the Sony PlayStation 3 computer entertainment system later this year. As announced previously, Blizzard also plans to adapt the game for the Sony PlayStation 4. -On March 22, Blizzard Entertainment announced Hearthstone: Heroes of Warcraft, a new cross-platform free-to-play game for Windows, Macintosh, and iPad. -On March 12, Blizzard Entertainment launched StarCraft II: Heart of the Swarm. As of the end of its first two days of sales, Heart of the Swarm had sold through approximately 1.1 million copies worldwide, including both retail and digital sales.2 -On February 5, Activision Publishing announced Skylanders SWAP Force, the newest installment in the popular Skylanders franchise. Company Outlook On April 16, Activision Publishing released Call of Duty: Black Ops II Uprising, a downloadable content map pack for the Xbox 360 video game and entertainment system from Microsoft. The company expects to release Uprising for other platforms later in the quarter. Activision Blizzard, Inc. is an online, PC, console, handheld and mobile device game publisher with positions across the categories of the interactive entertainment software industry. More Information: www.activisionblizzard.com ((Comments on this story may be sent to [email protected])) (c) 2013 ProQuest Information and Learning Company; All Rights Reserved. |