# TAKE TWO INTERACTIVE SOFTWARE INC (TTWO)

Informational only - not investment advice.

CIK: 0000946581
SIC: 7372 Services-Prepackaged Software
SIC breadcrumb: [Services](/division/I/) > [Business Services](/major-group/73/) > [SIC 7372 Services-Prepackaged Software](/industry/7372/)
Latest 10-K filed: 2026-05-22
SEC page: https://www.sec.gov/edgar/browse/?CIK=946581
Filing source: https://www.sec.gov/Archives/edgar/data/946581/000162828026037434/ttwo-20260331.htm

## At a glance

FY2026 · period end 2026-03-31 · filed 2026-05-22 · accession 0001628280-26-037434 · source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000946581.json

| Metric | Value | FY | Provenance |
| --- | ---: | ---: | --- |
| Revenue | 6,656,400,000 USD | 2026 | verified |
| Net income | -298,200,000 USD | 2026 | verified |
| Assets | 9,383,200,000 USD | 2026 | verified |
| Free cash flow | 461,500,000 USD | 2026 | computed |
| Net margin | -4.48% | 2026 | computed |
| Operating margin | -1.57% | 2026 | computed |
| Revenue YoY | +18.16% | 2026 | computed |
| ROE | -8.49% | 2026 | computed |

Computed values are grepcent-computed from the verified facts above and may differ from ratios the company itself reports. Free cash flow = operating cash flow − capital expenditures. Net margin = net income ÷ revenue. Operating margin = operating income ÷ revenue. Revenue YoY = FY2026 revenue ÷ FY2025 revenue − 1 (consecutive fiscal years only). ROE = net income ÷ period-end stockholders' equity.

No market price, no rating, no forecast on this site. Not investment advice.

### Peer percentile fingerprint

| Ratio | TTWO | Peer median | Percentile | N |
| --- | ---: | ---: | ---: | ---: |
| Net margin | -4.5% | 1.5% | 35 | 122 |
| Operating margin | -1.6% | 1.3% | 39 | 121 |
| Revenue growth | 18.2% | 13.5% | 69 | 124 |
| FCF margin | 6.9% | 19.3% | 20 | 120 |
| ROE | -8.5% | 2.0% | 30 | 112 |
| ROA | -3.2% | 0.9% | 31 | 124 |
| Liabilities / equity | 1.67 | 0.91 | 73 | 113 |
| Current ratio | 1.24 | 1.57 | 34 | 124 |

Percentile = share of the N covered peers reporting that ratio whose value is lower (ties counted half); computed among grepcent-covered companies in SIC industry 7372 Services-Prepackaged Software, not the whole market. A higher percentile means a higher value of the ratio, not a better company. Ratios with fewer than 8 reporting peers are omitted. Latest reported values per company; fiscal periods may differ. Descriptive arithmetic - not a score, rating, or ranking.

## Selected Fundamentals
| Metric | Value | Unit | FY | Filed |
| --- | ---: | --- | ---: | --- |
| Revenue | 6656400000 | USD | 2026 | 2026-05-22 |
| Net income | -298200000 | USD | 2026 | 2026-05-22 |
| Assets | 9383200000 | USD | 2026 | 2026-05-22 |

## Financials

Annual standardized facts from SEC companyfacts as of latest extracted filing date 2026-05-22. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000946581.json. Derived margins, ratios, and free cash flow are computed from the extracted annual SEC facts.

| Metric | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Revenue | 1,779,748,000 | 1,792,892,000 | 2,668,394,000 | 3,088,970,000 | 3,372,800,000 | 3,504,800,000 | 5,349,900,000 | 5,349,600,000 | 5,633,600,000 | 6,656,400,000 |
| Net income | 67,303,000 | 173,533,000 | 333,837,000 | 404,459,000 | 588,900,000 | 418,000,000 | -1,124,700,000 | -3,744,200,000 | -4,478,900,000 | -298,200,000 |
| Operating income | 91,305,000 | 135,577,000 | 206,672,000 | 425,267,000 | 629,400,000 | 473,600,000 | -1,165,200,000 | -3,590,600,000 | -4,391,100,000 | -104,200,000 |
| Gross profit | 756,789,000 | 894,581,000 | 1,144,750,000 | 1,546,520,000 | 1,837,700,000 | 1,969,400,000 | 2,285,300,000 | 2,241,800,000 | 3,062,200,000 | 3,809,700,000 |
| Diluted EPS | 0.72 | 1.54 | 2.90 | 3.54 | 5.09 | 3.58 | -7.03 | -22.01 | -25.58 | -1.62 |
| Operating cash flow | 407,903,000 | 493,527,000 | 843,515,000 | 685,678,000 | 912,300,000 | 258,000,000 | 1,100,000 | -16,100,000 | -45,200,000 | 624,300,000 |
| Capital expenditures | 21,167,000 | 61,557,000 | 66,969,000 | 53,384,000 | 68,900,000 | 158,600,000 | 204,200,000 | 141,700,000 | 169,400,000 | 162,800,000 |
| Assets | 3,149,154,000 | 3,737,841,000 | 4,243,065,000 | 4,948,832,000 | 6,028,218,000 | 6,546,300,000 | 15,862,100,000 | 12,216,900,000 | 9,180,700,000 | 9,383,200,000 |
| Liabilities | 2,145,426,000 | 2,248,871,000 | 2,202,485,000 | 2,409,588,000 | 2,696,326,000 | 2,736,600,000 | 6,819,600,000 | 6,549,000,000 | 7,043,000,000 | 5,872,300,000 |
| Stockholders' equity | 1,003,728,000 | 1,488,970,000 | 2,040,580,000 | 2,539,244,000 | 3,331,892,000 | 3,809,700,000 | 9,042,500,000 | 5,667,900,000 | 2,137,700,000 | 3,510,900,000 |
| Cash and cash equivalents | 943,396,000 | 808,973,000 | 826,525,000 | 1,357,664,000 | 1,422,884,000 | 1,732,100,000 | 827,400,000 | 754,000,000 | 1,456,100,000 | 1,545,500,000 |
| Free cash flow | 386,736,000 | 431,970,000 | 776,546,000 | 632,294,000 | 843,400,000 | 99,400,000 | -203,100,000 | -157,800,000 | -214,600,000 | 461,500,000 |

### Ratios

ROE and ROA use period-end equity/assets. Liabilities / equity uses total liabilities divided by stockholders' equity. Current ratio uses current assets divided by current liabilities when both are reported.

| Metric | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Net margin | 3.78% | 9.68% | 12.51% | 13.09% | 17.46% | 11.93% | -21.02% | -69.99% | -79.50% | -4.48% |
| Operating margin | 5.13% | 7.56% | 7.75% | 13.77% | 18.66% | 13.51% | -21.78% | -67.12% | -77.94% | -1.57% |
| Return on equity | 6.71% | 11.65% | 16.36% | 15.93% | 17.67% | 10.97% | -12.44% | -66.06% | -209.52% | -8.49% |
| Return on assets | 2.14% | 4.64% | 7.87% | 8.17% | 9.77% | 6.39% | -7.09% | -30.65% | -48.79% | -3.18% |
| Liabilities / equity | 2.14 | 1.51 | 1.08 | 0.95 | 0.81 | 0.72 | 0.75 | 1.16 | 3.29 | 1.67 |
| Current ratio | 1.30 | 1.40 | 1.45 | 1.71 | 1.89 | 1.84 | 0.65 | 0.94 | 0.78 | 1.24 |

## As-reported value updates

2 tracked differences above grepcent's stated thresholds were found between the earliest XBRL-filed value and the value currently on file for the same fiscal period.

Ledger: /company/TTWO/revisions/


## Quarterly

Quarterly standardized facts from SEC companyfacts as of latest extracted filing date 2026-08-07. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000946581.json.

Flow metrics use discrete quarter-length periods from 10-Q/10-Q/A filings. Q4 revenue and net income are derived only when annual FY and nine-month YTD facts exist for the same fiscal year; derived Q4 values are labeled. EPS Q4 is not derived.

| Quarter | End date | Revenue | Net income | Diluted EPS | Method |
| --- | --- | ---: | ---: | ---: | --- |
| 2023-Q2 | 2022-09-30 |  |  | -1.54 | reported discrete quarter |
| 2023-Q3 | 2022-12-31 |  |  | -0.91 | reported discrete quarter |
| 2024-Q1 | 2023-06-30 |  |  | -1.22 | reported discrete quarter |
| 2024-Q2 | 2023-09-30 | 1,299,200,000 | -543,600,000 | -3.20 | reported discrete quarter |
| 2024-Q3 | 2023-12-31 | 1,366,300,000 | -91,600,000 | -0.54 | reported discrete quarter |
| 2024-Q4 | 2024-03-31 | 1,399,400,000 | -2,903,000,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2025-Q1 | 2024-06-30 | 1,338,200,000 | -262,000,000 | -1.52 | reported discrete quarter |
| 2025-Q2 | 2024-09-30 | 1,353,100,000 | -365,500,000 | -2.08 | reported discrete quarter |
| 2025-Q3 | 2024-12-31 | 1,359,800,000 | -125,200,000 | -0.71 | reported discrete quarter |
| 2025-Q4 | 2025-03-31 | 1,582,500,000 | -3,726,200,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2026-Q1 | 2025-06-30 | 1,503,800,000 | -11,900,000 | -0.07 | reported discrete quarter |
| 2026-Q2 | 2025-09-30 | 1,773,800,000 | -133,900,000 | -0.73 | reported discrete quarter |
| 2026-Q3 | 2025-12-31 | 1,699,000,000 | -92,900,000 | -0.50 | reported discrete quarter |
| 2026-Q4 | 2026-03-31 | 1,679,800,000 | -59,500,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2027-Q1 | 2026-06-30 | 1,533,900,000 | -34,100,000 | -0.18 | reported discrete quarter |

## Filed narrative (10-K & 10-Q)

## Business

Verbatim Item 1 Business section from TTWO's latest 10-K: [/company/TTWO/business/](/company/TTWO/business/).

## Risk Factors

Verbatim Item 1A Risk Factors from TTWO's latest 10-K: [/company/TTWO/risk-factors/](/company/TTWO/risk-factors/).

## Latest quarter (10-Q)

Latest 10-Q source: https://www.sec.gov/Archives/edgar/data/946581/000162828026054870/ttwo-20260630.htm

Extracted structurally from real Item 2 body heading to real Item 3/4 boundary.
Confidence: high
Filing date: 2026-08-07
Report date: 2026-06-30

Item 2.    Management's Discussion and Analysis of Financial Condition and Results of Operations

CAUTIONARY NOTE ABOUT FORWARD-LOOKING STATEMENTS

The statements contained herein, which are not historical facts, including statements relating to Take-Two Interactive Software, Inc.'s ("Take-Two," the "Company," "we," "us," or similar pronouns) outlook, are considered forward-looking statements under federal securities laws and may be identified by words such as "anticipates," "believes," "estimates," "expects," "intends," "plans," "potential," "predicts," "projects," "seeks," "should," "will," or words of similar meaning and include, but are not limited to, statements regarding the outlook for our future business and financial performance. Such forward-looking statements are based on the current beliefs of our management as well as assumptions made by and information currently available to them, which are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict. Actual outcomes and results may vary materially from these forward-looking statements based on a variety of risks and uncertainties including risks relating to the timely release and significant market acceptance of our games; the risks of conducting business internationally, including as a result of unforeseen geopolitical events; the impact of changes in interest rates by the Federal Reserve and other central banks, including on our short-term investment portfolio; the impact of inflation; volatility in foreign currency exchange rates; our dependence on key management and product development personnel; our dependence on our NBA 2K and Grand Theft Auto products and our ability to develop other hit titles; our ability to leverage opportunities on PlayStation®5 and Xbox Series X|S; factors affecting our mobile business, such as player acquisition costs; the ability to maintain acceptable pricing levels on our games; and other risks included herein; as well as, but not limited to, the risks and uncertainties discussed under the heading "Risk Factors" included in Part I, Item 1A of our Annual Report on Form 10-K for the fiscal year ended March 31, 2026; and our other periodic filings with the Securities and Exchange Commission. All forward-looking statements are qualified by these cautionary statements and speak only as of the date they are made. We undertake no obligation to update any forward-looking statement, whether as a result of new information, future events, or otherwise.

Our Management's Discussion and Analysis of Financial Condition and Results of Operations ("MD&A") is provided in addition to the accompanying Condensed Consolidated Financial Statements and notes to assist readers in understanding our results of operations, financial condition, and cash flows. The following discussion should be read in conjunction with the MD&A and our annual Consolidated Financial Statements and the notes thereto included in our Annual Report on Form 10-K for the fiscal year ended March 31, 2026. All figures are in millions, except per share amounts or as otherwise noted.

Overview

Our Business

We are a leading developer, publisher, and marketer of interactive entertainment for consumers around the globe. We develop, operate, and publish products principally through Rockstar Games, 2K, and Zynga. Our products are currently designed for console gaming systems, mobile, including smartphones and tablets, and personal computer ("PC"). We deliver our products through physical retail, digital download, online platforms, and cloud streaming services.

Our strategy is to create hit entertainment experiences, delivered on every platform relevant to our audience through a variety of sound business models. Our pillars - creativity, innovation, and efficiency - guide us as we strive to create the highest quality, most captivating experiences for our consumers. We believe that our player-first approach and commitment to creativity and innovation are distinguishing strengths, enabling us to differentiate our products in the marketplace by combining advanced technology with compelling gameplay that provide unique, deeply engaging experiences.

Our teams have established a portfolio of proprietary software content for the major hardware and mobile platforms, and we aim to be at the forefront of technological innovation. We have a diverse portfolio that spans all key platforms and numerous genres, including action, adventure, family, casual, hyper-casual, role-playing, shooter, social casino, sports, and strategy. This enables us to appeal to a wide array of consumers worldwide, ranging from game enthusiasts to casual gamers. Most of our intellectual property is internally owned and developed, which we believe best positions us financially and competitively. In addition, we selectively license several highly recognizable renowned brands, particularly in sports entertainment. We support our products with innovative marketing programs created by our global teams.

We derive substantially all of our revenue from the sale of our interactive entertainment content, which includes internally developed software titles and software titles developed by third parties, in-game virtual items and advertising, and live services on console, mobile, and PC. Operating margins are dependent in part upon our ability to release new, commercially successful software products and to manage effectively their development and marketing costs.

To support our content pipeline, we have internal development studios located in Australia, Canada, China, Czech Republic, Finland, Germany, Hungary, India, Serbia, South Korea, Spain, Turkey, the United Kingdom ("U.K."), and the United States ("U.S.").

19

Rockstar Games.    Rockstar Games' strategy is to develop a limited number of titles that are known for their quality and longevity in the market for which they can create sequels and incremental revenue opportunities through virtual currency, add-on content, and in-game purchases across all key platforms. Software titles published by our Rockstar Games label are primarily internally developed. We expect Rockstar Games, our wholly-owned publisher of the Grand Theft Auto, L.A. Noire, Max Payne, Midnight Club, Red Dead Redemption, and other popular series, to continue to be a leader in the action/adventure product category and to create groundbreaking entertainment. We believe that Rockstar Games has established a uniquely original, popular, cultural phenomenon with its Grand Theft Auto series, which is the interactive entertainment industry's most iconic and critically acclaimed brand and has sold-in over 470 million units worldwide. Our most recent installment, Grand Theft Auto V, which was released in 2013, has sold-in over 230 million units worldwide and includes access to Grand Theft Auto Online. Rockstar Games offers its GTA+ membership program, which engages its player community with an array of rotating benefits, including access to classic Rockstar Games titles. Rockstar Games continues to invest in the series and will release Grand Theft Auto VI on November 19, 2026, during the current fiscal year. The label released its first trailer for the title in December 2023 and the second in May 2025, and pre-orders for the title commenced in June 2026. Red Dead Redemption 2, which has been a critical and commercial success that set numerous entertainment industry records, has sold-in more than 85 million units worldwide. Rockstar Games continues to expand on its established series by developing sequels, offering downloadable episodes, and providing additional content. Rockstar Games' titles are published across all key platforms, including mobile.

2K.    Our 2K label publishes a variety of popular entertainment properties across all key platforms and across a range of genres including shooter, action, role-playing, strategy, sports, and family/casual entertainment. In recent years, 2K has expanded its offerings to include several new franchises that are expected to enhance and diversify its slate of games and provide opportunities for sequels and additional content. We expect 2K to continue to develop new, successful franchises in the future. 2K's internally owned and developed series include the critically acclaimed, multi-million unit selling BioShock, Borderlands, Mafia, Sid Meier's Civilization, and XCOM franchises. 2K's sports simulation titles include NBA 2K, which continues to be the top-ranked NBA basketball video game, WWE 2K professional wrestling, and PGA TOUR 2K. 2K also publishes mobile titles, including WWE SuperCard and NBA 2K All-Stars.

Zynga.   Our Zynga label publishes popular free-to-play mobile games that deliver high quality, deeply engaging entertainment experiences and generates revenue from in-game sales and advertising. Zynga's strategy is to have numerous games in concept development and to determine which titles are best suited for soft and worldwide launch based on the achievement of various milestones and key performance indicator (KPI) thresholds. Zynga's diverse portfolio of popular game franchises has been downloaded more than 10 billion times, including Color Block Jam, CSR2, Empires & Puzzles, Game of Thrones: Legends, Game of Thrones Slots Casino, Golf Rival, Harry Potter: Puzzles & Spells, Hit it Rich! Casino, Match Factory!, Merge Dragons!, Toon Blast, Toy Blast, Wizard of Oz Slots Casino, Words With Friends, and Zynga Poker.

Trends and Factors Affecting our Business

Product Release Schedule.    Our financial results are affected by the timing of our product releases and the commercial success of our titles. Generally, a significant portion of our revenue has been derived from a few popular series, particularly around new releases within those series, some of which have annual or biennial releases. Additionally, our Grand Theft Auto products in particular have historically accounted for a significant portion of our revenue. Sales of Grand Theft Auto products generated 12.8% of our net revenue for the three months ended June 30, 2026. The timing of our Grand Theft Auto product releases may affect our financial performance on a quarterly and annual basis. Rockstar will release Grand Theft Auto VI on November 19, 2026.

To date we have also announced that, during the remainder of fiscal year 2027, 2K plans to release NBA 2K27, PGA 2K27 and WWE 2K27.

Economic Environment and Retailer Performance.    We continue to monitor various macroeconomic and geopolitical factors, such as global tariff policies, that may affect our business in several areas, including consumer demand, inflation, pricing pressure on our products and third party hardware platforms, credit quality of our receivables, and foreign currency exchange rates. Actions we have taken to date and other potential actions we may take in the future in response to these factors could result in negative impacts in future periods.

The economic environment has affected our customers in the past and may do so in the future. There has been increased consolidation in our industry, which is extremely competitive, and larger, better capitalized competitors will be in a stronger position to withstand prolonged periods of economic downturn and sustain their business through periods of financial volatility. Also, bankruptcies or consolidations of our large retail customers could hurt our business, due to uncollectible accounts receivable and the concentration of purchasing power among the remaining large retailers.

20

Hardware Platforms.    We derive a substantial portion of our revenue from the sale of products made for video game consoles manufactured by third parties. Such console revenue comprised 41.8% of our net revenue for the three months ended June 30, 2026. The success of our business is dependent upon consumer acceptance of these platforms and the continued growth in the installed base of these platforms, which has been and coul

[Excerpt truncated for page length; source filing is linked above.]

## Latest 10-K MD&A (excerpt)

Latest 10-K Item 7 source: https://www.sec.gov/Archives/edgar/data/946581/000162828026037434/ttwo-20260331.htm
Complete FY 2026 MD&A: /company/TTWO/mda/fy2026/

Extracted structurally from real Item 7 body heading to real Item 7A/8 boundary.
Confidence: high
Filing date: 2026-05-22
Report date: 2026-03-31

Item 7.    Management's Discussion and Analysis of Financial Condition and Results of Operations

Overview

Our Business

    We are a leading developer, publisher, and marketer of interactive entertainment for consumers around the globe. We develop, operate, and publish products principally through Rockstar Games, 2K, and Zynga. Our products are currently designed for console gaming systems, mobile, including smartphones and tablets, and personal computer ("PC"). We deliver our products through physical retail, digital download, online platforms, and cloud streaming services. We are continually innovating the design and development of our products, including by investing in artificial intelligence ("AI") tools and technologies, in order to enhance game play, anticipate changes in consumer behavior, and evolve our business as new dynamics develop. Refer to Item 1 - Business for additional discussion.

Trends and Factors Affecting our Business

    Product Release Schedule.    Our financial results are affected by the timing of our product releases and the commercial success of our titles. Generally, a significant portion of our revenue has been derived from a few popular franchises, particularly around new releases within those franchises, some of which have annual or biennial releases. Additionally, our Grand Theft Auto products in particular have historically accounted for a significant portion of our revenue. Sales of Grand Theft Auto products generated 12.4% of our net revenue for the fiscal year ended March 31, 2026. The timing of our Grand Theft Auto product releases may affect our financial performance on a quarterly and annual basis. Rockstar plans to release Grand Theft Auto VI on November 19, 2026.

    Economic Environment and Retailer Performance.    We continue to monitor various macroeconomic and geopolitical factors, such as global tariff policies, that may affect our business in several areas, including consumer demand, inflation, pricing pressure on our products and third party hardware platforms, credit quality of our receivables, and foreign currency exchange rates. Actions we have taken to date and other potential actions we may take in the future in response to these factors could result in negative impacts in future periods.

The economic environment has affected our customers in the past and may do so in the future. There has been increased consolidation in our industry, which is extremely competitive, and larger, better capitalized competitors will be in a stronger position to withstand prolonged periods of economic downturn and sustain their business through periods of financial volatility. Also, bankruptcies or consolidations of our large retail customers could hurt our business, due to uncollectible accounts receivable and the concentration of purchasing power among the remaining large retailers.

    Hardware Platforms.    We derive a substantial portion of our revenue from the sale of products made for video game consoles manufactured by third parties. Such console revenue comprised 39.0% of our net revenue for the fiscal year ended March 31, 2026. The success of our business is dependent upon consumer acceptance of these platforms and the continued growth in the installed base of these platforms, which has been and could be impacted by global economic factors, including global tariff policies. When new hardware platforms are introduced, demand for interactive entertainment developed for older platforms typically declines, which may negatively affect our business during the market transition to the new consoles. The latest Sony and Microsoft consoles provide "backwards compatibility" (i.e., the ability to play games for the previous generation of consoles). The inclusion of such features on new consoles could mitigate the risk of such a decline. However, we cannot be certain how backwards compatibility will affect demand for our products. Further, events beyond our control may impact the availability or pricing of consoles, which may also affect demand for our products. We manage our product delivery on each current and future platform in a manner we believe to be most effective to maximize our revenue opportunities and

41

achieve the desired return on our investments in product development. Accordingly, our strategy for these platforms is to focus our development efforts on a select number of the highest quality titles.

    Online Content and Digital Distribution.    We provide a variety of online delivered products, including direct digital downloads of our titles, and access to additional offerings through virtual currency, add-on content, in-game purchases, and in-game advertising, which drive ongoing engagement and incremental revenue from recurrent consumer spending on our titles. Net revenue from digital online channels comprised 97.0% of our net revenue for the fiscal year ended March 31, 2026. We expect online delivery of games and game offerings to continue to be the primary part of our business over the long term.

A significant portion of our mobile titles are distributed, marketed, and promoted through third parties, primarily Apple’s App Store and the Google Play Store. Virtual items for our mobile games are purchased principally through the payment processing systems of these platform providers, as well as our direct-to-consumer commerce platform. We generate a significant portion of our net revenue through the Apple and Google platforms and expect to continue to do so for the foreseeable future. Apple and Google generally have the discretion to set the amounts of their platform fees and change their platforms’ terms of service and other policies with respect to us or other developers at their sole discretion, and those changes may be unfavorable to us. These platform fees are recorded as Cost of revenue as incurred. Further, as a result of the platform fees associated with online game sales, our mobile net revenue generally generates a lower gross margin percentage than our Console or PC revenue. Accordingly, the overall product mix between mobile and other game sales may affect our gross margin percentage. We are also continuing to expand our direct-to-consumer efforts more meaningfully across our mobile portfolio to enhance profitability.

Player acquisition costs.    Principally for our mobile titles, we use advertising and other forms of player acquisition and retention to grow and retain our player audience. These expenditures, which are recorded within Selling and marketing in our Consolidated Statements of Operations, generally relate to the promotion of new game launches and ongoing performance-based programs to drive new player acquisition and lapsed player reactivation. Over time, the effectiveness or cost of these acquisition and retention-related programs may change, affecting our operating results.

Content Release Highlights

During fiscal year 2026, 2K released Mafia: The Old Country, NBA 2K26, Borderlands 4, and WWE 2K26. Rockstar plans to release Grand Theft Auto VI on November 19, 2026.

Fiscal 2026 Financial Summary

Our net revenue for the fiscal year ended March 31, 2026 was led by a variety of our top franchises, primarily NBA 2K, Grand Theft Auto, Borderlands, Red Dead Redemption, and WWE 2K, as well as our top mobile contributors, primarily Toon Blast, Match Factory!, Empires & Puzzles, and Color Block Jam. Our net revenue for the fiscal year ended March 31, 2026 was $6,656.4, an increase of $1,022.8 or 18.2% compared to the fiscal year ended March 31, 2025.

    Our operating loss for the fiscal year ended March 31, 2026 was $104.2 compared to operating loss of $4,391.1 for fiscal year ended March 31, 2025, primarily driven by Goodwill impairment charges of $3,545.2 in the prior year, with no corresponding expense in the current year, as well as, higher sales of our products. For the fiscal year ended March 31, 2026, our net loss was $298.2, as compared to net loss of $4,478.9 in the prior year. Basic and diluted loss per share for the fiscal year ended March 31, 2026 was $1.62, as compared to Basic and diluted loss per share of $25.58 for the fiscal year ended March 31, 2025.

    At March 31, 2026, we had $1,638.1 of Cash, cash equivalents, and restricted cash and cash equivalents, compared to $1,559.2 at March 31, 2025. This increase was primarily driven by proceeds from our May 2025 underwritten public offering of common stock (refer to Note 12 - Loss Per Share) and positive cash flow from product sales. These increases were partially offset by the repayment of our 2025 Notes and 2026 Notes (refer to Note 11 - Debt), as well as continued investments in software, fixed assets, and short-term investments.

Critical Accounting Policies and Estimates

    Our most critical accounting policies, which are those that require significant judgment, include revenue recognition, capitalization and recognition of software development costs and licenses, fair value estimates including valuation of goodwill and intangible assets, valuation and recognition of stock-based compensation, and income taxes. See Note 1 - Basis of Presentation and Significant Accounting Policies in the Notes to our Consolidated Financial Statements in this Annual Report on Form 10-K.

Recently Adopted and Recently Issued Accounting Pronouncements

See Note 1 - Basis of Presentation and Significant Accounting Policies.

42

Operating Metric

Net Bookings

We monitor Net Bookings as a key operating metric in evaluating the performance of our business. Net Bookings is defined as the net amount of products and services sold digitally or sold-in physically during the period and includes licensing fees, merchandise, in-game advertising, and publisher incentives. Net Bookings were as follows:

[[GREPCENT_TABLE]]
[["","Fiscal Year Ended March 31,"],["","2026","","2025","","Increase/(decrease)","","Increase/(decrease) %"],["Net Bookings","$","6,721.0","","","5,648.0","","","$","1,073.0","","","19.0","%"]]
[[/GREPCENT_TABLE]]

    For the fiscal year ended March 31, 2026, Net Bookings increased by $1,073.0 as compared to the prior year period. The increase was primarily driven by higher Net Bookings from our NBA 2K franchise, our Borderlands franchise, the latest installment of which, Borderlands 4, released in September 2025; Color Block Jam, which released in November 2024; and our Grand Theft Auto franchise.

Results of Operations

In this section, we discuss the results of our operations for the fiscal year ended March 31, 2026 compared to the fiscal year ended March 31, 2025. For the comparison of fiscal year 2025 to fiscal year 2024, refer to Part II, Item 7 “Management’s Discussion and Analysis of Financial Condition and Results of Operations” of our Annual Report on Form 10-K for the year ended March 31, 2025.

The following tables set forth, for the periods indicated, our Consolidated Statements of Operations, net revenue by platform, net revenue by distribution channel, and net revenue by content type:

[Excerpt truncated for page length; the complete text is on the linked full-MD&A page.]

Read the full FY 2026 MD&A: /company/TTWO/mda/fy2026/
All MD&A years: /company/TTWO/mda/


## MD&A history

Prior-year 10-K MD&A spans are extracted from SEC filings with the same bounded parser used for the latest filing. Each year's full verbatim text is on its own sub-page.

- [FY 2025 MD&A](/company/TTWO/mda/fy2025/): filed 2025-05-20; accession 0001628280-25-026694 (https://www.sec.gov/Archives/edgar/data/946581/000162828025026694/ttwo-20250331.htm)
- [FY 2024 MD&A](/company/TTWO/mda/fy2024/): filed 2024-05-22; accession 0001628280-24-024623 (https://www.sec.gov/Archives/edgar/data/946581/000162828024024623/ttwo-20240331.htm)
- [FY 2023 MD&A](/company/TTWO/mda/fy2023/): filed 2023-05-26; accession 0001628280-23-019851 (https://www.sec.gov/Archives/edgar/data/946581/000162828023019851/ttwo-20230331.htm)
- [FY 2022 MD&A](/company/TTWO/mda/fy2022/): filed 2022-05-17; accession 0001628280-22-014580 (https://www.sec.gov/Archives/edgar/data/946581/000162828022014580/ttwo-20220331.htm)




## Macro cross-references

Indicators mapped to this company's SIC classification (industry 7372 Services-Prepackaged Software) by grepcent's deterministic macro-sector crosswalk. A navigational mapping, not a statistical or causal claim.

- [PAYEMS](/indicator/PAYEMS/): All Employees, Total Nonfarm
- [CES0500000003](/indicator/CES0500000003/): Average Hourly Earnings of All Employees, Total Private
- [DGS10](/indicator/DGS10/): Market Yield on U.S. Treasury Securities at 10-Year Constant Maturity

Macro-to-micro threads including this sector: [US labor market](/thread/us-labor-market/), [Growth & output](/thread/growth-output/), [Government finances](/thread/government-finances/), [Sector employment](/thread/sector-employment/).

All macro indicators: /indicators/


## For LLMs & downloads

Markdown twin: /company/TTWO.md · JSON record: /company/TTWO.json · verified financials: /company/TTWO/financials.json / /company/TTWO/financials.csv · machine TOC for the whole site: /llms.txt