Gamers Continue to Love Titles from Activision Blizzard (ATVI); Q1 Results Beat the Street
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Price: $15.57 --0%
EPS Growth %: +183.3%
Financial Fact:
Basic (in shares): 1.11B
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EPS Growth %: +183.3%
Financial Fact:
Basic (in shares): 1.11B
Today's EPS Names:
DSX, REDF, REX, More
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Shares of Activision Blizzard (Nasdaq: ATVI) are only modestly higher in after-hours trade despite a first-quarter earnings 'beat' and raised FY11 guidance. After closing at $11.53 earlier, the stock last traded at $11.65.
Net income for the quarter ended March 31, 2011 came in at $503 million, up 32 percent from the $381 million reported during the first quarter of 2010. On a non-GAAP basis, net income was $156 million or about 13 cents per common share. Adjusted EPS were up 44 percent from a gain of 9 cents in the year-ago quarter.
GAAP revenue rose 10.8 percent from $1.308 billion to $1.449 billion. Total product sales came in at $1.06 billion, up about 7.6 percent from the same quarter last year. Pro-forma sales were $755 million, up marginally from the $714 million reported in the second quarter of 2010.
Analysts on the Street had been looking for Activision Blizzard to post quarterly earnings of 8 cents per share on sales of $668.28 million.
The company said Call of Duty: Black Ops became the best-selling game of all-time over the quarter. Activision Blizzard also noted it had three top-10 PC titles during the quarter with World of Warcraft: Cataclysm, StarCraft II: Wings of Liberty, and Call of Duty: Black Ops.
Activision Blizzard's CEO Bob Kotick said, "Digital content continues to represent a significant portion of our revenues and increased by about $100 million year over year, enabling us to deliver record first-quarter operating margins and earnings per share. The Call of Duty: Black Ops® First Strike content pack shattered Xbox LIVE® launch records, surpassing 1.4 million downloads in the first 24 hours alone,(1) and Blizzard’s Battle.net® service continues to grow its service offerings. To date, Call of Duty: Black Ops players have logged more than 1.2 billion online hours of online gameplay."
The company offered second-quarter guidance: earnings of 4 cents per share on sales of $575 million. Both measures are currently below the Street estimates of 8 cents per share and $662.9 million.
Activision Blizzard's FY11 EPS guidance was raised from 70 cents to 73 cents, which compares to the analyst consensus of 72 cents. Sales are expected to be about $3.95 billion, versus the Street estimate of $3.99 billion.
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Net income for the quarter ended March 31, 2011 came in at $503 million, up 32 percent from the $381 million reported during the first quarter of 2010. On a non-GAAP basis, net income was $156 million or about 13 cents per common share. Adjusted EPS were up 44 percent from a gain of 9 cents in the year-ago quarter.
GAAP revenue rose 10.8 percent from $1.308 billion to $1.449 billion. Total product sales came in at $1.06 billion, up about 7.6 percent from the same quarter last year. Pro-forma sales were $755 million, up marginally from the $714 million reported in the second quarter of 2010.
Analysts on the Street had been looking for Activision Blizzard to post quarterly earnings of 8 cents per share on sales of $668.28 million.
The company said Call of Duty: Black Ops became the best-selling game of all-time over the quarter. Activision Blizzard also noted it had three top-10 PC titles during the quarter with World of Warcraft: Cataclysm, StarCraft II: Wings of Liberty, and Call of Duty: Black Ops.
Activision Blizzard's CEO Bob Kotick said, "Digital content continues to represent a significant portion of our revenues and increased by about $100 million year over year, enabling us to deliver record first-quarter operating margins and earnings per share. The Call of Duty: Black Ops® First Strike content pack shattered Xbox LIVE® launch records, surpassing 1.4 million downloads in the first 24 hours alone,(1) and Blizzard’s Battle.net® service continues to grow its service offerings. To date, Call of Duty: Black Ops players have logged more than 1.2 billion online hours of online gameplay."
The company offered second-quarter guidance: earnings of 4 cents per share on sales of $575 million. Both measures are currently below the Street estimates of 8 cents per share and $662.9 million.
Activision Blizzard's FY11 EPS guidance was raised from 70 cents to 73 cents, which compares to the analyst consensus of 72 cents. Sales are expected to be about $3.95 billion, versus the Street estimate of $3.99 billion.
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Play of Week
Michael Caliazzo-Walnut Hill CA. on May 10, 2011 09:23 AMMark as Spam | Reply to this comment
My favorite play.