'Grand Theft Auto' maker Take-Two's revenue rose 169%

Popular game maker Take-Two's third-quarter revenue increased 169 percent, almost triple compared to last year, beating analysts' forecast, as sales for "Grand Theft Auto" and "NBA 2K16" soared. 

Reuters reported on Thursday, Take-Two's shares increased by 4.4 percent in extended trading. The company, which also has the "Civilization" franchise under its brand, also gained a lot from its impressive digital business, which comprises 38.6 of its second quarter total adjustment sales. Research Group revealed that "NBA 2K16" ranks first in its top five games list for the month of September, while "Grand Theft Auto V" ranked fourth in the months of July and August.

According to a report from Game Spot, take-Two's net revenue for the quarter that ended September 30 is $364.9 million. According to its CEO Strauss Zelnick, NBA 2K16 shipped about 4 million copies and its microtransactions sales increased by 120 percent compared to the previous version of the game last year. Besides NBA and GTA, its Borderlands and WWE 2K franchises were also large contributors to its soaring revenue.

The Wall Street Journal has reported that Zelnick credited the recurring spending of gamers on digital goods. It is a fast growing trend that has boosted the entire industry, he said. Electronic Arts and Activision Blizzard have also shifted its focus to selling content through the internet, which includes downloading the entire game, the expansion packs, and even the subscriptions. According to Mr. Zelnick, "Digitally delivered revenue, especially recurrent consumer spending, remains a high-margin growth opportunity and a key strategic focus for our organization."

Meanwhile, Take-Two also increased its 2015 revenue forecast to $1.33 billion to $1.43 billion from $1.30 billion to $1.40 billion, while raising its adjusted profit forecast to $1.00 to $1.15 per share from 75 cents to $1.00 per share. Analysts project an adjustment profit of $1.01 per share on $1.41-billion revenue. Take-Two's shares closed at $33.05 Thursday on Nasdaq.