informa
2 MIN READ
News

Activision Blizzard beats expectations in Q1 despite drop in revenue

Major publisher Activision Blizzard on Wednesday reported better than expected financial results for its fiscal first quarter, despite seeing revenues fall by more than 20 percent.
Major publisher Activision Blizzard on Wednesday reported better than expected financial results for its fiscal first quarter, despite seeing revenues fall by more than 20 percent. For the quarter ended March 31, 2012, Activision Blizzard saw net revenues of $587 million dollars on a non-GAAP basis, which beat average analyst expectations as well as internal guidance, despite dropping from $755 million year over year. Adjusted for deferral of digital revenue and other items, the company's profits reached $67 million. One of the biggest contributors for the company's declining revenues were the decreased subscriber numbers for Blizzard's flagship MMO, World of Warcraft. The game currently boasts 10.2 million subscribers, which is the same number as last quarter, but down from more than 11 million subscribers one year ago. Other major Activision franchises, however, saw some healthy growth that helped the company exceed its expectations. The Call of Duty Elite service, in particular, has grown to 10 million registered users and 2 million paying subscribers, up from 7 million registrations and 1.5 million paid subscribers last quarter. Activision CEO Bobby Kotick added that the toy-based Skylanders franchise has also remained a huge hit following its successful holiday season. "Skylanders: Spyro's Adventure was the number 3 best-selling game overall in dollars across all platforms," Kotick said. "Based on our internal estimates, we believe that Skylanders' toys sales in the first quarter exceeded those of Star Wars, the number 1 action figure line." Looking ahead to the rest of the year, Activision Blizzard Expects to see second quarter revenues of $805 million on a non-GAAP basis, and fiscal 2012 revenues of $4.53 billion. The company expects major titles like Diablo III, World of Warcraft: Mists of Pandaria, Skylanders Giants, and Call of Duty: Black Ops II to lead its sales in the foreseeable future.

Latest Jobs

Manticore Games

San Mateo, California
8.23.22
Senior Software Engineer - Mobile

Sony PlayStation

San Diego, California
6.23.22
Sr. Online Programmer

The Walt Disney Company

Glendale, California
8.1.22
Associate Marketing Manager - Walt Disney Games

Insomniac Games

Burbank, California
8.26.22
Accessibility Design Researcher
More Jobs   

CONNECT WITH US

Explore the
Subscribe to
Follow us

Game Developer Job Board

Game Developer Newsletter

@gamedevdotcom

Explore the

Game Developer Job Board

Browse open positions across the game industry or recruit new talent for your studio

Browse
Subscribe to

Game Developer Newsletter

Get daily Game Developer top stories every morning straight into your inbox

Subscribe
Follow us

@gamedevdotcom

Follow us @gamedevdotcom to stay up-to-date with the latest news & insider information about events & more