Analysts Wedbush Morgan has taken a look at Take Two's revenues for the latest quarter and it's largely a case of swings and roundabouts - as it always is with analyst. Duke Nukem Forever sold badly. L.A. Noire did better than expected.
Michael Pachter puts the case in his note to investors, "We had previously expected Duke to be one of the year's top sellers due to a high degree of hype and a dedicated fan base, and expected solid profit contribution as the bulk of development had been previously expensed."
The expectation was wrong.
His conclusion? "...the game's poor reviews (average Metacritic score of 49) likely had a negative impact on sales, causing us to lower our [first quarter] sell-in estimate to 1.5 million units from 3 million units."
Poor Metacritic score? Or poor game and lots of word of mouth? Discuss.
In terms of L.A. Noire
reports that "Pachter had expected the game to ship 3.5 million copes.
"However, the extra half-million copies of L.A. Noire couldn't offset the expected shortfall from Duke, so Pachter revised his revenues estimates for Take-Two's quarter to $350 million, down from $375 million. Take-Two's own guidance to investors was set in the range from $325 million to $375 million."
With a GTA
on the cards for next year, we wouldn't worry to much for Strauss Zelnick and his team over at Take 2.