ake-Two Interactive Software today announced revised revenue and earnings guidance for fiscal 2005 and fiscal 2006. Take-Two is reducing its fiscal 2005 guidance to reflect several factors, including the movement of the launch of Grand Theft Auto: Liberty City Stories for the PSP in certain European territories from the fourth quarter of fiscal 2005 to the first quarter of fiscal 2006, due to unexpected delays in final product testing and submission. Shipments of the title have been made to the UK in the fourth quarter, with the title expected to ship in the remaining European territories in late November.
Other delays announced include Elder Scrolls IV: Oblivion for PC and Xbox 360 from the first quarter 2006 to the second quarter, as well as a delay of the Japanese release of Grand Theft Auto: San Andreas until after the first quarter of the fiscal year.
"It is disappointing to reduce our financial guidance. However, we remain optimistic about Take-Two's overall prospects and the favorable dynamics of our industry," said Paul Eibeler, President and Chief Executive Officer. "We continue to create compelling content, supported by strong creative and financial resources. For Fiscal 2006, we are well positioned for the opportunities to extend our brands across the large installed base of current generation platforms, as well as next generation hardware including the two previously announced Rockstar Games titles for the PSP, one of which is a new Grand Theft Auto title. We are pleased with the strong initial gamer and trade press response to our recently released Grand Theft Auto: Liberty City Stories for the PSP, as well as The Warriors and Sid Meier's Civilization IV."
Based on preliminary estimates, the Company now expects $1.180 to $1.185 billion in net sales and $0.53 to $0.56 in diluted net income per share for the fiscal year ending October 31, 2005. For the fiscal year ending October 31, 2006, $1.35 to $1.45 billion in net sales and $1.15 to $1.45 in diluted net income per share.
The Company's diluted earnings per share for the periods above do not include the impact of adopting FASB 123, requiring the expensing of employee stock options. With the adoption of FASB 123 beginning on November 1, 2005, the Company's estimated diluted net income per share guidance will be $0.95 to $1.20 for the fiscal year ending October 31, 2006 and $0.00 to $0.05 for the first quarter ending January 31, 2006.