Take-Two's Zynga-Fueled Quarter Sets Stage for GTA VI as Cash Flow Momentum Builds

Take-Two Interactive beats Q4 estimates as Zynga mobile revenue surpasses 50% of total. Net bookings hit $1.58B, with GTA VI launch set for November 2026.

The countdown to Grand Theft Auto VI may be the headline act, but Take-Two Interactive’s latest numbers prove the company is no longer a one-hit wonder. The mobile division under Zynga has crossed a critical threshold, accounting for more than half of total revenue mix for the first time, as the group reported quarterly results that blew past Wall Street estimates.

Net bookings in the fourth fiscal quarter reached $1.58 billion, topping the company’s own guidance cap of $1.56 billion, while revenue landed at $1.68 billion. Adjusted earnings per share of $0.80 easily beat the consensus forecast of $0.56. The net loss narrowed sharply to $59.5 million from a staggering $3.73 billion in the same period a year earlier, when the balance sheet was still absorbing acquisition costs.

Zynga posted net bookings of $829 million in the quarter, a 14% year-over-year jump, marking its best performance since Take-Two acquired the mobile giant in 2022. Toon Blast surged 25%, and Top Eleven recorded its strongest quarter in 16 years. Chief Executive Strauss Zelnick described Take-Two as a “multi-dimensional” company, underscoring that the mobile segment is no longer just a side bet.

Recurring consumer spending — in-game purchases, virtual currencies and downloadable content — now accounts for 82% of total net bookings. Even the legacy catalog remains a cash cow: Grand Theft Auto V has sold approximately 230 million units to date, while Red Dead Redemption 2 has crossed 85 million copies.

The balance sheet is also in far better shape. Take-Two generated operating cash flow of $624 million over the full fiscal year, handily beating internal projections. Short-term debt was reduced by $1.1 billion, and management expects operating cash flow to exceed $1 billion in the current fiscal year. Looking further ahead, the company has set a free cash flow target of roughly $2.7 billion by 2031.

For fiscal 2027, which includes the launch of GTA VI on November 19, 2026, Take-Two projects net bookings between $8 billion and $8.2 billion — about 20% growth from the prior year, though below the $9.1 billion some analysts had modeled. Net income is expected to land between $105 million and $141 million, a return to profitability.

Zelnick plans to kick off the GTA VI marketing blitz next summer, but with a radically different playbook. Traditional television advertising is taking a back seat as the company pivots to social media and influencer-driven campaigns. AI tools have slashed the cost of producing creative assets from five-figure sums to nearly zero, according to the CEO.

The pipeline beyond GTA VI is stacked with 29 titles slated through fiscal 2029, including new intellectual property such as Judas and Project ETHOS, as well as a fresh installment in the BioShock franchise. Sports titles like NBA 2K27 are also in the works.

Take-Two shares surged in after-hours trading, climbing as much as 7.5% to $256 before settling. In German trading, the stock changed hands at €216.60, roughly 18% above its 50-day moving average. With a fortified mobile business, a deleveraged balance sheet and the biggest release in gaming history now locked in, the company has positioned itself to bridge the wait until November with confidence.