NEW YORK (
) -- Trader screens plugged into
(TTWO - Get Report)
ticker tomorrow will be flashing green thanks to
Red Dead Redemption
The game maker was the big winner in extended trading on Thursday after the company blew past Wall Street expectations for its fiscal third quarter and lifted its outlook for the rest of the year, largely because of heavy demand for the Western-themed video game, which has sold more than 6.9 million units since its release in May.
The stock jumped 13% to $9.99 in afterhours action, according to
, on volume of 1.3 million. It was the biggest percentage gainer in extended trading, outpacing fiber optic products maker
(FNSR - Get Report)
, which rose almost 11% to $15.10 following its better-than-expected first quarter report on volume of 261,052.
The trailing three-month daily average volume for Take-Two's stock is around 2.1 million, and through Thursday's close at $8.85, the shares were down 15% so far in 2010.
After the close, Take-Two turned in a non-GAAP profit of $26 million, or 28 cents a share, for the three months ended in July, obliterating the average estimate of analysts polled by
for a loss of 6 cents a share in the period. Revenue of nearly $355 million was more than 18% ahead of Wall Street's $301 million view.
For the fourth quarter, Take-Two now sees non-GAAP earnings of 20 to 30 cents a share and revenue of between $270 million and $320 million. That outlook compares to current consensus expectations for a loss of 13 cents a share in the October period on revenue of around $235.1 million.
The company said its expectation for continued profits in the fourth quarter was based on a belief that sales of
Red Dead Redemption
would hold up well, and confidence in its pipeline of games to be released in the fourth quarter, including
Sid Meier's Civilization V
. It also noted that the outlook reflected its decision to move the release of
out of the fourth quarter, which many analysts were expecting ahead of the report.
Another big mover in late trades was
(ULTA - Get Report)
, which gained 9.1% to $22.23 on the strength of its earnings report and outlook for the third quarter. The jump is a bit of vindication for the makeup and perfume retailer after its stock saw
earlier in the week following downbeat analyst comments.