Activision Rises on Q4 Beat Led by Call of Duty

Activision also guided first quarter earnings and revenue ahead of estimates.
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Shares of video game maker Activision Blizzard (ATVI) - Get Report climbed 2.5% after hours after the company reported fourth quarter earnings and revenue ahead of estimates, as well as healthy guidance.

The company reported earnings of $1.23 per share on revenue of $2.71 billion. Analysts were expecting Activision to report earnings of $1.19 per share on revenue of $2.67 billion.

The company’s Call of Duty first-person shooting game was once again the crown jewel of the holiday season, generating more upfront console sales than any other franchise worldwide. That is the tenth time in the last 11 years Call of Duty achieved that status.

“Our fourth quarter results exceeded our prior outlook for both revenue and earnings per share,” said CEO Bobby Kotick. “Our recent Call of Duty success illustrates the scale of our growth potential, as we expanded the community to more players in more countries on more platforms than ever before.”

For the first quarter, the company said it expects to earn 66 cents per share on revenue of $1.64 billion. Analysts are expecting the company to report earnings 39 cents per share on revenue of $1.35 billion.

Activision closed the day up nearly 3%, extending its 25% run over the past 12 months.