Shares of video game maker Activision Blizzard Inc. (ATVI) were falling 11% in afternoon trading on Friday, Nov. 9, after the company reported mixed results in its third quarter earnings release.
The company reported earnings per share of 52 cents, after deferred accruals of 10 cents a share were added, on revenue of $1.66 billion after revenue deferrals. Analysts, on average, were expecting the company to report earnings of 50 cents a share on revenue of $1.66 billion.
A year earlier, the company reported earnings of 60 cents a share on revenue of $1.9 billion.
One of the more concerning signs for the company was a drop in monthly active users playing online games. The company reported 345 million monthly active users, down from the 352 million it reported in the previous quarter.
Another bearish sign was the company's current quarter guidance. Activision expects fourth-quarter revenue of $3.05 billion, about $10 million less than Wall Street's expectations of $3.06 billion. The company said it expects earnings of $1.27 a share in the fourth quarter, after deferred accruals of 63 cents a share were added.
As of Thursday's closing, Activision shares have now turned negative for the year.