Net profits at
more than doubled in the company's fourth quarter, thanks to strong sales of its latest
Grand Theft Auto
title. Still the company's results fell well short of analysts' estimates.
In reaction, investors sold off the stock; in recent after-hours trading, the company's stock was off $2.70, or 8.1%, to $30.77.
The video game software publisher earned $62.63 million, or $1.36 a share, in its quarter ended Oct. 31. That was up from the year-ago period, when the company earned $26.26 million, or 58 cents a share.
Sales at the company rose 58% to $438.01 million.
The company's bottom line in the just-completed quarter included a $7.5 million, or 16 cents a share, pre-tax charge. The charge related to a reserve account the company created related to an offer the company made to settle an ongoing investigation by the
Securities and Exchange Commission
Excluding that charge, analysts polled by Thomson First Call were expecting the company to earn $1.55 a share in the quarter on sales of $471.37 million.
In the current quarter, Take-Two expects to earn $1 to $1.10 a share on sales ranging from $440 million to $460 million. Analysts had predicted that the company will earn $1.15 a share in its first quarter on $461.31 million in sales.
The company's report came after the bell on Thursday. Its stock closed regular trading off 25 cents, or 0.7%, to $33.47.