Updated from July 21
topped analysts' earnings expectations and raised its forward guidance after the close Wednesday, citing strong results of its
But that outlook might not have been good enough to appease investors. Activision shares dropped 47 cents, or 3.2%, to $14.44 Thursday morning.
The video-game software company earned $11.96 million, or 8 cents a share, in its fiscal first quarter. In the same quarter a year ago, the company posted earnings of $4.16 million, or 3 cents a share.
Activision's revenue jumped 33% year over year to $211.28 million.
The results trounced Wall Street's estimates and the company's own guidance. Analysts had been expecting earnings of 5 cents a share on $188.76 million in revenue, according to Thomson First Call. In May, Activision forecast a profit of 4 cents a share on sales of $185 million.
The company expects its good times to continue to roll in the rest of its fiscal year. In its fiscal second quarter, Activision expects to earn 8 cents a share on $254 million in sales. For its full fiscal year, the company projected earnings of 69 cents a share on sales of $1.1 billion.
The guidance, which is up from the company's previous forecasts, is now in line with analysts' earnings expectations. Wall Street had predicted second-quarter earnings of 8 cents a share on $235.98 in sales and full-year earnings of 69 cents a share on $1.08 billion in sales.