Take-Two Restates Results from 1999-2003

The videogame maker lowered 2003 earnings to $2.27 from $2.31, while talks with the SEC continue.
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Take-Two Interactive

(TTWO) - Get Report

has restated financial statements for the past five years to reflect a change in the way it treats reserves for price cuts.

Under the restatements released Thursday, video game maker Take-Two, lowered fiscal 2003 earnings to $2.27 from $2.31, as

previously announced. Take-Two said fiscal year 2002 earnings will remain the same at $1.81 a share; earlier this month, Take-Two said earnings would be adjusted to fall somewhere between $1.81 and $1.84 a share.

Take-Two restated its net loss in fiscal year 2001 to 20 cents a share from 25 cents a share. Earnings in fiscal year 2000 fell to 16 cents a share from 23 cents a share, and earnings in fiscal 1999 fell to 74 cents a share from 76 cents a share.

In fiscal year 2002, revenue was restated to $794.7 million from $794 million. Revenue in fiscal year 2001was restated to $451.4 million from $448.8 million, but sales fell to $358.9 million from $364 million in fiscal 2000. Revenue in fiscal year 1999 fell to $303.7 million from $304.7 million.

Take-Two, the subject of fierce long-short debate on Wall Street and under investigation by the

Securities and Exchange Commission

, restated its numbers to reflect changes to revenue-recognition policies that move up the time it records reserves for discounts. The company said its restatements for fiscal year 2000 and 2001 also reflect an increase in provisions for returns at Oct. 31, 2000.

The company said in a press release Thursday that its discussions with the SEC are continuing.

Shares of Take-Two gained 95 cents, or 3%, to $32 in after-hours trading after closing down 59 cents, or 1.9%, at $31.05.