United States Securities and Exchange Commission Form

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United States Securities and Exchange Commission Form UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934 Date of Report (Date of earliest event reported) May 18, 2016 TAKE-TWO INTERACTIVE SOFTWARE, INC. (Exact name of registrant as specified in its charter) Delaware 001-34003 51-0350842 (State or other jurisdiction (Commission (IRS Employer of incorporation) File Number) Identification No.) 622 Broadway, New York, New York 10012 (Address of principal executive offices) (Zip Code) Registrant’s telephone number, including area code (646) 536-2842 (Former name or former address, if changed since last report.) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) Item 2.02 Results of Operations and Financial Condition On May 18, 2016, Take-Two Interactive Software, Inc. (the “Company”) issued a press release announcing the financial results of the Company for its fourth fiscal quarter and fiscal year ended March 31, 2016. A copy of the press release is attached to this Current Report as Exhibit 99.1 and is incorporated by reference herein. The information included in this Current Report on Form 8-K, including Exhibit 99.1 hereto, that is furnished pursuant to this Item 2.02 shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section or Sections 11 and 12(a)(2) of the Securities Act of 1933, as amended. In addition, the information included in this Current Report on Form 8-K, including Exhibit 99.1 hereto, that is furnished pursuant to this Item 2.02 shall not be incorporated by reference into any filing of the Company, whether made before or after the date hereof, regardless of any general incorporation language in such filing, unless expressly incorporated by specific reference into such filing. Item 9.01 Financial Statements and Exhibits (d) Exhibits: 99.1 Press Release dated May 18, 2016 relating to Take-Two Interactive Software, Inc.’s financial results for its fourth fiscal quarter and fiscal year ended March 31, 2016. 2 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. TAKE-TWO INTERACTIVE SOFTWARE, INC. (Registrant) By: /s/ Daniel P. Emerson Daniel P. Emerson Executive Vice President & General Counsel Date: May 18, 2016 3 EXHIBIT INDEX Exhibit Description 99.1 Press Release dated May 18, 2016 relating to Take-Two Interactive Software, Inc.’s financial results for its fourth fiscal quarter and fiscal year ended March 31, 2016. 4 EXHIBIT 99.1 FOR IMMEDIATE RELEASE CONTACT: (Investor Relations) (Corporate Press) Henry A. Diamond Alan Lewis Senior Vice President Vice President Investor Relations & Corporate Communications Corporate Communications & Public Affairs Take-Two Interactive Software, Inc. Take-Two Interactive Software, Inc. (646) 536-3005 (646) 536-2983 [email protected] [email protected] Take-Two Interactive Software, Inc. Reports Stronger-Than-Expected Results for Fiscal Year 2016 GAAP Net Revenue Grew 31% to $1.414 Billion Non-GAAP Net Revenue was $1.561 Billion GAAP Net Loss Narrowed to $0.10 Per Diluted Share Non-GAAP Net Income Was $1.96 Per Diluted Share New York, NY — May 18, 2016 — Take-Two Interactive Software, Inc. (NASDAQ:TTWO) today reported stronger-than-expected financial results for its fourth quarter and fiscal year 2016, ended March 31, 2016, and provided its initial financial outlook for its first quarter and fiscal year 2017. Fiscal Fourth Quarter 2016 GAAP Financial Results For fiscal fourth quarter 2016, GAAP net revenue grew to $377.2 million, as compared to $300.1 million for fiscal fourth quarter 2015. GAAP net income increased to $46.4 million, or $0.48 per diluted share, as compared to GAAP net loss of $242.8 million, or $2.99 per diluted share, for the year-ago period. GAAP net income for fiscal fourth quarter 2016 reflects $14.2 million in tax benefits related to video game development costs. GAAP net revenue from digitally-delivered content grew 35% year-over-year to $194.8 million. During fiscal fourth quarter 2016, the Company’s cash and short-term investments balance increased to $1.270 billion as of March 31, 2016, up from $1.215 billion as of December 31, 2015. Non-GAAP Financial Results For fiscal fourth quarter 2016, Non-GAAP net revenue was $342.5 million, as compared to $427.7 million for fiscal fourth quarter 2015, which had benefited from the launch of Evolve™ and ongoing sales from the Company’s more extensive holiday 2014 release slate. Non-GAAP net income was $51.7 million, or $0.46 per diluted share, as compared to $54.3 million, or $0.49 per diluted share, for the year-ago period. Non-GAAP net income for fiscal fourth quarter 2016 reflects $5.4 million in tax benefits related to video game development costs. The largest contributors to Non-GAAP net revenue in fiscal fourth quarter 2016 were Grand Theft Auto V® and Grand Theft Auto Online, NBA® 2K16, XCOM® 2 and WWE® 2K16. Non-GAAP net revenue from digitally-delivered content grew 12% year-over-year to $226.6 million, led by Grand Theft Auto, NBA 2K, XCOM 2, and WWE 2K. Revenue from recurrent consumer spending (virtual currency, downloadable add-on content and online games) grew 15% year-over-year and accounted for 55% of Non-GAAP net revenue from digitally-delivered content, or 37% of total Non-GAAP net revenue. Catalog sales accounted for $211.3 million of Non-GAAP net revenue led by the Grand Theft Auto and Borderlands series. Fiscal Year 2016 GAAP Financial Results For fiscal year 2016, GAAP net revenue increased to $1.414 billion, as compared to $1.083 billion for fiscal year 2015. GAAP net loss narrowed to $8.3 million, or $0.10 per diluted share, as compared to $279.5 million, or $3.48 per diluted share, for the prior fiscal year. GAAP net loss for fiscal year 2016 reflects business reorganization charges of $71.3 million, partially offset by $37.8 million in tax benefits related to video game development costs. GAAP net revenue from digitally-delivered content grew 53% year-over-year to a record $697.7 million Non-GAAP Financial Results For fiscal year 2016, Non-GAAP net revenue was $1.561 billion, as compared to $1.669 billion for fiscal year 2015, which had benefited from a more extensive release slate. Non-GAAP net income was $218.3 million, or $1.96 per diluted share, as compared to $219.2 million, or $1.98 per diluted share, for the prior fiscal year. Non-GAAP net income for fiscal year 2016 reflects $37.6 million in tax benefits related to video game development costs. The largest contributors to Non-GAAP net revenue in fiscal year 2016 were Grand Theft Auto V and Grand Theft Auto Online, NBA 2K16, WWE 2K16, NBA 2K15, and XCOM 2. Non-GAAP net revenue from digitally-delivered content grew 36% year-over-year to a record $835.2 million, led by Grand Theft Auto, NBA 2K, Borderlands, XCOM 2 and WWE 2K. Revenue from recurrent consumer spending grew 33% year-over-year and accounted for 48% of Non-GAAP net revenue from digitally-delivered content, or 26% of total Non-GAAP net revenue. Management Comments “Fiscal 2016 marked the third consecutive year of stronger-than-expected Non-GAAP revenues and profits for Take-Two,” said Strauss Zelnick, Chairman and CEO of Take-Two. “Our results were driven by the continued extraordinary performance of Grand Theft Auto V, ongoing momentum in our NBA 2K and WWE 2K series, the successful launch of XCOM 2, and our highest-ever revenue from recurrent consumer spending. “Fiscal 2017 is poised to be another strong year for Take-Two, with anticipated Non-GAAP earnings in excess of $1.00 per share. Our diverse lineup includes the new intellectual property Battleborn, which we released earlier this month, and the eagerly anticipated upcoming launches of Mafia III, Sid Meier’s Civilization VI, NBA 2K17 and WWE 2K17. We plan to support these titles with innovative offerings designed to promote ongoing engagement and drive recurrent consumer spending. Looking ahead, we expect to grow Non-GAAP revenues and earnings in fiscal 2018, based on our robust development plan that extends well beyond the current fiscal year. Rockstar Games is of course hard at work on some exciting future projects that will be revealed soon.” Business and Product Highlights Since January 1, 2016: Rockstar Games: · Released new free content updates for Grand Theft Auto Online, including: · A May 3, 2016 update featuring the new ‘In & Out’ Adversary Mode and more. · GTA Online Lowriders: Custom Classics, featuring two new upgradeable muscle cars plus an additional upgrade style for an existing lowrider, new weapons, clothing and tattoos, as well as the “Sumo” Adversary Mode. · Grand Theft Auto Online: Be My Valentine, featuring an updated Albany Roosevelt classic car, new clothes and accessories, the couples-based “Till Death Do Us Part” Adversary Mode, along with the return of all content from the previous Valentine’s Day update.
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