Quarterly guidance

Net Bookings
$1.62 billion to $1.67 billion
Recurrent Consumer Spending
Decline of approximately 5%
GAAP Net Revenue
$1.42 billion to $1.47 billion
Operating Expenses
$1.01 billion to $1.02 billion

Annual guidance

Net Bookings
$8 billion to $8.2 billion
Recurrent Consumer Spending
Expected to be in line with fiscal 2026 and represent 64% of net bookings
Operating Cash Flow
In excess of $1 billion
Capital Expenditures
Approximately $290 million
GAAP Net Revenue
$7.9 billion to $8.1 billion
Cost of Revenue
$3.54 billion to $3.66 billion
Total Operating Expenses
$4.15 billion to $4.17 billion

Outlook

Grand Theft Auto VI
Management expects the November 19 launch to be a major inflection point for the company.
Mobile Market
Management sees no broad consumer slowdown but notes pressure on user acquisition costs.
International Expansion
The company aims to flip the revenue mix from 80% U.S./Western Europe to a more balanced global footprint over the next 10 years.
AI Strategy
The company uses AI to enhance creativity and quality rather than to reduce headcount or costs.
Streaming
Management believes commercial low-latency streaming will be viable within 3 years, potentially expanding the installed base.
M&A
The company remains open to accretive acquisitions but maintains an allergy to being over-leveraged.