Strong video game sales made earnings for entertainment publishing company, Activision Blizzard, Inc.(ATVI) surge during its fourth quarter, beating estimates on Friday.
The Santa Monia, CA based company reported fourth quarter earnings of $354 million, up 72% from $99 million last year. Excluding special items, earnings were 78 cents per share, compared to 62 cents per share last year. Analysts expected to see 72 cents per share.
Revenue for the quarter was $2.6 billion up 8% from $2.41 billion last year. Analysts estimated revenue of $2.44 billion.
The company saw such a significant increase in earnings mainly due to strong holiday sales for their video games, notably “Call of Duty: Black Ops 2,” which made $1 billion in the first 15 days after its release.
Looking ahead, the company estimates first quarter earnings to be 10 cents per share with $1.16 billion in revenue.
Activision Blizzard shares were up 12 cents, or 1.01% during premarket trading Friday. The stock has been mostly flat in the past year.
The Bottom Line
Shares of Activision Blizzard, Inc.(ATVI) have a 1.49% yield, based on Thursday’s closing price of $12.06
Activision Blizzard, Inc.(ATVI) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.2 out of 5 stars.