Tag: Profit

Activision Blizzard has released their fourth quarter financial reports and if you were hoping the company would burn to the ground following last year’s Hearthstone debacle, well you’re going to be sorely disappointed.

The positive side of this year’s Q4 report is that Activision didn’t pair an announcement of record revenues with hundreds of layoffs. We still expect the company to siphon a few hundred million in taxpayer dollars for simply existing in 2019. Unfortunately Activision hasn’t been able to keep up its record results from last year as the company has seen multiple straight quarters of revenue loss. Sad for the investors, but since Activision isn’t infinitely expanding not quite a surprise.

Despite this, Q4 results exceeded expectations according to Bobby Kotick.

“Our fourth quarter results exceeded our prior outlook for both revenue and earnings per share,” said Bobby Kotick, Chief Executive Officer of Activision Blizzard. “Our recent Call of Duty® success illustrates the scale of our growth potential, as we expanded the community to more players in more countries on more platforms than ever before. With our strong content pipeline across our franchises and momentum in mobile, esports, and advertising, we look forward to continuing to delight our players, fans and stakeholders in 2020 and beyond.”

Net revenue dropped from $2.3 billion for Q4 2018 to $1.98 billion in 2019, while overall net bookings similarly fell. Activision boasted a monthly average user rate of 409 million with a large portion coming from King (249 million) and of course the ongoing success of Call of Duty, World of Warcraft, and Overwatch.

Investors are happy because Activision increased dividend payouts by 11% and you have to focus on the important things.

Source: Activision