Activision Blizzard released its latest quarterly financial report, and the numbers were not good for the publisher, Activision Blizzard lost over 60 million Active Users Every Month Last Year.
The company’s revenue fell 10 percent as Activision recorded $ 2.16 billion in the quarter ending December, compared to last year when it brought in $ 2.41 billion. Gross annual revenue has increased in 2021, with the company bringing in $ 8.8 billion compared to $ 8.09 billion by 2020.
“King and Blizzard were fine, Activision Publishing wasn’t there,” said Michael Pachter, a Wedbush analyst focusing on the video game market. “It looks like ‘Call of Duty: Vanguard’ has sold far fewer units than last year’s record.”
Analysts expected Activision Blizzard to cut $ 2.8 billion in revenue over the quarter.
While the company did not disclose specific game title numbers, it broke revenue on the platform, console and PC, where “Call of Duty” is often played, showing huge drops. Activision reported console revenues of $ 576 million, down 31 percent from $ 840 million over the same period last year. PC revenue dropped by 12 percent, from $ 496 million compared to $ 561 million, while the mobile phone, sponsored by its king, increased by 18 percent.
Also in the report, Activision Blizzard declared plans for a mobile version of “World of Warcraft,” although it did not offer details. Blizzard is working on “new content for the Warcraft franchise by 2022,” according to the report.
The benefits report is the first since Jan’s announcement. 18 that the company will acquire Microsoft. Activision cited a pending agreement as a reason to cancel its quarterly payments with investors, scheduled for 1:30 p.m. Pacific Time.
While companies do not need to hold salary calls, it is not uncommon for a major technology or sports company to cancel a call before they can get it if the “ink is wet” on the contract, according to Joost van Dreunen, a business instructor. sports at New York University Stern School of Business. For example, Glu Mobile has hosted wage calls in 2020, before its final acquisition by Electronic Arts last April. However, last December, Slack canceled his revenue call after announcing that Salesforce would receive it. In 2016, Yahoo skipped its revenue plan before being bought by Verizon, amid falling due to data breaches. Activision Blizzard is currently dealing with a number of lawsuits from employees, the California Department of Correctional Services and Housing, shareholders and investigations from corporate executives on how managers handle allegations of sexual misconduct, harassment and other business matters.TheWedbush report noted that some reports of cultural problems at Activision Blizzard may have led to players boycotting other titles, such as “World War I.”
Instead of speaking live, CEO Bobby Kotick issued a statement to investors that “with Microsoft rating and services, we will be better equipped to expand existing franchises, introduce new franchises that we can open up and open a rich gaming library that we have covered over 40 years. . ”
The agreement was approved by the board of directors of Activision Blizzard and Microsoft, according to news reports. It is still awaiting legal approval from the Federal Trade Commission, and is expected to close in June 2023.
“It could mean that we see Guitar Hero again,” Forrester analyst Will McKeon-White said of the acquisition. “Blizzard has had a variety of different topics under their umbrella that they can invest a lot of money in.”
Aside from the low console numbers and revenue PC, King continues to be the bright spot for Activision Blizzard, which has seen a 14 percent increase in sales from “Candy Crush Saga.” The mobile game continues to be the most lucrative business in app stores in the United States.
The stock of Activision Blizzard has a strong hold for just under $ 80 per share after the market closes.
