TTWO TAKE TWO INTERACTIVE SOFTWARE INC

Overview and Growth

TAKE TWO INTERACTIVE SOFTWARE INC generated $6.66B of revenue in fiscal 2026, with net loss of $298.20M and an operating cash inflow of $624.30M. The $6.66B revenue base provides substantial context for the company’s earnings, cash generation, and capital requirements. Compared with $5.63B in fiscal 2025, revenue recorded a 18.2% year-over-year increase. On a per-share basis, diluted EPS was -$1.62, which connects the reported earnings outcome with the company’s diluted share count. The company employed $9.38B of total assets, the balance-sheet base supporting its current operating and cash-flow results. Asset turnover was 0.71x, relating the company’s annual revenue directly to the total assets reported at the period end.

Profitability

After reported cost of revenue, the company retained $3.81B as gross profit before recognizing operating expenses and other items. The gross-profit relationship equaled 57.2% of revenue, quantifying the portion retained before operating expenses were recognized. The company recorded an operating loss of $104.20M after the reported operating expense base. The operating loss equaled 1.6% of revenue, showing the scale of the operating deficit relative to sales. The company ended the period with a net loss of $298.20M, extending the operating result through all remaining items. Net margin was -4.5%, reflecting a loss equal to 4.5% of reported revenue. The company reported a pretax loss of $197.80M, before the effect of income taxes. The pretax loss equaled 3.0% of revenue, measuring the pre-tax deficit against sales. Income tax expense totaled $100.40M, providing the reported tax component that separates pretax and after-tax earnings. Relative to period-end equity, the net loss represented 8.5%. Relative to total assets, the net loss represented 3.2%.

Liquidity and Capital Structure

Total assets were $9.38B, supported by $5.87B of liabilities and $3.51B of shareholder equity. The near-term balance sheet paired $3.20B of current assets with $2.59B of current liabilities at the reporting date. The current ratio was 1.24x, with current assets exceeding current liabilities and providing a short-term liquidity cushion. Cash and equivalents totaled $1.55B, identifying the most liquid reported component available within the broader current-asset balance. The cash balance equaled 59.7% of current liabilities, showing how much near-term coverage came from cash alone. Total debt was $2.52B, establishing the amount of borrowing carried within the company’s capital structure. Debt equaled 0.72x of book equity, describing the relative scale of borrowing and shareholder capital. The debt-to-assets relationship was 26.8%, comparing borrowing with the total asset balance. Relative to total assets, liabilities measured 62.6%, complementing the separate equity-based view of the company’s capital structure. Cash and equivalents equaled 16.5% of total assets, showing the liquid cash component within the company’s broader resource base. The asset base changed 2.2% from $9.18B in fiscal 2025, leaving current total assets higher year over year. Against $2.14B of equity in fiscal 2025, the current book-equity balance moved 64.2% and ended higher. Compared with $1.46B in fiscal 2025, the current cash balance moved 6.1% and finished higher.

Cash Flow and Earnings Quality

The company reported $624.30M of operating cash flow, a cash inflow that shows the cash generated by operations. Capital spending was $162.80M, absorbing part of the cash generated from operations before free cash flow. Relative to operating cash flow, capital expenditures measured 26.1%, connecting investment intensity with the company’s cash-generation base. After capital spending, free cash flow was $461.50M, leaving cash available for debt reduction, shareholder returns, or further investment. Relative to revenue, free cash flow equaled 6.9%, showing how much sales converted into cash after investment. Measured against total assets, free cash flow represented 4.9%, showing the cash productivity of the company’s assets.

Based on the annual report for the fiscal year ending Mar 31, 2026. Analysis generated Sep 24, 2026.