Activision Blizzard Reports Best Year Yet But May Face Trouble in 2013
Activision had a fairly good end to last year between the release of Call of Duty: Black Ops 2 and Skylanders: Giants. Its per-share earnings were at 78 cents as opposed to the 62 cents from 2011. Revenue came in at $2.6 billion (up from 2011’s 2.4 billion). This was all better than expected.
Activision Blizzard CEO Bobby Kotick stated, “We are very pleased to report that Activision Blizzard delivered the best performance in its history. With better-than expected net revenues, record operating margins and record earnings, and over $1.3 billion in operating cash flow, we continue to set the industry success bar. I would like to thank our incredibly talented employees around the world for their passion, drive, and creativity, which continues to fuel our success.”
Activision Blizzard is expecting a 2013 performance of 80 cents a share and $4.2 billion in revenue. Its lofty goal, however, may prove more difficult this year, as Activision Blizzard isn’t releasing a Diablo III or game of equivalent stature.
“As we look to 2013,” said Kotick, “we will continue to invest in our established franchises as well as several new properties. We expect these investments to drive our growth over the long term and to enable us to deliver superior returns to our shareholders in the years to come.
In the short term, we expect to continue delivering strong profitability, but below our record-setting 2012 performance due to a challenged global economy, the ongoing console transition, and a difficult year-over-year comparison because of Blizzard’s record-shattering Diablo III success in 2012.”
Source: Venture Beat