Activision Blizzard Does Well This Quarter, But is Wary of Stiff Competition
Boss Man of Activision Blizzard Bobby Kotick just came out and warned analysts that his company would be facing a lot of difficult competition in the coming months even though they’ve had a stellar quarter.
Activision Blizzard is preparing for the launch of Call of Duty: Ghosts, a title which looks like it will be accompanied by the biggest marketing campaign yet for a Call of Duty game. However, the first-person shooter will be going up against EA’s Battlefield 4, which is looking to be a behemoth itself.
In a call with analysts, Kotick also said that the weaknesses of the Nintendo Wii U console accompanied by the greatly reduced subscriber count of World of Warcraft is making the company a bit wary of predicting good sales.
As for the good results of the current quarter, Kotick has attributed that to the success of Skylanders and the launch of Starcraft II: Heart of the Swarm, as well as the ongoing domination of the Call of Duty games.
Following the statements, Activision shares fell nearly 6% in after-hours trading. The stock has jumped more than 44% since the first of the year, and closed Wednesday’s regular session up 2.1% at $15.26. Activision Blizzard expects non-GAAP revenue of $4.25 billion for the year and earnings per share of 82 cents.