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Activision Blizzard Inc. shares rose in the extended session Tuesday after the videogame publisher topped Wall Street estimates for the quarter.
Activision Blizzard ATVI, +1.95% shares rose 1.6% after hours, following a 2% rise in the regular session to close at $86.45. Shares are up 45% for the year, while the S&P 500 index SPX, +0.36% is up 2.3%.
The company reported second-quarter net income of $580 million, or 75 cents a share, compared with $328 million, or 43 cents a share, in the year-ago period.
Adjusted for items such as stock-based compensation, earnings were 81 cents a share, compared with 53 cents a share a year ago.
Revenue rose to $1.93 billion from $1.4 billion in the year-ago quarter.
Activision Blizzard ATVI, +1.95% reported that net bookings rose to $2.08 billion from $1.21 billion a year ago. Bookings are a common non-GAAP financial measure used by videogame companies to capture revenue from digital and physical sales.
Analysts surveyed by FactSet had forecast earnings of 69 cents a share on revenue of $1.7 billion and bookings of $1.69 billion.
“While economic uncertainty could have an impact on our near-term results, the initiatives that drove our growth for the first half of the year should also provide the foundation for long-term growth,” said Bobby Kotick, Activision Blizzard chief executive, in a statement.
For the third quarter, Activision Blizzard expects adjusted earnings of 75 cents on revenue of $1.8 billion, while analysts had forecast earnings of 41 cents a share on revenue of $1.4 billion.
The company is the third major videogame publisher to report earnings this season, following reports by Take-Two Interactive Software Inc. TTWO, +5.86% and Electronic Arts Inc. EA, +2.78%
