Take-Two Interactive Software, Inc. (TTWO) Q3 2026 Earnings Call February 3, 2026 4:30 PM EST
Company Participants
Nicole Shevins – Senior Vice President of Investor Relations & Corporate Communications Strauss Zelnick – Executive Chairman & CEO Karl Slatoff – President Lainie Goldstein – Chief Financial Officer
Conference Call Participants
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Douglas Creutz – TD Cowen, Research Division Eric Handler – ROTH Capital Partners, LLC, Research Division Colin Sebastian – Robert W. Baird & Co. Incorporated, Research Division Christopher Schoell – UBS Investment Bank, Research Division Andrew Marok – Raymond James & Associates, Inc., Research Division Edward Alter – Jefferies LLC, Research Division Jason Bazinet – Citigroup Inc., Research Division Alec Brondolo – Wells Fargo Securities, LLC, Research Division Michael Hickey – The Benchmark Company, LLC, Research Division Andrew Crum – B. Riley Securities, Inc., Research Division Brian Pitz – BMO Capital Markets Equity Research Martin Yang – Oppenheimer & Co. Inc., Research Division Omar Dessouky – BofA Securities, Research Division
Presentation
Operator
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Hello, and thank you for standing by. My name is Tiffany, and I will be your conference operator today. At this time, I would like to welcome everyone to the Q3 Fiscal Year 2026 Quarterly Earnings Results Call. [Operator Instructions]
I would now like to turn the call over to Nicole Shevins, Senior Vice President, Investor Relations and Corporate Communications. Nicole, please go ahead.
Nicole Shevins Senior Vice President of Investor Relations & Corporate Communications
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Good afternoon. Thank you for joining our conference call to discuss our results for the third quarter of fiscal year 2026 ended December 31, 2025.
Today’s call will be led by Strauss Zelnick, Take-Two’s Chairman and Chief Executive Officer; Karl Slatoff, our President; and Lainie Goldstein, our Chief Financial Officer. We will be available to answer your questions during the Q&A session following our prepared remarks.
Before we begin, I’d like to remind everyone that statements made during
Taylor Swift made a rare public appearance over the weekend, attending Jay-Z and Beyoncé’s exclusive Oscars after-party in Los Angeles on March 15, where she and fiancé Travis Kelce mingled with Hollywood’s elite following the 98th Academy Awards. The low-key outing marks one of the couple’s few joint red-carpet-adjacent events since Swift’s 2025 album *The Life of a Showgirl* dominated charts and propelled her net worth past $2 billion, according to recent estimates.
AFP
Partygoers, including filmmaker Natalie Mustiata, confirmed Swift’s presence at the coveted Gold Party, hosted annually by the music power couple. Mustiata told The New Yorker in an interview published March 16 that she encountered the pop superstar, describing the atmosphere as celebratory and star-studded. Swift, dressed elegantly for the post-Oscars festivities hosted by Conan O’Brien earlier that evening, kept interactions casual amid the glitzy crowd. Kelce, fresh off his NFL season with the Kansas City Chiefs, joined her for the night out, with sources telling Just Jared the pair enjoyed a relaxed evening connecting with friends in the industry.
The sighting comes amid heightened speculation about the couple’s personal milestones. Multiple outlets reported in early March that Swift and Kelce have set June 13, 2026, as their wedding date, with venues in Rhode Island rumored as potential sites. Fan theories intensified after Taylor Nation posted a chalkboard image promoting a *The Life of a Showgirl* listening party, where some deciphered faint erased text possibly reading “June 13” alongside hints like “KC” and “NY.” While unconfirmed, the date aligns with podcast tips and insider whispers, fueling excitement among Swifties.
Swift’s financial dominance remains a central storyline. Her 2025 album *The Life of a Showgirl* sold 1.6 million vinyl units in the U.S., playing a pivotal role in pushing annual vinyl revenue past $1 billion for the first time since 1983, per industry reports. The orange-themed era, produced in part by Max Martin, featured hits like “Elizabeth Taylor,” which peaked at No. 3 on the Billboard Hot 100 upon its October 2025 release. A limited-edition “Elizabeth Taylor” 7-inch vinyl on Cry My Eyes Violet Glitter — pressed in a blue-and-purple galactic variant — was announced for Record Store Day 2026, with details rolling out to indie stores starting April 18. The release adds to Swift’s streak of high-profile physical media drops, capitalizing on the vinyl resurgence she helped drive.
No new studio album is expected in 2026, insiders say, as Swift focuses on promoting *The Life of a Showgirl* through singles, videos and an “era of singles” approach reminiscent of *1989*. Fans anticipate celebrations for the 20th anniversary of her 2006 self-titled debut, potentially including a Taylor’s Version re-recording with vault tracks. Speculation about vault releases from *Reputation*’s 10th anniversary in 2027 also swirls, though nothing is confirmed.
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Tour rumors persist, with sources indicating “ideas percolating” for a potential *Life of a Showgirl* tour or extension of The Eras Tour concept. While Swift has not announced plans, some predict announcements later in 2026, possibly targeting 2027 or 2028 starts. Fanon wikis and Reddit threads discuss hypothetical Eras Tour 2.0 iterations incorporating new material, but official word remains absent.
Other March developments include a call from artist EJAE for Swift to collaborate on the soundtrack for the *KPop Demon Hunters* sequel, shared via Variety on March 15. Swift’s influence extends beyond music, with her family historically voicing concerns over political figures like former President Donald Trump — a point resurfaced amid Kelce’s recent golf chat with Trump’s granddaughter Kai at a TGL event.
A brief health-related concern earlier in March prompted fan worry after a reported update about successful surgery and recovery, though details stayed private and support poured in from Swifties. The star has since resumed public visibility, underscoring her resilience amid a demanding schedule.
Swift’s cultural footprint shows no signs of fading. With *The Life of a Showgirl* still charting globally and her catalog driving streaming and sales, she enters spring 2026 as one of entertainment’s most powerful figures. The Oscars after-party appearance, wedding anticipation and vinyl excitement keep her in headlines, blending personal joy with professional triumphs.
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As June approaches, all eyes remain on the couple for wedding confirmations, while music fans watch for any hints of new drops or live returns. Swift’s ability to balance mega-stardom with private milestones continues to captivate, ensuring her story dominates conversations well into the year.
Global K-pop phenomenon BTS is on the cusp of one of the most anticipated returns in music history, with their fifth studio album *Arirang* set for release on March 20, 2026, followed by a landmark live performance streamed worldwide on March 21. The septet — RM, Jin, Suga, J-Hope, Jimin, V and Jungkook — ends a nearly four-year group hiatus triggered by mandatory military service, marking their first full-album drop since 2020’s *Be* and their first collective activities since reuniting post-discharge.
BigHit Music (HYBE) confirmed the March 20 comeback date in early January, with the announcement igniting a frenzy among ARMY, the band’s devoted fanbase. “March 20th comeback confirmed,” the label posted on X, translating the Korean message that sent pre-order demands soaring and resale markets for merchandise surging. The album, titled *Arirang* after Korea’s traditional folk song symbolizing resilience and longing, reflects the members’ journey through service, solo ventures and rediscovery as a unit.
Lead single “Swim” teases have already surfaced, with the first music video snippet showing nautical themes and high-energy choreography. Fans on social media praised the visual as a nod to BTS’s signature blend of introspection and dynamism. Pre-orders opened in mid-January, with physical editions featuring member-specific concepts and photobooks selling out rapidly across platforms.
The comeback culminates in *BTS THE COMEBACK LIVE | ARIRANG*, a special outdoor concert at Seoul’s historic Gwanghwamun Square on March 21 at 8 p.m. KST. Broadcast live exclusively on Netflix for all subscribers, the event celebrates the album’s release and BTS’s return to the stage after three years and nine months. Countdown events have unfolded daily in Seoul, with D-5 to D-4 activations drawing crowds and generating viral footage of fan light-stick oceans and choreo practices.
A Netflix documentary, *BTS: THE RETURN*, premieres March 27, offering behind-the-scenes access to the recording process in Los Angeles and Seoul. Directed by Bao Nguyen and produced by HYBE and This Machine, the film captures moments of doubt, laughter and creative breakthroughs as the members reconvened post-service. Trailer footage shows RM leading discussions, Jungkook in vocal booths and Jin cracking jokes, underscoring their unbreakable bond.
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All seven members completed mandatory military service by mid-2025. Jin discharged first in June 2024, followed by J-Hope in October 2024. RM and V finished in June 2025, with Jimin and Jungkook shortly after. Suga, serving alternative social work duty due to health considerations, wrapped up last in June 2025. No public discharge events occurred for most to avoid overcrowding, but private reunions fueled speculation about group plans.
The hiatus allowed prolific solo output: RM’s introspective albums, Suga’s Agust D tours, J-Hope’s *Jack in the Box*, Jimin’s *Face* and *Muse*, V’s *Layover*, Jungkook’s *Golden* and Jin’s upbeat tracks. These projects kept BTS culturally dominant, with members topping charts and earning Grammy nods individually. The group reconvened in summer 2025 for recording, with Jimin confirming completion in November.
A massive world tour, *BTS WORLD TOUR ARIRANG*, launches April 9, 2026, in Goyang, South Korea, spanning Asia, North America, Europe, Latin America and Australia through March 2027. Initial dates sold out instantly, with additional shows expected. The 82-date itinerary positions BTS to shatter attendance records set by their pre-hiatus *Love Yourself* and *Map of the Soul* tours.
Security concerns loom large for the Seoul concert, with authorities raising terror alerts to “caution” in Jongno and Jung-gu districts. Enhanced measures include crowd control and surveillance around Gwanghwamun Square, a site of historic protests and cultural events. Officials urge fans to follow guidelines for safe attendance.
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Merchandise demand has spiked, with official light sticks reselling at premiums ahead of the live event. Original versions hover around 50,000 won, but scarcity drives secondary prices higher. ARMY worldwide express eagerness, with hashtags like #BTS_ARIRANG and #BTSisBack trending globally.
Industry observers hail the comeback as a pivotal moment for K-pop’s global dominance. BTS’s influence extends beyond music, boosting tourism, language learning and Korean culture exports. The return coincides with HYBE’s expansion, positioning the group as central to the conglomerate’s strategy.
In a rare joint interview with GQ, RM emphasized reunion joy: “The most important thing is just that we are here back together again. We’re going to see the fans all over the world.” Members described *Arirang* as a “culmination” of their evolution, blending signature hip-hop roots, pop anthems and mature reflections on identity and perseverance.
As March 20 approaches, anticipation builds to fever pitch. With the album, live stream, documentary and tour, 2026 marks BTS’s bold new chapter. ARMY’s purple light sticks will illuminate screens and stadiums, signaling the kings’ triumphant return.
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The comeback not only reunites one of music’s most influential acts but reaffirms BTS’s commitment to authenticity amid unprecedented fame. From military barracks to global stages, their story inspires millions, proving resilience and connection transcend borders and time.
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Asian refiners are moving earlier than usual to secure crude oil from Russia’s Far East, as hopes for a swift resolution to Middle Eastern supply disruptions fade and the expiration of a U.S. temporary waiver on Russian oil looms.
Cargoes of Eastern Siberia-Pacific Ocean blended crude oil—a light, sweet Russian grade exported from the Kozmino terminal in the Far East to Asia-Pacific markets—are normally traded one month before loading. But with the Strait of Hormuz effectively closed, trading has kicked off early as refiners rush to plug supply gaps, according to Kpler.
The conflict in the Middle East has significantly disrupted Thailand’s aviation sector, leading to the cancellation of over 1,000 flights and a downward revision of 2026 growth projections to a maximum of 3%.
According to Aeronautical Radio of Thailand Ltd (AEROTHAI), the combination of geopolitical instability, airspace closures, and surging fuel costs is straining air traffic management and increasing operating expenses for airlines, ultimately slowing the industry’s recovery and long-term expansion.
Key Points
Over 1,000 flights operated by Middle Eastern airlines to Thailand have been cancelled since the conflict began on February 28, 2026, accounting for approximately 3% of total flight volumes.
Suvarnabhumi Airport has been the most affected with over 600 cancellations, followed by Phuket Airport with 400, while Krabi, Chiang Mai, and Don Mueang have also experienced disruptions.
The conflict is impacting critical flight corridors connecting Europe, the Middle East, and Asia, requiring AEROTHAI to monitor route changes and potential airspace closures closely.
Rising global oil prices and an associated energy crisis have increased operating costs for airlines, leading to higher passenger fares.
Volatility in global oil prices has increased operational costs for airlines, leading to higher airfares and potentially weakening long-term passenger demand. Projected flight growth for 2026 has been adjusted downward to no more than 3% over 2025 levels due to the severity of the conflict and economic pressures.
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