Take-Two Interactive Software Inc (TTWO)

Operating profit margin

Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020
Operating income (ttm) US$ in thousands -4,391,100 -3,327,300 -3,324,700 -3,571,200 -3,590,600 -1,585,500 -1,630,000 -1,340,700 -1,134,200 -297,336 30,893 305,444 473,718 600,671 622,499 717,715 645,820 511,887 512,663 472,116
Revenue (ttm) US$ in thousands 5,633,600 5,450,500 5,457,000 5,403,100 5,349,600 5,396,400 5,437,900 5,532,200 5,349,900 4,833,704 4,329,156 3,793,854 3,504,800 3,414,227 3,371,864 3,354,808 3,372,772 3,293,882 3,363,122 3,379,821
Operating profit margin -77.94% -61.05% -60.93% -66.10% -67.12% -29.38% -29.97% -24.23% -21.20% -6.15% 0.71% 8.05% 13.52% 17.59% 18.46% 21.39% 19.15% 15.54% 15.24% 13.97%

March 31, 2025 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $-4,391,100K ÷ $5,633,600K
= -77.94%

The operating profit margin of Take-Two Interactive Software Inc has exhibited a downward trend over the observation period from June 30, 2020, to March 31, 2025. The operating profit margin started at 13.97% in June 2020, peaking at 21.39% in June 2021, but then experienced a gradual decline thereafter. In the most recent period, the operating profit margin plummeted to -77.94% in March 2025. This substantial decline indicates a significant decrease in the company's ability to generate profits from its core operations, which may be attributed to various internal and external factors affecting the company's financial performance. An operating profit margin turning negative raises concerns about the company's cost structure, efficiency, and overall financial health. Further analysis and investigation into the company's operational efficiency and cost management strategies are warranted to address the deteriorating trend in its operating profit margin.