Post by Eorl @ 10:36am 07/05/14 | 8 Comments
Activision Blizzard has reported a net revenue of $1.11 billion for the first quarter of its 2014 fiscal year, largely driven by the success of two of its mainline franchises - World of Warcraft and Diablo 3: Reaper of Souls - however the recently-released free-to-play card battler Hearthstone: Heroes of Warcraft has also pushed the revenue further.
The reported financials are far higher than February's earnings report, which was projecting a $885 million, though it is a slight drop from its $1.32 billion earnings during the same period of 2013. Net revenue from digital platforms has accounted for 34 percent of the Q1 financials, a staggering increase to the already falling physical sales the industry is experiencing.
Diablo 3's Reaper of Souls expansion claimed the number one PC title in terms of dollars, with Skylands: Swap Force and Call of Duty: Ghosts gaining number one and two respectively across the North America and Europe markets. Swap Force was also noted as the number one-selling children's game for the quarter, in terms of dollars.
In World of Warcraft news, Blizzard did note that while WoW is still number one on the subscription-based MMORPG market, it has dropped in player subscriptions. Approximately 7.6 million players are still subscribed to the game, down 200,000 since the last financial report and 700,000 down from the year-over-year.
In the report, CEO Bobby Kotick cited the above titles for the first quarter's successing, noting that continued sales of Skylanders and Call of Duty titles also contributed to the better-than-expected results. Additionally, based on its first quarter results, Activision is raising its financial outlook for the fiscal year to $4.22 billion in net revenue.
"We have a strong product pipeline for the balance of the year, beginning with the Sept. 9 planned launch of Destiny, which we believe could become our next billion dollar franchise and the largest new videogame IP launch in history," Kotick said in a statement.