Activision Blizzard Inc.'s fourth-quarter profit climbed 60 percent to $254 million as more people embraced a video game line-up that includes "Call of Duty, "Candy Crush," and "World of Warcraft" during the holiday season.
On a per-share basis, the Santa Monica, California-based company said Thursday that it had net income of 33 cents. Earnings, adjusted for one-time gains, costs and deferred revenue, came to 92 cents per share.
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The average estimate of nine analysts surveyed by Zacks Investment Research was for earnings of 76 cents per share.
The video game maker posted revenue of $2.01 billion in the period, a 49 percent increase from the previous year. Its adjusted revenue was $2.45 billion, surpassing Street forecasts. Five analysts surveyed by Zacks expected $2.27 billion.
For the current quarter, Activision Blizzard expects its adjusted per-share earnings to be 18 cents per share, including the impact of deferred revenue.
The company said it expects revenue, including the impact of deferrals, to be $1.05 billion for the first quarter.
Activision Blizzard expects adjusted full-year earnings to be $1.85 per share on revenue of $6.3 billion, including deferrals.
The company's board also announced a 15 percent increase in Activision Blizzard's annual dividend to 30 cents per share and approved spending up to $1 billion buying back the company's stock during the next two years.
Activision Blizzard shares have increased 10 percent since the beginning of the year. The stock surged another $4.01, or 10 percent, to $43.74 in extended trading after the numbers came out.
Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on ATVI at https://www.zacks.com/ap/ATVI