TTWO · 10-Q · 2026Q3 · Full report

Operating Expense Trends

TAKE TWO INTERACTIVE SOFTWARE INC · 2026-11-09 · Importance 40 · Surprise 32

For the six months ended September 30, 2026, total operating expenses declined 5.3% to $1,895.9 million, while operating expenses rose to 62.6% of revenue from 61.1% as net revenue contracted. Selling and marketing fell $131.3 million to $814.6 million, mainly because of lower marketing for Borderlands, Color Block Jam, and Match Factory!, partly offset by higher Grand Theft Auto marketing. Research and development increased $3.8 million to $528.2 million as higher personnel and cloud-based IT infrastructure costs were partly offset by lower production expenses. General and administrative increased $24.4 million to $456.8 million, driven by cloud-based services and IT infrastructure, personnel, and online support services.

Key facts

• Quarterly selling and marketing expenses decreased by $91.8 million, primarily due to lower Borderlands marketing, partially offset by higher Grand Theft Auto marketing. source
• Six-month selling and marketing expenses decreased by $131.3 million, primarily due to lower marketing expense for Borderlands, Color Block Jam, and Match Factory!, partly offset by higher Grand Theft Auto marketing. source
• Quarterly research and development expenses decreased by $13.6 million, primarily due to lower personnel and production expenses. source
• Quarterly general and administrative expenses increased by $5.5 million, primarily due to higher IT-related cloud services and infrastructure expenses. source
• Six-month research and development expenses increased by $3.8 million, primarily due to higher personnel and cloud-based IT infrastructure expenses, partly offset by lower production expenses. source
• Six-month general and administrative expenses increased by $24.4 million, primarily due to higher cloud and IT infrastructure costs, personnel expense, and online support services expense. source