Activision sales plunge as Call of Duty demand drops off
Sales at US game developer Activision Blizzard slumped below analysts’ estimates in the first quarter of the year as demand for its flagship Call of Duty series faltered.
The California-based firm’s quarterly adjusted sales stood at $1.48bn, well below analysts’ estimates of $1.80bn, according to Refinitiv data.
Revenues meanwhile tumbled to $395m for the quarter ending March 31, down from $619m a year earlier.
Sales were delivered a blow as demand settled following spikes during covid lockdowns when gamers looked to wile away the hours on consoles.
Lower premium sales for Call of Duty: Vanguard, the latest instalment of the series, and lower engagement in Call of Duty: Warzone both delivered a blow to overall performance, bosses said.
Shares in the firm fell beyond one per cent today after the firm revealed the plunge.
It comes as the developer readies to be snapped up by technology behemoth Microsoft after agreeing to a $75bn sale in January.