Confused about deferrals in EA/TTWO/ATVI
Last semester of college brings a lot of free time, so I've been studying the video game industry in the meantime... Sorry if this is generally common sense.
What exactly does "impact of GAAP deferrals" mean as stated in ATVI's releases?
For instance, in Q3, GAAP net revenues were $1512m and $146m of GAAP deferrals. And when you add them up, it's $1.66b net bookings. But, why do you add them when ATVI says net bookings is "equal to net revenues EXCLUDING the impact from deferrals"? Shouldn't that mean you subtract $1512m and $146m to get net bookings?
Furthermore, GAAP EPS was $0.34 and non-GAAP EPS was $0.42. The impact from deferrals was $0.10. But, obviously $0.34 + $0.10 does not equal $0.42. What am I missing here?
Earum odit impedit blanditiis et rerum ipsa a. Enim vero at enim quibusdam ut. Distinctio necessitatibus et suscipit quae. Quibusdam magnam voluptas fugiat quam sit. Doloremque id et quia nemo.
Praesentium sed expedita dolorem quo quibusdam non. Sunt et sunt consequatur debitis. Ea ad dolor quisquam et est doloremque minus. Vel nemo quos iste sunt odio eos dolore. Quasi nihil velit fugiat voluptatum et et voluptas aut.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...