Take-Two Interactive Q2 2027 Earnings Call Transcript

Take-Two Interactive (NASDAQ:TTWO) reported second-quarter financial results on Monday. The transcript from the company’s second-quarter earnings call has been provided below.

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Summary

Take-Two Interactive Software reported Q2 fiscal 2027 net bookings of $1.6 billion, slightly below the guidance range of $1.62 to $1.67 billion, with significant contributions from NBA 2K27 and Grand Theft Auto series.

The company reiterated its fiscal 2027 outlook for net bookings of $8.0 to $8.2 billion, driven by the anticipated launch of Grand Theft Auto 6 and expansion of recurrent consumer spending on NBA 2K27.

Grand Theft Auto 6 pre-orders are exceeding expectations, with significant marketing campaigns and global anticipation ahead of its November 19th release.

Take-Two highlighted continued strength in its mobile and direct-to-consumer channels, with successful titles like NBA 2K All-Star and Words With Friends driving growth.

Management expressed confidence in long-term growth driven by a diverse product portfolio, strategic initiatives, and disciplined M&A, highlighting Grand Theft Auto’s potential and new opportunities in streaming and geographical expansion.

Full Transcript

OPERATOR

Hello everyone. Thank you for joining us, and welcome to the Take-Two Interactive Software Second Quarter Fiscal Year 2027 Results Conference Call. After today’s prepared remarks, we will host a question-and-answer session. If you would like to ask a question, please press star-one to raise your hand. To withdraw your question, press star-one again. I will now hand the conference over to Nicole Shevins, SVP, Investor Relations and Corporate Communications. Nicole, please go ahead.

Nicole Shevins (Senior Vice President, Investor Relations and Corporate Communications)

Good afternoon. Thank you for joining our conference call to discuss our results for the second quarter of fiscal year 2027 ended September 30, 2026. Today’s call will be led by Strauss Zelnick, Take-Two’s Chairman and Chief Executive Officer, Karl Slatoff, our President, and Lainie Goldstein, our Chief Financial Officer. We will be available to answer your questions during the Q&A session following our prepared remarks. Before we begin, I’d like to remind everyone that statements made during this call that are not historical facts are considered forward-looking statements under federal securities laws. These forward-looking statements are based on the beliefs of our management as well as assumptions made by and information currently available to us. We have no obligation to update these forward-looking statements. Actual operating results may vary significantly from these forward-looking statements based on a variety of factors.

These important factors are described in our filings with the SEC, including the company’s most recent annual report on Form 10-K and quarterly report on Form 10-Q, including the risks summarized in the section entitled Risk Factors. I’d also like to note that unless otherwise stated, all numbers we will be discussing today are GAAP and all comparisons are year over year. Additional details regarding our actual results and outlook are contained in our press release, including the items that our management uses internally to adjust our GAAP financial results in order to evaluate our operating performance. Our press release also contains a reconciliation of any non-GAAP financial measure to the most comparable GAAP measure.

In addition, we have posted to our website a slide deck that visually presents our results and financial outlook. Our press release and filings with the SEC may be obtained from our website at taketwogames.com. And now I’ll turn the call over to Strauss.

Strauss Zelnick (Chairman and Chief Executive Officer)

Thanks, Nicole. Good afternoon, and thank you for joining us. Today we delivered second quarter net bookings of $1.6 billion, which was slightly below our guidance range of $1.62 to $1.67 billion. While NBA 2K27 launched successfully and achieved the second-highest net bookings performance in the history of the series, it was below our forecast for the period. Our mobile business performed in line with our plans, and the Grand Theft Auto series exceeded our forecast ahead of next week’s eagerly anticipated launch of Grand Theft Auto 6.

We’re reiterating our fiscal 2027 outlook for net bookings of $8.0 to $8.2 billion. Preorders for Grand Theft Auto 6 are tracking far in excess of our initial expectations, and we know that the numbers will speak for themselves soon enough. Our outlook also includes the launches of new mobile and previously announced sports titles and growth in recurrent consumer spending for NBA 2K27 during the second half of our fiscal year, driven by the largest slate of post-launch content in franchise history.

Turning to highlights from the period, Grand Theft Auto 5 continued to expand its audience, and to date the title has sold nearly 235 million units worldwide. The series grew a double-digit percentage for both recurrent consumer spending and average monthly members for GTA as players enjoyed the latest major update, the Court Center Heist, along with monthly events, new races, and more. In September, Rockstar Games unveiled NoPixel 5, the next evolution of Grand Theft Auto 5’s roleplay community with an entirely overhauled experience, new locations, and graphic enhancements focused on player immersion.

To celebrate the launch, throughout the month, players were able to earn exclusive items within Grand Theft Auto Online by watching select roleplay streamers on Twitch. Rockstar Games will continue to support Grand Theft Auto Online with new content and ongoing events for its vast community. Grand Theft Auto 6, coming to the world on November 19th, promises to be not only highly engaging, but in fact the biggest and most detailed, groundbreaking experience Rockstar Games has ever created. As you’ve undoubtedly seen, marketing for the title is well underway across the globe and has included an extended look at the game, which premiered on Netflix and became the platform’s most viewed title for the week, drawing in 31 million consumers in just its first four days; an array of in-depth features and magazine covers; the reveal of the official soundtrack, which included three tracks that debuted in the top 10 of their respective Billboard charts; the announcement of A Special Night in Vice City in partnership with the NBA, where the Miami Heat will play as Vice City versus the Milwaukee Bucks; and a series of unique in-person activations celebrating Vice City in Miami. We’re immensely proud of the team at Rockstar Games for their unparalleled commitment to and passion for elevating our art form and all entertainment. 2K and Visual Concepts once again delivered the most realistic and authentic NBA experience in interactive entertainment with NBA 2K27, which has sold over 4 million units so far. The launch window is unusually busy, with numerous entertainment experiences competing for players’ attention. We expect an acceleration of net bookings and engagement during the second half of the year as 2K and Visual Concepts plan to introduce a robust slate of in-game content, including exciting themed seasons, all-new college basketball experiences, and innovation within MyTEAM.

During the quarter, Borderlands 4 offered new downloadable content and introduced several promotions, which are driving improved engagement and player retention. The Borderlands franchise has now surpassed 100 million units sold, marking an incredible milestone for Gearbox and 2K. We look forward to even more content for Borderlands 4 and what lies ahead for the series. During the period, 2K released add-on content and updates for Mafia: The Old Country, Sid Meier’s Civilization 7, PGA Tour 2K, and WWE 2K, which enhanced gameplay and player engagement.

Further, our mobile portfolio performed in line with our expectations, underscoring the importance and impact of our diversified business. As we had anticipated, net bookings for Color Block Jam decreased double digits compared to its peak performance during last year’s second quarter. Net bookings for Toon Blast grew 4% over last year’s record second quarter results, driven by a new in-game feature called Beam, which assists players while solving puzzles and has been increasing engagement and level progression.

Words With Friends benefited from a multi-platform collaboration with the hit TV show Wheel of Fortune, including a dedicated on-air theme week and in-game puzzles and online events for players, which drove net bookings growth of 6%. Our advertising business improved sequentially as we successfully attract new partners and increase ad yields. 2K’s mobile offerings also continue to perform well, with solid downloads and engagement across key titles.

NBA 2K All-Star, our mobile title in partnership with Tencent in China, surpassed 11 million registered users since launching this year and is yielding strong profit margins. We continue to see strength in our mobile and direct-to-consumer channel, which remains a significant driver of revenue and margins as we include new titles, foster direct relationships with players, and reduce payment friction to enhance the user experience and drive repeat purchases. These efforts position our direct-to-consumer platform as a durable and expanding engine for net bookings growth and long-term profitability. Looking ahead, Zynga continues to develop and test many new titles, and several are promising based on their initial performance in soft launch, including Top Goal.

We believe that fiscal 2027 will be an historic year for Take-Two, driven by our unwavering commitment to delivering the highest-quality entertainment experiences guided by our core pillars: creativity, innovation, and efficiency. We’re confident in our ability to build on this incredible year and to set new benchmarks as we deliver on our plan for long-term success. I’d like to express my gratitude to our 13,000 colleagues around the world for their dedication to our common mission and for making our company what it is today and what we will be tomorrow.

I’ll now turn the call over to Karl.

Karl Slatoff (President)

Thanks, Strauss. I’d like to thank our teams who do their best work every day in the pursuit of our creative, financial, and operational goals. I’ll now discuss our recent and upcoming releases. On October 8, 2K and Gearbox released Risk of Rain 2: Hallowed Concepts, which introduced two new playable survivors, new regions to explore, and expanded gameplay mechanics to deepen the player experience. 2K continued to innovate its mobile offerings for the NBA 2K franchise. On October 20th, NBA 2K Mobile Season 9 launched with new modes that connect in-game action to real-world NBA schedules, a rewind feature that allows players to enjoy historic and iconic NBA moments, and real-time PvP matches.

Additionally, NBA 2K27 Arcade Edition made its debut last week, offering WNBA Play Now, new expansion teams, deeper career journeys and progressions, a new 5v5 experience, and exclusive GOAT skills and rewards. On October 28th, 2K and Visual Concepts continued their post-launch content for WWE 2K26 with the release of Ringside Pass Season 6 and the standalone Street Fighter Elite Pack, which marks our first ever collaboration with Capcom and includes signature character moves and themed cosmetic creation parts. 2K also released Season 13 for WWE SuperCard last week, which has now been downloaded nearly 40 million times since its initial launch.

Firaxis announced new content for Sid Meier’s Civilization VII for 2027, including Arc of Tomorrow, a comprehensive free update extending gameplay into the Atomic Age, and Earthrise, the title’s first major premium expansion featuring extended core mechanics and space-era progression. These additions will provide players with more ways to take one more turn in this iconic strategy series. In the coming months, 2K will provide updates on PGA Tour 2K27 and WWE 2K27, both of which are slated to launch later this fiscal year.

Zynga will continue to focus on enhancing its existing mobile portfolio with bold beats and updates, as well as releasing new titles including Top Goal, which is currently in soft launch. It’s incredibly exciting to be just days away from Rockstar Games’ launch of Grand Theft Auto 6, and preloads are rolling out across the world. This is a defining moment for our company and the entertainment industry, and our teams are proudly supporting this global phenomenon with our robust and diverse long-term product development pipeline.

We are well positioned to capitalize on our many opportunities on the horizon to engage audiences throughout the world. I’ll now turn the call over to Lainie.

Lainie Goldstein (Chief Financial Officer)

Thanks, Carl, and good afternoon, everyone. Our second quarter net bookings were $1.6 billion, which was modestly below our guidance range of $1.62 to $1.67 billion. Recurrent consumer spending was down 9% for the period compared to our guidance of a 5% decline, driven by NBA 2K, and accounted for 81% of net bookings compared to last year. NBA 2K and mobile each decreased while the Grand Theft Auto series was up. GAAP net revenue decreased 16% to $1.5 billion, cost of revenue decreased 20% to $637 million, and operating expenses decreased 9% to $978 million.

On a management basis, operating expenses declined 9% year over year. This was favorable to our forecast due to lower personnel and user acquisition costs. Turning to our outlook, we are exceedingly optimistic about the rest of the year and are reiterating our fiscal 2027 net bookings outlook range of $8 to $8.2 billion. The launch of Grand Theft Auto 6 is only 10 days away and the level of pre-orders generated is extraordinary. Additionally, 2K and Visual Concepts plan to deliver the most innovative array of in-game content ever released for NBA 2K, which gives us confidence that recurrent consumer spending for the franchise will accelerate during the second half of the year.

The largest contributors to net bookings are expected to be the Grand Theft Auto series, NBA 2K, Toon Blast, Match Factory, Empires & Puzzles, Words With Friends, Red Dead Redemption series, Color Block Jam, WWE 2K, and Zynga Poker. We continue to expect recurrent consumer spending to be in line with fiscal 2026, representing 65% of net bookings. This assumes strong growth for the Grand Theft Auto series, largely due to our outlook of robust sales of Grand Theft Auto 6 Ultimate Edition, which includes add-on content, and high-single-digit growth for NBA 2K.

We continue to expect a decline in mobile due to last year’s success of Color Block Jam and our assumption that trends will moderate for several of Zynga’s mature mobile titles. We project the net bookings breakdown from our labels to be roughly 37% Rockstar Games, 34% Zynga, and 29% 2K. We remain on track to deliver operating cash flow in excess of $1 billion and to be in a net cash position by the end of the fiscal year. Our expectation to deploy approximately $290 million of capital expenditures is unchanged. We expect GAAP net revenue to range from $7.98 to $8.18 billion, cost of revenue to range from $3.68 to $3.8 billion, and operating expenses to range from $4.08 to $4.1 billion. On a management basis, we now expect operating expense growth of approximately 5% year over year, which is favorable to our prior forecast due to lower user acquisition costs, part of which is related to timing.

The expense growth compared to last year is primarily driven by marketing for Grand Theft Auto 6 and higher R&D costs. Now, moving on to our guidance for the fiscal third quarter, we project net bookings to range from $3.35 to $3.5 billion compared to $1.76 billion in the prior year. The largest contributors to net bookings are expected to be the Grand Theft Auto series, NBA 2K, Toon Blast, Match Factory, Empires & Puzzles, Words With Friends, Red Dead Redemption series, Color Block Jam, Zynga Poker, and Toy Blast. We project recurrent consumer spending to increase by approximately 12%, which assumes significant growth for the Grand Theft Auto series, driven by sales of Grand Theft Auto 6 Ultimate Edition, growth for NBA 2K, and a decline in mobile.

We expect GAAP net revenue to range from $3.27 to $3.42 billion, cost of revenue to range from $1.65 to $1.73 billion, and operating expenses to range from $1.16 to $1.18 billion. On a management basis, operating expenses are expected to grow by approximately 21% year over year, which is primarily driven by marketing costs to support the launch of Grand Theft Auto 6. In closing, we are extremely optimistic about our path ahead, and next week’s launch of Grand Theft Auto 6 is just the beginning. We believe that we can take our core franchises to the next level of success by releasing engaging new content and enhancing our live service offerings, all while launching new hit titles, expanding our geographic footprint, and pursuing accretive M&A. As we execute this extensive, multifaceted strategy to drive growth, we feel confident in our ability to unlock greater earnings power and deliver long-term shareholder value.

I’d like to thank our talented, passionate colleagues around the world for their hard work and for getting us to this pivotal moment in our multi-year growth story. I’ll now turn the call back to Strauss.

Strauss Zelnick (Chairman and Chief Executive Officer)

Thanks, Lainie and Karl. On behalf of our entire management team, I’d like to once again thank our colleagues for their contributions to our success and to our shareholders. I want to express our appreciation for your continued support. We’ll now take your questions.

OPERATOR

We will now begin the question-and-answer session. If you would like to ask a question, please press star-one to raise your hand. To withdraw your question, press star-one. Again, we ask that you pick up your handset when asking a question to allow for optimum sound quality. If you are muted locally, please remember to unmute your device. Please stand by while we compile the Q&A roster. Your first question comes from the line of Andrew Marek with Raymond James.

Andrew, your line is open. Please go ahead.

Andrew Marek (Analyst)

Hi. Thanks for taking my questions. You mentioned the GTA 6 marketing mega campaign—obviously a lot of innovative ideas going on there. Just in general, how is that trending versus your expectations in terms of building awareness around the launch date and hype for the game?

Strauss Zelnick (Chairman and Chief Executive Officer)

We do track awareness and anticipation, and everything is trending very positively.

Andrew Marek (Analyst)

Great. Then maybe a kind of related question, perhaps, but without commenting on the timelines of any specific titles, was wondering if you could speak to this concept of AI-assisted reverse engineering and decompilation of games. How does that affect your approach to things like development, security measures, and things like that? Thank you.

Strauss Zelnick (Chairman and Chief Executive Officer)

Highly focused on that, obviously. Look, this business has been largely immune to piracy concerns forever because of file sizes, complexity of piracy, being connected to servers, and the like. And undoubtedly it would be very difficult to replicate the experience of consuming our game as intended because of technical limitations. That said, it’s going to become more of a challenge, as you said, and we’re aware of that. So we are utterly focused on enhancing our technical defenses and enhancing our legal activities appropriately, and at the same time, without in any way being cavalier, every entertainment business that exists is subject to some element of piracy. So this is likely to invade our business to a greater or lesser extent. I think it will be manageable, and we are focused on it.

OPERATOR

Your next question comes from the line of Doug Kreutz with TD Cowen. Doug, your line is open. Please go ahead.

Doug Kreutz (Analyst)

Hey. Thank you. There have been earnings calls in the past, and I forget how long ago they were, but at one point you had said that you expected to be able to grow revenue and earnings for the company in the year after you launched GTA 6. I’m just wondering, is that a comment you still stand by, or have things evolved such that you don’t want to stand on that comment anymore? Thank you.

Strauss Zelnick (Chairman and Chief Executive Officer)

Tempting as it is, Doug, I’m not going to give you guidance for fiscal ’28 today. We have said that we expect to set a new baseline for performance going forward, and we do think that there’s a great opportunity for growth. There’s so many wonderful things ahead for us. We have the most diverse and powerful portfolio of intellectual property in the industry, and there’s more than one sort of defining item of what’s next for us. So many elements of our business plan offer opportunity for higher net bookings and earnings power.

So despite the fact that many of our franchises—and to be clear, we have 15 that have sold at least 5 million units in an individual release in our PC and console business—despite that so many have achieved this massive commercial scale, we think there’s enormous opportunity ahead for many of them, including GTA. We think the world’s going to look dramatically different over the next decade because, with the backdrop of our commitment to releasing the highest-quality entertainment experiences, we think we’ll be able to reach gamers in new ways—for example, including streaming—in new geographies, and also we’ll be able to continue to engage with consumers post-launch, which has stated part of our strategy since the beginning of what we call recurrent consumer spending.

We’re also one of the few interactive entertainment companies who’s willing and able to take the risk of investing in new intellectual property. It is the riskiest thing that we do. It’s also paid off for us mightily over the past 19 years, even though we certainly haven’t always been successful. In addition, we’ve taken a disciplined approach to M&A. Our deals have been accretive and successful across the board. We think there are selective opportunities going forward, especially because our balance sheet is aimed at being very conservative and very strong. By year-end we expect to be in a net cash position again. Right now we’re geared at less than 1x LTM EBITDA. And finally, we have numerous strategic initiatives we’re working on that range from big to very big to huge that are under consideration and in development.

So we think the future is really bright across the board.

Doug Kreutz (Analyst)

Great, thank you.

OPERATOR

Your next question comes from the line of Eric Handler with Roth Capital Partners. Eric, your line is open. Please go ahead.

Eric Handler (Analyst)

Good afternoon. Thanks for the question. I think we’ll start with an accounting question for Lainie. Given the strong growth in console RCS expected in the third quarter, which you attribute to the GTA 6 Ultimate Edition, should we assume that, you know, if the standard edition is 80 bucks, the Ultimate Edition is 100 bucks, that $20 goes to count as RCS?

Lainie Goldstein (Chief Financial Officer)

Yes. So the add-on content can be also purchased separately, so it’s allocated to RCS.

Eric Handler (Analyst)

Okay, that’s helpful. I guess I’ll throw you an NBA 2K question. I’m just curious—you know, the decline that you saw in 2Q, would you attribute that to maybe just not having the prior-gen SKUs, or was there something else in there that maybe didn’t resonate with fans?

Karl Slatoff (President)

This is Karl. So, first of all, it is the second-highest launch we’ve ever had. We’re very excited about the launch, and we do expect NBA to accelerate going into the second half of the year. We’ve kind of seen this before on a number of different occasions, and it’s really hard to know exactly what has caused a little bit of softness versus our expectations in the launch. There’s other things going on in the market, both inside and outside the gaming media.

But given the slate of content that’s coming up and the hard work that VC is doing right now on the game over the next half of the year, we’re pretty confident that we’re going to see a rebound, which we’ve seen before in the past as well. So we’re very excited about it. NBA is off to a great start, and we think it’s going to get even better as the year goes on.

Eric Handler (Analyst)

Thanks, Karl.

OPERATOR

Your next question comes from the line of Chris Scholl with UBS. Chris, your line is open. Please go ahead.

Chris Scholl (Analyst)

Great, thank you. You cited unprecedented and extraordinary pre-orders. With several more months of pre-order data now behind you, can you just help us understand maybe what keeps you from incorporating some of that strength into guidance? And as console prices continue to rise, how are you thinking about maximizing the accessibility and reach of a franchise like GTA beyond the traditional console audience? Does the higher cost of hardware increase the importance or potentially accelerate the timing of expanding availability through other platforms like PC or streaming?

Thank you.

Strauss Zelnick (Chairman and Chief Executive Officer)

Thanks, Chris. On the first point, we’re days away from the launch of GTA 6 and we tend to avoid claiming success before it occurs. So as soon as we have some experience post launch, we’re going to be very happy to describe what’s going on and how we see it. There is really no need to update numbers right now. On the second point, any information about new SKUs and the like will always come from our labels.

Chris Scholl (Analyst)

Okay, great. Thank you. And maybe if I can just fit in one more. Lainie, it appears the gross margins are down slightly in the full-year guidance. Can you just help us understand the drivers there?

Lainie Goldstein (Chief Financial Officer)

Sorry. It’s due to the mix of the business, and it’s being offset by some changes in the operating expenses.

Chris Scholl (Analyst)

Okay, great. Thank you.

OPERATOR

Your next question comes from the line of Brian Smelnick with J.P. Morgan. Brian, your line is open. Please go ahead.

Brian Smelnick (Analyst)

Great. Thanks for taking the question. Strauss, I believe you mentioned that Rockstar will continue to support GTA Online with new content and ongoing events for its community. Can you just elaborate a bit on the role of NoPixel and user-generated content, not only across GTA, but across the broader video gaming industry going forward, in your view? Thank you.

Strauss Zelnick (Chairman and Chief Executive Officer)

We’re really excited about the launch of NoPixel 5, which is really a professional version of the RPG business that we purchased with FiveM. And look, we’re thrilled that there are hundreds of thousands of consumers who like to engage with Grand Theft Auto Online in this way, and we think there’s plenty more opportunity to be seen here. So it’s early days, and it remains to be seen how this develops. Anytime our community wants to engage with our intellectual property, we want to be supportive if we can be.

And I think this is a great example of that.

Brian Smelnick (Analyst)

Great, thank you. Lainie, curious, I think you called out more favorable user acquisition trends versus initial guidance a few times, so could you just elaborate a little bit more on your comments there? Thank you.

Lainie Goldstein (Chief Financial Officer)

I’m sure we talked about the operating expenses being a little bit lower, and that was due to lower user acquisition costs, and some of that was due to timing, and that is mostly due to some of the movement and some of the new releases for our mobile titles.

Brian Smelnick (Analyst)

Great. Thank you both.

OPERATOR

Your next question comes from the line of Mike Hickey with StoneX. Mike, your line is open. Please go ahead.

Mike Hickey (Analyst)

Hey Strauss, Karl, Lainie, Nicole. Congrats, guys, on the upcoming release. I can only imagine how excited all of you are. Just on the pre-order demand, curious, Strauss, what you think is driving such strong pre-orders here that have now exceeded your expectations?

Strauss Zelnick (Chairman and Chief Executive Officer)

Look, the title is so widely anticipated and consumers appear very, very excited, and all the press so far has been universally positive, so—makes me nervous even saying those words, Mike. But they are true, and we still aren’t ready to declare victory. Hopefully we’ll be able to do that in the fullness of time, and you don’t have to wait too long, I don’t think.

Mike Hickey (Analyst)

Pretty exciting, I guess. Maybe just last topic question, Strauss. Maybe if you could just speak to Rockstar’s competitive advantage as you see it moving forward, especially in an AI-influenced world that seems to be evolving right in front of us. Thank you.

Strauss Zelnick (Chairman and Chief Executive Officer)

Look, technology benefits us. It’s always been true. We’ve always created our entertainment inside computers with technology. All advances have benefited us, and I don’t expect that that will change. In fact, I hope it’ll accelerate. I think at the same time, what we’re known for here is the desire to make the best entertainment on Earth and the fact that, more often than not, we succeed. And the creativity that drives that success is human creativity harnessing technology.

And I think that’s what you’ll see in the future. Undoubtedly, some of the most recent technological advances that you’ve seen have made it easier to create assets. Well, that is consistent with the story of our business. When I started in interactive entertainment longer ago than I would like to say, it was really difficult to create an asset in a computer. Today, it’s a whole lot easier. But you know what’s not easier? Making a big hit. Making a big hit was hard then, it’s hard now, and it’s going to be hard in the future.

And hit creation remains the purview of human beings.

Mike Hickey (Analyst)

Good luck, guys.

OPERATOR

Your next question comes from the line of James Heaney with Jefferies. James, your line is open. Please go ahead.

James Heaney (Analyst)

Thank you. In the press release, you mentioned you’re looking to explore new business opportunities. Is there anything in particular you can say about this comment? And what are areas that maybe you haven’t explored in the past that potentially could look interesting to you?

Disclaimer: This transcript is provided for informational purposes only. While we strive for accuracy, there may be errors or omissions in this automated transcription. For official company statements and financial information, please refer to the company’s SEC filings and official press releases. Corporate participants’ and analysts’ statements reflect their views as of the date of this call and are subject to change without notice.