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Activision Blizzard cites Microsoft deal and lower Call of Duty sales as cause of declined revenuesActivision Blizzard has released a annual financial report for the first period of the year 2022. The company's revenue and net income drop year-over year with lower Call of Duty sales and the Microsoft deal listed as one of the causes behind this.
The net earnings of the company were $1.77 billion which was lower by 22.2 percent from the previous year. Microtransactions as well as subscriptions, licensing royalties and other downloaded content made up 78% of the revenue.
Activision Blizzard's net income was $395 million and is down 36.1 percent over the past year.
The company noted lower results on Call of Duty, product cycle timing at Blizzard as well as an "increase in professional and legal fees caused by the expenses due to our proposed merger of Microsoft Diablo 2 Resurrected buy items," among reasons leading to the decline.
During the first quarter, Call of Duty net bookings declined year-over-year, reflecting less Vanguard sales as well as lower participation in Warzone.Blizzard's revenues also decreased year-over year in line with "product cycle timing for Warcraft." Warcraft franchise.Diablo Immortal release date is on June 2 and has already accumulated more than 30 million pre-registrations for the game on iOS and Android