RTTNews | Aug 4, 2021 07:34AM EDT

07:33 Wednesday, August 4, 2021 (RTTNews.com) - Shares of video game company Activision Blizzard, Inc. (ATVI) are up more than 5% in pre-market on Wednesday following better-than-expected second-quarter results.

Net income in the second quarter increased to $876 million or $1.12 per share from $580 million or $0.75 per share in the same quarter a year ago.

Excluding items earnings were $1.20 per share, that beat the average estimate of 28 analysts polled by Thomson Reuters at $0.75 per share. Analysts' estimates typically exclude special items.

Revenue for the quarter increased to $2.296 billion from $1.932 billion last year. The consensus estimate was for $1.89 billion.

Looking forward to the third quarter, the company sees revenue to be $1.97 billion and adjusted earning to be $0.75 per share. Analysts expect the company to report earnings of $0.74 per share on revenue of $1.8 billion.

For the full-year, revenue is expected at $8.515 billion and adjusted EPS at $3.54 per share. The consensus estimate for earnings is at $3.77 per share on revenue of $8.77 billion.

The stock shed nearly 15% in the past 15 days, after the State of California filed a lawsuit against the company on 20, July, alleging discrimination and harassment against women in workplace.

"If we experience prolonged periods of adverse publicity, significantly reduced productivity or other negative consequences relating to this matter, our business likely would be adversely impacted. We are carefully monitoring all aspects of our business for any such impacts," Activision Blizzard said.

The company on Tuesday said J. Allen Brack, the president of Blizzard Entertainment unit was "leaving the company to pursue new opportunities." This shake up in the top management was followed by many employees walking off the job and protesting against the company's handling the matter.

Tuesday, ATVI closed at $79.83, down 3.54%. The stock is currently at $84.01.

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