Skylanders series sales rise to $1.5 billion

Toys-to-life franchise reaches new global revenue milestone; Activision Blizzard posts $608 million in revenue for latest quarter.

Activision's Skylanders franchise has now generated more than $1.5 billion in revenue since the series debuted in 2011, the company announced today as part of its latest earnings report.

This new milestone is up from the $1 billion in lifetime sales announced in February.

The news came as part of Activision Blizzard's quarterly results for the period ended June 30. Net revenue for the period hit $608 million, significantly lower than the $1.05 billion posted this time last year.

Overall, Activision Blizzard posted a profit of $90 million for the quarter, well below the $224 million in net income the company recorded the same time last year.

The company's digital business accounted for $383 million during the quarter, making up 63 percent of Activision Blizzard's total revenues. Called out in this sector was Call of Duty downloadable content, which showed "significant growth," up 100 percent year-over-year.

"We are pleased with our second-quarter results, which confirm the preliminary results we released last week when we announced our transaction with Vivendi," Activision Blizzard CEO Bobby Kotick said in a statement.

Kotick said he is cautious about the company's outlook going forward, due to "uncertainties" around the console transition, among other things.

"However, despite this strength in the front half of the year, we remain cautious about the back half," Kotick said. "The issues we previously identified, including increased competition in the second half of the year and uncertainties surrounding the console transition, remain on the horizon."

Activision Blizzard is currently holding a call to discuss results and answer analyst and media questions.

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Discussion

47 comments
duuuuuuude1
duuuuuuude1

I wonder when Skylanders will join its friend, Guitar Hero on Plastic Crap Island.

CptRexKramer
CptRexKramer

I'm so glad my kid lost interest in this game.  It's nothing but a money pit.

Warhawk613
Warhawk613

That's dandy and all, but all we ask for now is a Spyro game that goes back to the roots that made the game awesome in the first place. 

Lakersblood
Lakersblood

90 million dollars this past quarter......jesus

advocacy
advocacy

But what happens when Disney Infinity comes out, hmm?

sundown19
sundown19

They'd get more of my money if some of the characters weren't so damn hard to find.  I'm looking at you, Ghost Roaster.

sasami_adachi
sasami_adachi

Merging a videogame and a physical toy is a really neat idea. If you can put yourself in the shoes of a child, it is not difficult to understand why the Skylanders series is so popular with children. Large ensemble of bright, colourful characters with different special powers. Level them up to defeat evil powers threatening a fantastical land. Easy platforming. Cooperative campaign. PvP arena battle. Platform-independent saves inside the physical toy that you can take with you and plug into another system. The ability to play with the figurines even when you are away from the game. The list goes on and on.

The toys themselves are also decently made in terms of build quality. Not comparable to those from Japan of course. But at least they are better made than, say, the Transformer Prime series from Hasbro.

J_Dangerously
J_Dangerously

Paul and Fred: Use your new found glory and prestige to lobby for and purchase the rights back to Star Control and make a sequel proper.

Will post this in every damn Skylanders article printed.  That is all.

WTF1555
WTF1555

What the others games devs are doing.......?

zenogandia
zenogandia

Everything activision makes turns into gold. I'm not sure how they do it.

nait2k4
nait2k4

Second hand sales and piracy are killing the industry! We only posted a $90 Million profit for this quarter.

immortality20
immortality20

Pfft, just a 90 million dollar profit. Most be rough.

Diegoctba
Diegoctba

I never played the game, but i think the action-figures are really cool.

Don't blame me.

EasyComeEasyGo
EasyComeEasyGo

If Nintendo were smart, they do the same thing with Pokemon and Nintendo would be swimming 1.5 Billion Yen if they thought about it.

Daian
Daian

I think I threw up a little in my mouth after reading this.

SexyMiralda
SexyMiralda

My son loves this game very much. He played spyro's adventure too. He now have his nice collection of skylanders (around 15 small ones and 3 giants). It always cracks him up when Brock says..."let's go kicking tails and taking names". The toys they are quite cute and charming...some of the in-game toy animations & sounds are funny too. Trigger Happy & Wrecking Ball are his favourites. I enjoyed playing with him both on spyro's adventure & the giants. He usually gives up when the fighting gets tougher...that's when I step in!!! 

Revl8n
Revl8n

Skylanders has gotten a bit excessive with the character expansions, but the concept is sound.  A novel product packaging solution to many issues developers complain about.  The future may see Skyrim,Borderlands, or CoD franchise games with a similar concept.  Character development saved into your character model(s).  To the developers who complain they don't make enough... then learn how to better manage your business and/or provide additional meaningful content - you don't have ot look very hard to see great examples of both.

ZIMdoom
ZIMdoom

I was lucky to not know what Skylanders was until "grandma" bought Giants for my son.  Even then, because it wasn't Mario, he mostly just played with the figures but wasn't interested in the game.  Now he's obsessed with the game and we can't go to a store without either a fight or a serious discussion about behaviour.  The game hits all the notes, levelling, collecting, new levels, customize via the upgrades, etc.  And as someone with the "collector gene" myself, it is hard to always say no to the kid, especially when I see a guy on the shelf that I'd never seen before.  It's bad, my kid is spoiled, but its also fun and why they are rolling in money.

fanirama
fanirama

My kids love Skylanders and we had to even buy them the backpacks for it. There seems to be no rhyme or reason why kids love it but usually if a few love it, word spreads and then everyone has to have it. 

Kinda like Harry Potter. I don't get the fascination with that when there are hundreds other books just like that about teens.

mouse314
mouse314

can some one explain what fantasia the game is about?

b74kd3th
b74kd3th

This shits a scam, they got these super rare ones that scalpers sell for hundreds. It isn't even online mp to were they can give you an advantage

Geminon
Geminon

pretty sad when one series does 1.5 billion in sales, but your entire company only posts 600 million in revenue...

bobby kotick is taking some serious bonuses...

cyborgbill
cyborgbill

i don't understand why this is so popular.

PixelAddict
PixelAddict

This is exactly the reason Disney is doing a very similar thing.  Kids like toys + games.

Hurvl
Hurvl

@CptRexKramer But it's a profitable money pit! Really, this is the kind of product any company would like to have. You don't only pay for the game, but for the toys, that can be used within the game. Physical DLC, when popular enough is the shit. No wonder Disney is going after that.

devild0ogwhite
devild0ogwhite

@zenogandia They know how to market well.  Skylanders isn't a particularly great or unique game by any means, but they came up with a concept that would appeal to kids and collectors and advertised it in all the right venues. 

devild0ogwhite
devild0ogwhite

@Diegoctba I think they're nice little collectables, I just think it's wrong to lock away content because someone can't afford a few figures with they're already expensive game.  If i recall correctly Skylanders starter set launched at 75 bucks.  3 figures included but you had to buy more for unique skills to get you into other areas.  It's basically the same as on-disc DLC that people demonized Capcom for.

soulless4now
soulless4now

@EasyComeEasyGo Pokemon had it's time to shine back in the '90s and early '00s. I can't see the children of today enjoying Pokemon like us old timers did when it first came out. 

Geminon
Geminon

@b74kd3th 

what? its not like it is random what you get... you just go to the store and pick the dude you want to buy...

ZIMdoom
ZIMdoom

I'm not sure you are reading that correct.  Skylanders has made 1.5 billion since 2011.  The 600 million is the companies revenue for just this past year, I believe.  The article claims that 600 mill is down from 1.05 they reported last year, 

So no, it isn't 1.5 billion in sales but only 600 in revenue.

ZIMdoom
ZIMdoom

My kid got it as a gift and I probably play it with him as much as he plays it himself.  The game is pretty fun, even though it is a kids game.  I admit to having a collector gene so searching for new releases/characters can be a bit of an obsession.  And you are always collecting or unlocking or upgrading things in the game which is a reward for playing and buying more stuff.  Taken as purely a game, it is ok.  But i would gaurantee that the toys, the levelling, the collecting, etc all plays a role as well.  My kid likes to take the toys with him everywhere so he can play with them even without the game.

Geminon
Geminon

@cyborgbill 

ill tell you why.... kids love toys... and videogames. and this game is actually kinda neat for kids.

Hurvl
Hurvl

@zenogandia @Snakepond1 But with all the connected this and social that, you wonder if not some kind of social-ism is spreading among the companies, haha.

devild0ogwhite
devild0ogwhite

@soulless4now@EasyComeEasyGo"Pokemon had it's time to shine back in the '90s and early '00s. I can't see the children of today enjoying Pokemon like us old timers did when it first came out."

Nearly 7 million sales of Black and White 2 suggest otherwise.

Geminon
Geminon

@KingTrax999 @Geminon 

oh please... the production cost of each of those toys is probably less than 2 cents.

skylanders and COD are generating several billion dollars a year in sales for activision, yet they only post 600 million in revenue.

bobby kotick puts up 100 million of his OWN money to help buy back activision blizzard from Vivendi.... you do the math. the guy is using the company as his own personal piggy bank.

DeadxReckoning7
DeadxReckoning7

@ZIMdoom My wife and I play this game and we don't have kids but she doesn't like games like COD or Halo. But she does like to play games with me and since there aren't any good MMO's out until August 27th when FFARR comes out we play this. I also have a collector gene so we spend money on the new characters when they come out. We have Swap Force pre-ordered for the X1

soulless4now
soulless4now

@devild0ogwhite Majority of those sales probably came from people who grew up with the game. Besides, I'm not talking about game sales, but overall popularity. Pokemon as a whole was extremely popular back in the day with the movies, trading cards, anime and other merchandise, but there's no way it'll reach that kind of popularity again so it'll never amass the amount of money Skylanders has in the short time it has been out.