Activision Blizzard earnings miss estimates after Microsoft deal

Activision Blizzard Inc. reported earnings and revenue that missed analysts' estimates just weeks after Microsoft Corp. announced its $69 billion acquisition of the video game publisher. Adjusted revenue fell 18% to $2.49 billion in the fourth quarter, Activision Blizzard said in a statement Thursday. Analysts had expected $2.84 billion, according to an average of estimates compiled by Bloomberg. Adjusted earnings per share were $1.25, compared with analysts' forecasts for $1.31. The company cited "lower than expected performance" in its Activision division, which produces Call of Duty. Microsoft swooped in at a crucial time for Activision Blizzard, which is behind hit games such as Candy Crush and World of Warcraft.