Consumers holed up during the coronavirus pandemic redirected their travel and entertainment dollars toward pizza, videogames, home-exercise equipment and luxury goods, according to several companies that provided business updates Thursday.
At-home fitness company Peloton Interactive Inc. said its revenue more than tripled to $757.9 million in the September quarter, while pizza maker Papa John’s International Inc. reported 17% sales growth—the company’s strongest in nearly eight years. Videogame maker Take-Two Interactive Software Inc. posted surprise growth in net bookings and a larger profit on fewer new releases.
The pandemic accelerated the amount of time and money that people spent on videogames, said Strauss Zelnick, chief executive of “Grand Theft Auto” publisher Take-Two. He expects a decent portion of the industry’s larger and more engaged user base to stick around after the health crisis, as new and returning players increasingly turn to games to socialize with friends and family.
“People are leaving their homes, they are going back to work, they are going out and have been for a few months. And yet, our numbers continue to boom,” Mr. Zelnick said.
Consumers are also watching more television. Streaming-video provider Roku Inc. said its total revenue increased 73% to $452 million. “The ongoing Covid-19 pandemic continued to accelerate the shift of viewing away from traditional linear and pay TV,” the company said in its letter to shareholders Thursday, referring to the disease caused by the new coronavirus.