Take-Two Interactive Software (TTWO) 10-Q 9 Feb 21 2021 Q3 Quarterly report Financial data

COVER

COVER - shares	9 Months Ended
	Dec. 31, 2020	Jan. 28, 2021
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Dec. 31, 2020
Document Transition Report	false
Entity File Number	001-34003
Entity Registrant Name	TAKE-TWO INTERACTIVE SOFTWARE, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	51-0350842
Entity Address, Address Line One	110 West 44th Street
Entity Address, City or Town	New York
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10036
City Area Code	646
Local Phone Number	536-2842
Title of 12(b) Security	Common Stock, $.01 par value
Trading Symbol	TTWO
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		115,177,650
Entity Central Index Key	0000946581
Amendment Flag	false
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q3
Current Fiscal Year End Date	--03-31

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2020	Mar. 31, 2020
Current assets:
Cash and cash equivalents	$ 1,649,832	$ 1,357,664
Short-term investments	772,683	644,003
Restricted cash and cash equivalents	764,419	546,604
Accounts receivable, net of allowances of $350 and $443 at December 31, 2020 and March 31, 2020, respectively	581,136	592,555
Inventory	26,733	19,108
Software development costs and licenses	48,784	40,316
Deferred cost of goods sold	19,854	19,598
Prepaid expenses and other	296,518	273,503
Total current assets	4,159,959	3,493,351
Fixed assets, net	135,257	131,888
Right-of-use assets	161,750	154,284
Software development costs and licenses, net of current portion	436,702	401,778
Goodwill	534,535	386,494
Other intangibles, net	117,618	51,260
Deferred tax assets	127,312	116,676
Long-term restricted cash and cash equivalents	98,538	89,124
Other assets	194,428	123,977
Total assets	5,966,099	4,948,832
Current liabilities:
Accounts payable	100,159	65,684
Accrued expenses and other current liabilities	1,219,614	1,169,884
Deferred revenue	991,476	777,784
Lease liabilities	30,540	25,187
Total current liabilities	2,341,789	2,038,539
Non-current deferred revenue	31,813	28,339
Non-current lease liabilities	156,835	152,059
Non-current software development royalties	108,667	104,417
Other long-term liabilities	171,704	86,234
Total liabilities	2,810,808	2,409,588
Commitments and contingencies (See Note 13)
Stockholders' equity:
Preferred stock, $.01 par value, 5,000 shares authorized; no shares issued and outstanding at December 31, 2020 and March 31, 2020	0	0
Common stock, $.01 par value, 200,000 shares authorized; 137,504 and 135,927 shares issued and 115,083 and 113,506 outstanding at December 31, 2020 and March 31, 2020, respectively	1,375	1,359
Additional paid-in capital	2,327,913	2,134,748
Treasury stock, at cost; 22,421 common shares at December 31, 2020 and March 31, 2020	(820,572)	(820,572)
Retained earnings	1,652,159	1,282,085
Accumulated other comprehensive loss	(5,584)	(58,376)
Total stockholders' equity	3,155,291	2,539,244
Total liabilities and stockholders' equity	$ 5,966,099	$ 4,948,832

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2020	Mar. 31, 2020
Statement of Financial Position [Abstract]
Accounts receivable, allowances	$ 350	$ 443
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	5,000,000	5,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	200,000,000	200,000,000
Common stock, shares issued (in shares)	137,504,000	135,927,000
Common stock, shares outstanding (in shares)	115,083,000	113,506,000
Treasury stock, shares (in shares)	22,421,000	22,421,000

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Income Statement [Abstract]
Net revenue	$ 860,889	$ 930,129	$ 2,533,341	$ 2,328,429
Cost of goods sold	346,244	437,093	1,255,438	1,146,810
Gross profit	514,645	493,036	1,277,903	1,181,619
Selling and marketing	139,906	137,068	338,376	378,455
General and administrative	98,624	84,531	292,230	236,023
Research and development	86,428	82,520	233,752	227,680
Depreciation and amortization	14,007	12,330	40,116	35,611
Business reorganization	(377)	(246)	(138)	467
Total operating expenses	338,588	316,203	904,336	878,236
Income from operations	176,057	176,833	373,567	303,383
Interest and other, net	1,098	11,943	12,022	30,422
Gain on long-term investments, net	39,291	0	38,636	0
Income before income taxes	216,446	188,776	424,225	333,805
Provision for income taxes	34,198	25,134	54,151	52,068
Net income	$ 182,248	$ 163,642	$ 370,074	$ 281,737
Earnings per share:
Basic earnings per share (in dollars per share)	$ 1.58	$ 1.44	$ 3.23	$ 2.49
Diluted earnings per share (in dollars per share)	$ 1.57	$ 1.43	$ 3.20	$ 2.47

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Statement of Comprehensive Income [Abstract]
Net income	$ 182,248	$ 163,642	$ 370,074	$ 281,737
Other comprehensive income (loss):
Foreign currency translation adjustment	30,135	18,172	53,697	(3,192)
Cash flow hedges:
Change in unrealized gains	0	(3,728)	(3,817)	2,297
Reclassification to earnings	(600)	2,184	(1,933)	(1,157)
Tax effect on effective cash flow hedges	0	(386)	845	301
Change in fair value of effective cash flow hedge	(600)	(1,930)	(4,905)	1,441
Change in fair value of available for sale securities	(295)	(267)	4,000	453
Other comprehensive income (loss)	29,240	15,975	52,792	(1,298)
Comprehensive income	$ 211,488	$ 179,617	$ 422,866	$ 280,439

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Dec. 31, 2020	Dec. 31, 2019
Operating activities:
Net income	$ 370,074	$ 281,737
Adjustments to reconcile net income to net cash provided by operating activities:
Amortization and impairment of software development costs and licenses	113,392	115,823
Depreciation	40,790	35,246
Amortization and impairment of intellectual property	22,006	15,981
Stock-based compensation	139,835	176,598
Gain on long-term investments	(40,588)	0
Other, net	(89)	1,809
Changes in assets and liabilities:
Accounts receivable	19,544	(249,709)
Inventory	(6,452)	3,688
Software development costs and licenses	(144,951)	(18,552)
Prepaid expenses and other assets	(49,321)	(215,060)
Deferred revenue	208,182	11,751
Deferred cost of goods sold	463	18,602
Accounts payable, accrued expenses and other liabilities	114,776	262,061
Net cash provided by operating activities	787,661	439,975
Investing activities:
Change in bank time deposits	73,000	114,720
Proceeds from available-for-sale securities	363,628	243,170
Purchases of available-for-sale securities	(563,815)	(311,995)
Purchases of fixed assets	(40,207)	(34,790)
Proceeds from sale of long-term investment	22,472	0
Purchases of long-term investments	(16,452)	(26,142)
Business acquisitions	(79,525)	(12,040)
Net cash used in investing activities	(240,899)	(27,077)
Financing activities:
Tax payment related to net share settlements on restricted stock awards	(60,586)	(71,260)
Issuance of common stock	14,215	10,515
Net cash used in financing activities	(46,371)	(60,745)
Effects of foreign currency exchange rates on cash, cash equivalents, and restricted cash and cash equivalents	19,006	(1,705)
Net change in cash, cash equivalents, and restricted cash and cash equivalents	519,397	350,448
Cash, cash equivalents, and restricted cash and cash equivalents, beginning of year	1,993,392	1,391,986
Cash, cash equivalents, and restricted cash and cash equivalents, end of period	$ 2,512,789	$ 1,742,434

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS EQUITY (Unaudited) - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Treasury Stock	Retained Earnings	Accumulated Other Comprehensive Income (Loss)
Beginning balance (in shares) at Mar. 31, 2019		134,602		(22,421)
Beginning balance at Mar. 31, 2019	$ 2,040,580	$ 1,346	$ 2,019,369	$ (820,572)	$ 877,626	$ (37,189)
Increase (Decrease) in Stockholders' Equity
Net income	281,737				281,737
Change in cumulative foreign currency translation adjustment	(3,192)					(3,192)
Change in gains on cash flow hedge, net	1,441					1,441
Net unrealized gain on available-for-sale securities, net of taxes	453					453
Stock-based compensation	141,761		141,761
Issuance of restricted stock, net of forfeitures and cancellations (in shares)		1,674
Issuance of restricted stock, net of forfeitures and cancellations	0	$ 17	(17)
Net share settlement of restricted stock awards (in shares)		(631)
Net share settlement of restricted stock awards	(71,260)	$ (7)	(71,253)
Employee share purchase plan settlement (in shares)		126
Employee share purchase plan settlement	10,515	$ 2	10,513
Ending balance (in shares) at Dec. 31, 2019		135,771		(22,421)
Ending balance at Dec. 31, 2019	2,402,035	$ 1,358	2,100,373	$ (820,572)	1,159,363	(38,487)
Beginning balance (in shares) at Sep. 30, 2019		135,616		(22,421)
Beginning balance at Sep. 30, 2019	2,181,763	$ 1,356	2,059,720	$ (820,572)	995,721	(54,462)
Increase (Decrease) in Stockholders' Equity
Net income	163,642				163,642
Change in cumulative foreign currency translation adjustment	18,172					18,172
Change in gains on cash flow hedge, net	(1,930)					(1,930)
Net unrealized gain on available-for-sale securities, net of taxes	(267)					(267)
Stock-based compensation	45,055		45,055
Issuance of restricted stock, net of forfeitures and cancellations (in shares)		171
Issuance of restricted stock, net of forfeitures and cancellations	0	$ 2	(2)
Net share settlement of restricted stock awards (in shares)		(80)
Net share settlement of restricted stock awards	(9,782)	$ (1)	(9,781)
Employee share purchase plan settlement (in shares)		64
Employee share purchase plan settlement	5,382	$ 1	5,381
Ending balance (in shares) at Dec. 31, 2019		135,771		(22,421)
Ending balance at Dec. 31, 2019	2,402,035	$ 1,358	2,100,373	$ (820,572)	1,159,363	(38,487)
Beginning balance (in shares) at Mar. 31, 2020		135,927		(22,421)
Beginning balance at Mar. 31, 2020	2,539,244	$ 1,359	2,134,748	$ (820,572)	1,282,085	(58,376)
Increase (Decrease) in Stockholders' Equity
Net income	370,074				370,074
Change in cumulative foreign currency translation adjustment	53,697					53,697
Change in gains on cash flow hedge, net	(4,905)					(4,905)
Net unrealized gain on available-for-sale securities, net of taxes	4,000					4,000
Stock-based compensation	141,904		141,904
Issuance of restricted stock, net of forfeitures and cancellations (in shares)		1,235
Issuance of restricted stock, net of forfeitures and cancellations	1	$ 13	(12)
Net share settlement of restricted stock awards (in shares)		(401)
Net share settlement of restricted stock awards	(60,586)	$ (5)	(60,581)
Employee share purchase plan settlement (in shares)		139
Employee share purchase plan settlement	14,215	$ 2	14,213
Issuance of shares related to Playdots, Inc. acquisition (in shares)		604
Issuance of shares related to Playdots, Inc. acquisition	97,647	$ 6	97,641
Ending balance (in shares) at Dec. 31, 2020		137,504		(22,421)
Ending balance at Dec. 31, 2020	3,155,291	$ 1,375	2,327,913	$ (820,572)	1,652,159	(5,584)
Beginning balance (in shares) at Sep. 30, 2020		137,349		(22,421)
Beginning balance at Sep. 30, 2020	2,901,282	$ 1,373	2,285,394	$ (820,572)	1,469,911	(34,824)
Increase (Decrease) in Stockholders' Equity
Net income	182,248				182,248
Change in cumulative foreign currency translation adjustment	30,135					30,135
Change in gains on cash flow hedge, net	(600)					(600)
Net unrealized gain on available-for-sale securities, net of taxes	(295)					(295)
Stock-based compensation	47,192		47,192
Issuance of restricted stock, net of forfeitures and cancellations (in shares)		141
Issuance of restricted stock, net of forfeitures and cancellations	1	$ 2	(1)
Net share settlement of restricted stock awards (in shares)		(60)
Net share settlement of restricted stock awards	(12,384)	$ (1)	(12,383)
Employee share purchase plan settlement (in shares)		74
Employee share purchase plan settlement	7,712	$ 1	7,711
Ending balance (in shares) at Dec. 31, 2020		137,504		(22,421)
Ending balance at Dec. 31, 2020	$ 3,155,291	$ 1,375	$ 2,327,913	$ (820,572)	$ 1,652,159	$ (5,584)

BASIS OF PRESENTATION AND SIGNI

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Dec. 31, 2020
Accounting Policies [Abstract]
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES Take-Two Interactive Software, Inc. (the "Company," "we," "us," or similar pronouns) was incorporated in the state of Delaware in 1993. We are a leading developer, publisher, and marketer of interactive entertainment for consumers around the globe. We develop and publish products principally through Rockstar Games, 2K, Private Division, Social Point, and Playdots. Our products are designed for console systems and personal computers, including smart phones and tablets, and are delivered through physical retail, digital download, online platforms, and cloud streaming services. Basis of Presentation The accompanying Condensed Consolidated Financial Statements are unaudited and include the accounts of the Company and its wholly-owned subsidiaries and, in our opinion, reflect all normal and recurring adjustments necessary for the fair presentation of our financial position, results of operations, and cash flows. Interim results may not be indicative of the results that may be expected for the full fiscal year. All intercompany accounts and transactions have been eliminated in consolidation. The preparation of these Condensed Consolidated Financial Statements in accordance with accounting principles generally accepted in the United States ("U.S. GAAP") requires management to make estimates and assumptions that affect the amounts reported in these Condensed Consolidated Financial Statements and accompanying notes. As permitted under U.S. GAAP, interim accounting for certain expenses, including income taxes, are based on full year assumptions when appropriate. Actual results could differ materially from those estimates, including as a result of the COVID-19 pandemic, which may affect economic conditions in a number of different ways and result in uncertainty and risk. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been omitted pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"), although we believe that the disclosures are adequate to make the information presented not misleading. These Condensed Consolidated Financial Statements and accompanying notes should be read in conjunction with our annual Consolidated Financial Statements and the notes thereto, included in our Annual Report on Form 10-K for the fiscal year ended March 31, 2020. Certain immaterial reclassifications have been made to prior period amounts to conform to the current period presentation. Recently Adopted Accounting Pronouncements Accounting for Fair Value Measurement In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement , which modifies the disclosure requirements on fair value measurements by removing, modifying, or adding certain disclosures. We adopted this update effective April 1, 2020. The adoption of this standard did not have a material impact on our Condensed Consolidated Financial Statements. Accounting for Credit Losses In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses , which replaces the incurred loss impairment methodology in current U.S. GAAP with a methodology that will require the reflection of expected credit losses and will also require consideration of a broader range of reasonable and supportable information to determine credit loss estimates. It also eliminates the concept of other-than-temporary impairment and requires credit losses related to available-for-sale debt securities to be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. For most financial instruments, the standard will require the use of a forward-looking expected loss model rather than the incurred loss model for recognizing credit losses, which will generally result in the earlier recognition of credit losses on financial instruments. We adopted this update effective April 1, 2020 under a modified retrospective basis. No adjustment to retained earnings was recorded as a result of the adoption of this standard, which did not have a material impact on our Condensed Consolidated Financial Statements. Recently Issued Accounting Pronouncements Accounting for Reference Rate Reform In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting , which provides temporary optional guidance to ease potential accounting impacts associated with transitioning away from reference rates that are expected to be discontinued, such as interbank offered rates and LIBOR. The guidance includes practical expedients for contract modifications due to reference rate reform. Generally, contract modifications related to reference rate reform may be considered an event that does not require remeasurement or reassessment of a previous accounting determination at the modification date. This guidance is effective immediately and is only available through December 31, 2022. We are currently evaluating the potential impact of adopting this guidance on our Consolidated Financial Statements. Accounting for Income Taxes In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes , which enhances and simplifies various aspects of the income tax accounting guidance, including requirements such as tax basis step-up in goodwill obtained in a transaction that is not a business combination, ownership changes in investments, and interim-period accounting for enacted changes in tax law. ASU 2019-12 is effective for fiscal years, and interim periods within those fiscal years, beginning December 15, 2020 (April 1, 2021 for the Company), with early adoption permitted. We are currently evaluating the potential impact of adopting this guidance, and we do not expect that the impact of adopting this guidance will be material to our Consolidated Financial Statements.

REVENUE FROM CONTRACTS WITH CUS

REVENUE FROM CONTRACTS WITH CUSTOMERS	9 Months Ended
	Dec. 31, 2020
Revenue from Contract with Customer [Abstract]
REVENUE FROM CONTRACTS WITH CUSTOMERS	REVENUE FROM CONTRACTS WITH CUSTOMERS Disaggregation of revenue Service and other revenue Service and other revenue is primarily comprised of revenue from game related services, virtual currency transactions, and in-game purchases which are recognized over an estimated service period. Product revenue Product revenue is primarily comprised of the portion of revenue from software products that is recognized when the customer takes control of the product (i.e., upon delivery of the software product). Net revenue by product revenue and service and other was as follows: Three Months Ended December 31, Nine Months Ended December 31, 2020 2019 2020 2019 Net revenue recognized: Service and other $ 578,830 $ 481,301 $ 1,662,456 $ 1,327,433 Product 282,059 448,828 870,885 1,000,996 Total net revenue $ 860,889 $ 930,129 $ 2,533,341 $ 2,328,429 Recurrent consumer spending revenue Recurrent consumer spending revenue is generated from ongoing consumer engagement and includes revenue from virtual currency, add-on content, and in-game purchases. Full game and other revenue Full game and other revenue primarily includes the initial sale of full game software products, which may include offline and/or significant game related services. Net revenue by full game and other revenue and recurrent consumer spending was as follows: Three Months Ended December 31, Nine Months Ended December 31, 2020 2019 2020 2019 Net revenue recognized: Recurrent consumer spending $ 533,475 $ 340,496 $ 1,508,604 $ 973,822 Full game and other 327,414 589,633 1,024,737 1,354,607 Total net revenue $ 860,889 $ 930,129 $ 2,533,341 $ 2,328,429 Geography We attribute net revenue to geographic regions based on software product destination. Net revenue by geographic region was as follows: Three Months Ended December 31, Nine Months Ended December 31, 2020 2019 2020 2019 Net revenue recognized: United States $ 528,324 $ 536,841 $ 1,502,397 $ 1,361,981 International 332,565 393,288 1,030,944 966,448 Total net revenue $ 860,889 $ 930,129 $ 2,533,341 $ 2,328,429 Platform Net revenue by platform was as follows: Three Months Ended December 31, Nine Months Ended December 31, 2020 2019 2020 2019 Net revenue recognized: Console $ 656,079 $ 679,799 $ 1,909,033 $ 1,766,431 PC and other 204,810 250,330 624,308 561,998 Total net revenue $ 860,889 $ 930,129 $ 2,533,341 $ 2,328,429 Distribution channel Our products are delivered through digital online services (digital download, online platforms, and cloud streaming) and physical retail and other. Net revenue by distribution channel was as follows: Three Months Ended December 31, Nine Months Ended December 31, 2020 2019 2020 2019 Net revenue recognized: Digital online $ 728,510 $ 700,321 $ 2,166,035 $ 1,743,876 Physical retail and other 132,379 229,808 367,306 584,553 Total net revenue $ 860,889 $ 930,129 $ 2,533,341 $ 2,328,429 Deferred Revenue We record deferred revenue when payments are due or received in advance of the fulfillment of our associated performance obligations. Deferred revenue, including current and non-current balances as of December 31, 2020 and March 31, 2020 were $1,023,289 and $806,123, respectively. For the three months ended December 31, 2020, the additions to our deferred revenue balance were due primarily to cash payments received or due in advance of satisfying our performance obligations, while the reductions to our deferred revenue balance were due primarily to the recognition of revenue upon fulfillment of our performance obligations, both of which were in the ordinary course of business. During the three months ended December 31, 2020 and 2019, $109,713 and $193,468, respectively, of revenue was recognized that was included in the deferred revenue balance at the beginning of the respective period. During the nine months ended December 31, 2020 and 2019, $722,658 and $758,301, respectively, of revenue was recognized that was included in the deferred revenue balance at the beginning of the respective period. As of December 31, 2020, the aggregate amount of contract revenue allocated to unsatisfied performance obligations is $1,134,398, which includes our deferred revenue balances and amounts to be invoiced and recognized in future periods. We expect to recognize approximately $1,011,585 of this balance as revenue over the next 12 months, and the remainder thereafter. This balance does not include an estimate for variable consideration arising from sales-based royalty license revenue in excess of the contractual minimum guarantee. As of December 31, 2020 and March 31, 2020, our contract asset balances were $105,460 and $81,625, respectively, which are recorded within Prepaid expenses and other in our Condensed Consolidated Balance Sheets.

MANAGEMENT AGREEMENT

MANAGEMENT AGREEMENT	9 Months Ended
	Dec. 31, 2020
MANAGEMENT AGREEMENT
MANAGEMENT AGREEMENT	MANAGEMENT AGREEMENT In November 2017, we entered into a new management agreement (the "2017 Management Agreement"), with ZelnickMedia Corporation ("ZelnickMedia") that replaces our previous agreement with ZelnickMedia and pursuant to which ZelnickMedia provides financial and management consulting services through March 31, 2024. The 2017 Management Agreement became effective January 1, 2018. As part of the 2017 Management Agreement, Strauss Zelnick, the President of ZelnickMedia, continues to serve as Executive Chairman and Chief Executive Officer of the Company, and Karl Slatoff, a partner of ZelnickMedia, continues to serve as President of the Company. The 2017 Management Agreement provides for an annual management fee of $3,100 over the term of the agreement and a maximum annual bonus opportunity of $7,440 over the term of the agreement, based on the Company achieving certain performance thresholds. In consideration for ZelnickMedia's services, we recorded consulting expense (a component of General and administrative expenses) of $2,655 and $3,166 during the three months ended December 31, 2020 and 2019, respectively, and $7,925 and $6,541 during the nine months ended December 31, 2020 and 2019, respectively. We recorded stock-based compensation expense for restricted stock units granted to ZelnickMedia, which is included in General and administrative expenses, of $6,887 and $5,956 during the three months ended December 31, 2020 and 2019, respectively, and $20,544 and $17,457 during the nine months ended December 31, 2020 and 2019, respectively. In connection with the 2017 Management Agreement, we have granted restricted stock units as follows: Nine Months Ended December 31, 2020 2019 Time-based 79 92 Market-based(1) 145 168 Performance-based(1) IP 24 28 Recurrent Consumer Spending ("RCS") 24 28 Total—Performance-based 48 56 Total Restricted Stock Units 272 316 _______________________________________________________________________________ (1) Represents the maximum number of shares eligible to vest. Time-based restricted stock units granted in fiscal year 2021 will vest on April 13, 2022, and those granted in fiscal year 2020 will vest on April 13, 2021, in each case provided that the 2017 Management Agreement has not been terminated prior to such vesting date. Market-based restricted stock units granted in fiscal year 2021 are eligible to vest on April 13, 2022, and those granted in fiscal year 2020 are eligible to vest on April 13, 2021, in each case provided that the 2017 Management Agreement has not been terminated prior to such vesting date. Market-based restricted stock units are eligible to vest based on the Company's Total Shareholder Return (as defined in the relevant grant agreement) relative to the Total Shareholder Return (as defined in the relevant grant agreement) of the companies that constitute the NASDAQ Composite Index as of the grant date measured over a two-year period. To earn the target number of market-based restricted stock units (which represents 50% of the number of the market-based restricted stock units set forth in the table above), the Company must perform at the 50th percentile, with the maximum number of market-based restricted stock units earned if the Company performs at the 75th percentile. Performance-based restricted stock units granted in fiscal year 2021 are eligible to vest on April 13, 2022, and those granted in fiscal year 2020 are eligible to vest on April 13, 2021, in each case provided that the 2017 Management Agreement has not been terminated prior to such vesting date. The performance-based restricted stock units, of which 50% are tied to "IP" and 50% to "RCS" (as defined in the relevant grant agreement), are eligible to vest based on the Company's achievement of certain performance metrics (as defined in the relevant grant agreement) of either individual product releases of "IP" or "RCS" measured over a two-year period. The target number of performance-based restricted stock units that may be earned pursuant to these grants is equal to 50% of the grant amounts set forth in the above table (the numbers in the table represent the maximum number of performance-based restricted stock units that may be earned). At the end of each reporting period, we assess the probability of each performance metric and upon determination that certain thresholds are probable, we record expense for the unvested portion of the shares of performance-based restricted stock units. The unvested portion of time-based, market-based and performance-based restricted stock units held by ZelnickMedia were 588 and 613 as of December 31, 2020 and March 31, 2020, respectively. During the three and nine months ended December 31, 2020, 297 restricted stock units previously granted to ZelnickMedia vested, and no restricted stock units were forfeited by ZelnickMedia.

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	9 Months Ended
	Dec. 31, 2020
Fair Value Disclosures [Abstract]
FAIR VALUE MEASUREMENTS	FAIR VALUE MEASUREMENTS Recurring fair value measurements The carrying amounts of our financial instruments, including cash and cash equivalents, restricted cash and cash equivalents, accounts receivable, prepaid expenses and other, accounts payable, and accrued expenses and other current liabilities, approximate fair value because of their short maturities. We follow a three-level fair value hierarchy that prioritizes the inputs used to measure fair value. This hierarchy requires entities to maximize the use of "observable inputs" and minimize the use of "unobservable inputs." The three levels of inputs used to measure fair value are as follows: • Level 1—Quoted prices in active markets for identical assets or liabilities. • Level 2—Observable inputs other than quoted prices included in Level 1, such as quoted prices for markets that are not active or other inputs that are observable or can be corroborated by observable market data. • Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. This includes certain pricing models, discounted cash flow methodologies, and similar techniques that use significant unobservable inputs. The table below segregates all assets and liabilities that are measured at fair value on a recurring basis (which is measured at least annually) into the most appropriate level within the fair value hierarchy based on the inputs used to determine the fair value at the measurement date. December 31, 2020 Quoted prices Significant Significant Balance Sheet Classification Money market funds $ 745,564 $ 745,564 $ — $ — Cash and cash equivalents Bank-time deposits 471,688 471,688 — — Cash and cash equivalents Commercial paper 37,005 — 37,005 — Cash and cash equivalents Corporate bonds 300 — 300 — Cash and cash equivalents Corporate bonds 509,949 — 509,949 — Short-term investments Bank-time deposits 118,000 118,000 — — Short-term investments US Treasuries 45,041 45,041 — — Short-term investments Asset-backed securities 699 — 699 — Short-term investments Commercial paper 98,994 — 98,994 — Short-term investments Money market funds 469,988 469,988 — — Restricted cash and cash equivalents Bank-time deposits 560 560 — — Restricted cash and cash equivalents Money market funds 98,538 98,538 — — Long-term restricted cash and cash equivalents Private equity 6,178 — — 6,178 Other assets Foreign currency forward contracts (128) — (128) — Accrued expenses and other current liabilities Total recurring fair value measurements, net $ 2,602,376 $ 1,949,379 $ 646,819 $ 6,178 March 31, 2020 Quoted prices in active markets for identical assets (level 1) Significant other observable inputs (level 2) Significant unobservable inputs (level 3) Balance Sheet Classification Money market funds $ 497,861 $ 497,861 $ — $ — Cash and cash equivalents Bank-time deposits 313,757 313,757 — — Cash and cash equivalents Commercial paper 97,544 — 97,544 — Cash and cash equivalents Corporate bonds 9,888 — 9,888 — Cash and cash equivalents Money market funds 546,604 546,604 — — Restricted cash and cash equivalents Corporate bonds 334,631 — 334,631 — Short-term investments Bank-time deposits 191,000 191,000 — — Short-term investments US Treasuries 30,819 30,819 — — Short-term investments Commercial paper 87,553 — 87,553 — Short-term investments Cross-currency swap 11,275 — 11,275 — Prepaid expenses and other Money market funds 89,124 89,124 — — Long-term restricted cash and cash equivalents Private equity 2,759 — — 2,759 Other assets Foreign currency forward contracts (11) — (11) — Accrued and other current liabilities Total recurring fair value measurements, net $ 2,212,804 $ 1,669,165 $ 540,880 $ 2,759 We did not have any transfers between Level 1 and Level 2 fair value measurements, nor did we have any transfers into or out of Level 3 during the nine months ended December 31, 2020. Nonrecurring fair value measurements We hold equity investments in certain unconsolidated entities without a readily determinable fair value. These strategic investments represent less than a 20% ownership interest in each of the privately-held affiliates, and we do not maintain power over or control of the entities. We have elected the practical expedient in Topic 321, Investments-Equity Securities , to measure these investments at cost less any impairment, adjusted for observable price changes, if any. Based on these considerations, we estimate that the carrying value of the acquired shares represents the fair value of the investment. At December 31, 2020, we held $45,000 of such investments in Other assets within our Condensed Consolidated Balance Sheet.

SHORT-TERM INVESTMENTS

SHORT-TERM INVESTMENTS	9 Months Ended
	Dec. 31, 2020
Investments, Debt and Equity Securities [Abstract]
SHORT-TERM INVESTMENTS	SHORT-TERM INVESTMENTS Our Short-term investments consisted of the following: December 31, 2020 Gross Cost or Gains Losses Fair Value Short-term investments Bank time deposits $ 118,000 $ — $ — $ 118,000 Available-for-sale securities: Corporate bonds 508,431 1,617 (99) 509,949 US Treasuries 44,948 94 (1) 45,041 Asset-backed securities 697 2 — 699 Commercial paper 98,994 — — 98,994 Total Short-term investments $ 771,070 $ 1,713 $ (100) $ 772,683 March 31, 2020 Gross Cost or Gains Losses Fair Value Short-term investments Bank time deposits $ 191,000 $ — $ — $ 191,000 Available-for-sale securities: Corporate bonds 337,752 307 (3,428) 334,631 US Treasuries 30,481 338 — 30,819 Commercial paper 87,553 — — 87,553 Total Short-term investments $ 646,786 $ 645 $ (3,428) $ 644,003 The following table summarizes the contracted maturities of our short-term investments at December 31, 2020: December 31, 2020 Amortized Fair Short-term investments Due in 1 year or less $ 573,013 $ 574,084 Due in 1 - 2 years 197,361 197,900 Due in 2 - 3 years 696 699 Total Short-term investments $ 771,070 $ 772,683

DERIVATIVE INSTRUMENTS AND HEDG

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES	9 Months Ended
	Dec. 31, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES	DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES Our risk management strategy includes the use of derivative financial instruments to reduce the volatility of earnings and cash flows associated with changes in foreign currency exchange rates. We do not enter into derivative financial contracts for speculative or trading purposes. We recognize derivative instruments as either assets or liabilities on our Consolidated Balance Sheets, and we measure those instruments at fair value. We classify cash flows from derivative transactions as cash flows from operating activities in our Consolidated Statements of Cash Flows. Foreign currency forward contracts The following table shows the gross notional amounts of foreign currency forward contracts: December 31, 2020 March 31, 2020 Forward contracts to sell foreign currencies $ 114,105 $ 122,024 Forward contracts to purchase foreign currencies 81,050 52,596 For the three months ended December 31, 2020 and 2019, we recorded a loss of $5,832 and a loss of $556, respectively, and for the nine months ended December 31, 2020 and 2019 we recorded a loss of $9,518 and a loss of $1,643, respectively, related to foreign currency forward contracts in Interest and other, net in our Condensed Consolidated Statements of Operations. Our foreign currency exchange forward contracts are not designated as hedging instruments under hedge accounting and are used to reduce the impact of foreign currency on certain balance sheet exposures and certain revenue and expense. These instruments are generally short-term in nature, with typical maturities of less than one year, and are subject to fluctuations in foreign exchange rates. Cross-currency swap In August 2017, we entered into a cross-currency swap agreement related to an intercompany loan that has been designated and accounted for as a cash flow hedge of foreign currency exchange risk. During the three months ended June 30, 2020, we settled the intercompany loan and cross-currency swap, thereby discontinuing the cash flow hedge. As a result, we reclassified $3,109 from Accumulated other comprehensive income (loss) to earnings as an increase to Interest and other, net on our Condensed Consolidated Statement of Operations. We also received $7,420 in cash to settle our corresponding derivative asset.

INVENTORY

INVENTORY	9 Months Ended
	Dec. 31, 2020
Inventory Disclosure [Abstract]
INVENTORY	INVENTORY Inventory balances by category were as follows: December 31, 2020 March 31, 2020 Finished products $ 21,848 $ 17,984 Parts and supplies 4,885 1,124 Inventory $ 26,733 $ 19,108 Estimated product returns included in inventory at December 31, 2020 and March 31, 2020 were $367 and $506, respectively.

SOFTWARE DEVELOPMENT COSTS AND

SOFTWARE DEVELOPMENT COSTS AND LICENSES	9 Months Ended
	Dec. 31, 2020
SOFTWARE DEVELOPMENT COSTS AND LICENSES
SOFTWARE DEVELOPMENT COSTS AND LICENSES	SOFTWARE DEVELOPMENT COSTS AND LICENSES Details of our capitalized software development costs and licenses were as follows: December 31, 2020 March 31, 2020 Current Non-current Current Non-current Software development costs, internally developed $ 35,506 $ 353,982 $ 17,367 $ 305,970 Software development costs, externally developed 8,592 65,445 10,971 92,908 Licenses 4,686 17,275 11,978 2,900 Software development costs and licenses $ 48,784 $ 436,702 $ 40,316 $ 401,778

ACCRUED EXPENSES AND OTHER CURR

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES	9 Months Ended
	Dec. 31, 2020
Liabilities, Current [Abstract]
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES	ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES Accrued expenses and other current liabilities consisted of the following: December 31, 2020 March 31, 2020 Software development royalties $ 680,428 $ 822,416 Compensation and benefits 170,780 81,791 Licenses 118,664 57,651 Refund liability 72,795 77,829 Marketing and promotions 62,664 40,797 Other 114,283 89,400 Accrued expenses and other current liabilities $ 1,219,614 $ 1,169,884

DEBT

DEBT	9 Months Ended
	Dec. 31, 2020
Debt Disclosure [Abstract]
DEBT	DEBT Credit Agreement On February 8, 2019, we entered into an unsecured Credit Agreement (the “Credit Agreement”) that runs through February 8, 2024. The Credit Agreement provides for an unsecured five-year revolving credit facility with commitments of $200,000, including sublimits for (i) the issuance of letters of credit in an aggregate face amount of up to $25,000 and (ii) borrowings and letters of credit denominated in Pounds Sterling, Euros, and Canadian Dollars in an aggregate principal amount of up to $25,000. In addition, the Credit Agreement contains uncommitted incremental capacity permitting the incurrence of up to an additional $250,000 in term loans or revolving credit facilities. Loans under the Credit Agreement will bear interest at a rate of (a) 0.250% to 0.750% above a certain base rate (3.25% at December 31, 2020) or (b) 1.125% to 1.750% above LIBOR (approximately 1.44% at December 31, 2020), which rates are determined by reference to our consolidated total net leverage ratio. We had no outstanding borrowings at December 31, 2020. Information related to availability on our Credit Agreement was as follows: December 31, 2020 March 31, 2020 Available borrowings $ 197,874 $ 198,336 Outstanding letters of credit 2,126 1,664 We recorded interest expense and fees related to the Credit Agreement of $141 and $82 for the three months ended December 31, 2020 and 2019, respectively, and $305 and $248 for the nine months ended December 31, 2020 and 2019, respectively. The Credit Agreement also includes, among other terms and conditions, maximum leverage ratio, minimum cash reserves and, in certain circumstances, minimum interest coverage ratio financial covenants, as well as limitations on us and each of our subsidiaries’ ability to: create, incur, assume or be liable for indebtedness; dispose of assets outside the ordinary course; acquire, merge or consolidate with or into another person or entity; create, incur or allow any lien on any of its property; make investments; or pay dividends or make distributions, in each case subject to certain exceptions. In addition, the Credit Agreement provides for certain events of default such as nonpayment of principal and interest when due thereunder, breaches of representations and warranties, noncompliance with covenants, acts of insolvency and default on indebtedness held by third parties (subject to certain limitations and cure periods).

EARNINGS PER SHARE ("EPS")

EARNINGS PER SHARE ("EPS")	9 Months Ended
	Dec. 31, 2020
Earnings Per Share [Abstract]
EARNINGS PER SHARE ("EPS")	EARNINGS PER SHARE ("EPS") The following table sets forth the computation of basic and diluted earnings per share: Three Months Ended December 31, Nine Months Ended December 31, 2020 2019 2020 2019 Computation of Basic earnings per share: Net income $ 182,248 $ 163,642 $ 370,074 $ 281,737 Weighted average shares outstanding—basic 115,004 113,251 114,436 112,996 Basic earnings per share $ 1.58 $ 1.44 $ 3.23 $ 2.49 Computation of Diluted earnings per share: Net income $ 182,248 $ 163,642 $ 370,074 $ 281,737 Weighted average shares outstanding—basic 115,004 113,251 114,436 112,996 Add: dilutive effect of common stock equivalents 1,113 1,003 1,137 1,013 Weighted average common shares outstanding—diluted 116,117 114,254 115,573 114,009 Diluted earnings per share $ 1.57 $ 1.43 $ 3.20 $ 2.47 During the nine months ended December 31, 2020, 1,235 restricted stock awards vested, we granted 872 unvested restricted stock awards, and 29 unvested restricted stock awards were forfeited.

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE LOSS	9 Months Ended
	Dec. 31, 2020
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]
ACCUMULATED OTHER COMPREHENSIVE LOSS	ACCUMULATED OTHER COMPREHENSIVE LOSS The following table provides the components of accumulated other comprehensive loss: Nine Months Ended December 31, 2020 Foreign Unrealized Unrealized Unrealized Total Balance at March 31, 2020 $ (60,535) $ 600 $ 4,305 $ (2,746) $ (58,376) Other comprehensive income (loss) before reclassifications 53,697 — (2,972) 4,000 54,725 Amounts reclassified from accumulated other comprehensive loss — (600) (1,333) — (1,933) Balance at December 31, 2020 $ (6,838) $ — $ — $ 1,254 $ (5,584) Nine Months Ended December 31, 2019 Foreign Unrealized Unrealized Unrealized Total Balance at March 31, 2019 $ (33,090) $ 600 $ (5,285) $ 586 $ (37,189) Other comprehensive income (loss) before reclassifications (3,192) — 2,598 453 (141) Amounts reclassified from accumulated other comprehensive loss — — (1,157) — (1,157) Balance at December 31, 2019 $ (36,282) $ 600 $ (3,844) $ 1,039 $ (38,487)

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Dec. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES We have entered into various agreements in the ordinary course of business that require substantial cash commitments over the next several years. Other than agreements entered into in the ordinary course of business and in addition to the agreements requiring known cash commitments as reported in Part II, Item 7 of our Annual Report on Form 10-K for the fiscal year ended March 31, 2020, we did not have any significant changes to our commitments since March 31, 2020. Included in our Restricted cash as of December 31, 2020, was the cash portion of our offer to acquire Codemasters Group Holdings PLC, a UK-based game publisher and developer. As of January 13, 2021, the offer lapsed, and the cash was no longer restricted. Legal and Other Proceedings We are, or may become, subject to demands and claims (including intellectual property and employment related claims) and are involved in routine litigation in the ordinary course of business which we do not believe to be material to our business or financial condition or results of operations. We have appropriately accrued amounts related to certain of these claims and legal and other proceedings. While it is reasonably possible that a loss may be incurred in excess of the amounts accrued in our financial statements, we believe that such losses, unless otherwise disclosed, would not be material.

BUSINESS REORGANIZATION

BUSINESS REORGANIZATION	9 Months Ended
	Dec. 31, 2020
Restructuring and Related Activities [Abstract]
BUSINESS REORGANIZATION	BUSINESS REORGANIZATIONIn the first quarter of fiscal year 2018, we announced and initiated actions to implement a strategic reorganization at one of our labels (the "2018 Plan"). In connection with this initiative, we recorded a benefit of $377 and $246 for business reorganization during the three months ended December 31, 2020 and 2019, respectively, and a benefit of $138 and expense of $467 during the nine months ended December 31, 2020 and 2019, respectively, due to updating estimates for employee separation costs. During the nine months ended December 31, 2020, we made payments of $3,500 related to these reorganization activities. As of December 31, 2020, $1,166 remained accrued in Accrued expenses and other current liabilities and $1,550 in Other non-current liabilities. Although we may record additional expense or benefit in future periods to true-up estimates, we do not expect to incur additional reorganization costs in connection with the 2018 Plan.

INCOME TAXES

INCOME TAXES	9 Months Ended
	Dec. 31, 2020
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES The provision for income taxes for the three months ended December 31, 2020 is based on our projected annual effective tax rate for fiscal year 2021, adjusted for specific items that are required to be recognized in the period in which they are incurred. The provision for income taxes was $34,198 for the three months ended December 31, 2020 as compared to $25,134 for the prior year period. When compared to the statutory rate of 21%, the effective tax rate of 15.8% for the three months ended December 31, 2020 was due primarily to a tax benefit of $7,116 due to tax credits, excess tax benefits of $3,392 from employee stock-based compensation and the geographic mix of earnings. The provision for income taxes for the nine months ended December 31, 2020 is based on our projected annual effective tax rate for fiscal year 2021, adjusted for specific items that are required to be recognized in the period in which they are incurred. The provision for income taxes was $54,151 for the nine months ended December 31, 2020 as compared to $52,068 for the prior year period. When compared to the statutory rate of 21%, the effective tax rate of 12.8% for the nine months ended December 31, 2020 was due primarily to a tax benefit of $17,778 due to tax credits and excess tax benefits of $13,580 from employee stock-based compensation and geographic mix of earnings. We are regularly examined by domestic and foreign taxing authorities. Examinations may result in tax assessments in excess of amounts claimed and the payment of additional taxes. We believe our tax positions comply with applicable tax law, and that we have adequately provided for reasonably foreseeable tax assessments. It is possible that settlement of audits or the expiration of the statute of limitations may have an impact on our effective tax rate in future periods.

ACQUISITIONS

ACQUISITIONS	9 Months Ended
	Dec. 31, 2020
Business Combinations [Abstract]
ACQUISITIONS	ACQUISITIONS On September 4, 2020, we completed the acquisition of privately-held Playdots, Inc. ("Playdots"), a New York City based free-to-play mobile game developer, for consideration of $97,846 in cash and 604 shares of our common stock. The cash portion was funded from our cash on hand. Of the cash consideration, $13,440 was contractually deferred and accrued for within Accrued expenses and other current liabilities within our Condensed Consolidated Balance Sheet at acquisition. During the three months ended December 31, 2020, we paid out $3,840. As of December 31, 2020, $9,600 remained accrued within Accrued expenses and other current liabilities within our Condensed Consolidated Balance Sheet at acquisition. We acquired Playdots as part of our ongoing strategy to expand selectively our portfolio of owned intellectual property and to diversify and strengthen further our mobile offerings. The acquisition-date fair value of the consideration totaled $195,493, which consisted of the following: Fair value of purchase consideration Cash $ 97,846 Common stock (604 shares) 97,647 Total $ 195,493 We used the acquisition method of accounting and recognized assets at their fair value as of the date of acquisition, with the excess recorded to goodwill. The preliminary fair values of net tangible and intangible assets are management’s estimates based on the information available at the acquisition date and may change over the measurement period, which will end no later than one year from the acquisition date, as additional information is received. The following table summarizes the preliminary acquisition date fair value of net tangible and intangible assets acquired, net of liabilities assumed from Playdots: Fair Value Weighted average useful life Cash acquired $ 12,098 N/A Other tangible net assets 8,206 N/A Other liabilities assumed (24,680) N/A Intangible Assets Developed game technology 69,000 6 User base 6,200 1 Branding and trade names 3,400 8 Game engine technology 2,200 4 Goodwill 119,069 N/A Total $ 195,493 Goodwill, which is not deductible for U.S. income tax purposes, is primarily attributable to the assembled workforce of the acquired business and expected synergies at the time of the acquisition. The amounts of revenue and earnings of Playdots included in our Consolidated Statement of Operations from the acquisition date to the period ending December 31, 2020 are as follows: Three Months Ended December 31, 2020 Nine Months Ended December 31, 2020 Net revenue 7,269 8,503 Net income (loss) (12,368) (18,417) The following table summarizes the pro-forma consolidated results of operations (unaudited) for the three and nine months ended December 31, 2020 and 2019, as though the acquisition had occurred on April 1, 2019, the beginning of Fiscal 2020, and Playdots had been included in our consolidated results for the entire periods subsequent to that date. Three Months Ended December 31, Nine Months Ended December 31, 2020 2019 2020 2019 Pro-forma Net revenue $ 860,000 $ 937,690 $ 2,553,352 $ 2,341,580 Pro-forma Net income $ 182,951 $ 153,691 $ 360,201 $ 247,406 The unaudited pro-forma consolidated results above are based on the historical financial statements of the Company and Playdots and not necessarily indicative of the results of operations that would have been achieved if the acquisition was completed at the beginning of Fiscal 2020 and are not indicative of the future operating results of the combined company. The financial information for Playdots prior to the acquisition has been included in the pro-forma results of operations and includes certain adjustments to the historical consolidated financial statements of Playdots to align with our accounting policies. The pro-forma consolidated results of operations also include the business combination accounting effects resulting from the acquisition, including amortization expense related to finite-lived intangible assets acquired and the related tax effects assuming that the business combination occurred on April 1, 2019.

BASIS OF PRESENTATION AND SIG_2

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Dec. 31, 2020
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying Condensed Consolidated Financial Statements are unaudited and include the accounts of the Company and its wholly-owned subsidiaries and, in our opinion, reflect all normal and recurring adjustments necessary for the fair presentation of our financial position, results of operations, and cash flows. Interim results may not be indicative of the results that may be expected for the full fiscal year. All intercompany accounts and transactions have been eliminated in consolidation. The preparation of these Condensed Consolidated Financial Statements in accordance with accounting principles generally accepted in the United States ("U.S. GAAP") requires management to make estimates and assumptions that affect the amounts reported in these Condensed Consolidated Financial Statements and accompanying notes. As permitted under U.S. GAAP, interim accounting for certain expenses, including income taxes, are based on full year assumptions when appropriate. Actual results could differ materially from those estimates, including as a result of the COVID-19 pandemic, which may affect economic conditions in a number of different ways and result in uncertainty and risk. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been omitted pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"), although we believe that the disclosures are adequate to make the information presented not misleading. These Condensed Consolidated Financial Statements and accompanying notes should be read in conjunction with our annual Consolidated Financial Statements and the notes thereto, included in our Annual Report on Form 10-K for the fiscal year ended March 31, 2020. Certain immaterial reclassifications have been made to prior period amounts to conform to the current period presentation.
Recently Adopted Accounting Pronouncements and Recently Issued Accounting Pronouncements	Recently Adopted Accounting Pronouncements Accounting for Fair Value Measurement In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement , which modifies the disclosure requirements on fair value measurements by removing, modifying, or adding certain disclosures. We adopted this update effective April 1, 2020. The adoption of this standard did not have a material impact on our Condensed Consolidated Financial Statements. Accounting for Credit Losses In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses , which replaces the incurred loss impairment methodology in current U.S. GAAP with a methodology that will require the reflection of expected credit losses and will also require consideration of a broader range of reasonable and supportable information to determine credit loss estimates. It also eliminates the concept of other-than-temporary impairment and requires credit losses related to available-for-sale debt securities to be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. For most financial instruments, the standard will require the use of a forward-looking expected loss model rather than the incurred loss model for recognizing credit losses, which will generally result in the earlier recognition of credit losses on financial instruments. We adopted this update effective April 1, 2020 under a modified retrospective basis. No adjustment to retained earnings was recorded as a result of the adoption of this standard, which did not have a material impact on our Condensed Consolidated Financial Statements. Recently Issued Accounting Pronouncements Accounting for Reference Rate Reform In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting , which provides temporary optional guidance to ease potential accounting impacts associated with transitioning away from reference rates that are expected to be discontinued, such as interbank offered rates and LIBOR. The guidance includes practical expedients for contract modifications due to reference rate reform. Generally, contract modifications related to reference rate reform may be considered an event that does not require remeasurement or reassessment of a previous accounting determination at the modification date. This guidance is effective immediately and is only available through December 31, 2022. We are currently evaluating the potential impact of adopting this guidance on our Consolidated Financial Statements. Accounting for Income Taxes In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes , which enhances and simplifies various aspects of the income tax accounting guidance, including requirements such as tax basis step-up in goodwill obtained in a transaction that is not a business combination, ownership changes in investments, and interim-period accounting for enacted changes in tax law. ASU 2019-12 is effective for fiscal years, and interim periods within those fiscal years, beginning December 15, 2020 (April 1, 2021 for the Company), with early adoption permitted. We are currently evaluating the potential impact of adopting this guidance, and we do not expect that the impact of adopting this guidance will be material to our Consolidated Financial Statements.

REVENUE FROM CONTRACTS WITH C_2

REVENUE FROM CONTRACTS WITH CUSTOMERS (Tables)	9 Months Ended
	Dec. 31, 2020
Revenue from Contract with Customer [Abstract]
Net Revenue by Product Platform	Net revenue by product revenue and service and other was as follows: Three Months Ended December 31, Nine Months Ended December 31, 2020 2019 2020 2019 Net revenue recognized: Service and other $ 578,830 $ 481,301 $ 1,662,456 $ 1,327,433 Product 282,059 448,828 870,885 1,000,996 Total net revenue $ 860,889 $ 930,129 $ 2,533,341 $ 2,328,429 Net revenue by full game and other revenue and recurrent consumer spending was as follows: Three Months Ended December 31, Nine Months Ended December 31, 2020 2019 2020 2019 Net revenue recognized: Recurrent consumer spending $ 533,475 $ 340,496 $ 1,508,604 $ 973,822 Full game and other 327,414 589,633 1,024,737 1,354,607 Total net revenue $ 860,889 $ 930,129 $ 2,533,341 $ 2,328,429 Net revenue by platform was as follows: Three Months Ended December 31, Nine Months Ended December 31, 2020 2019 2020 2019 Net revenue recognized: Console $ 656,079 $ 679,799 $ 1,909,033 $ 1,766,431 PC and other 204,810 250,330 624,308 561,998 Total net revenue $ 860,889 $ 930,129 $ 2,533,341 $ 2,328,429 Three Months Ended December 31, Nine Months Ended December 31, 2020 2019 2020 2019 Net revenue recognized: Digital online $ 728,510 $ 700,321 $ 2,166,035 $ 1,743,876 Physical retail and other 132,379 229,808 367,306 584,553 Total net revenue $ 860,889 $ 930,129 $ 2,533,341 $ 2,328,429
Net Revenue by Geographic Region	We attribute net revenue to geographic regions based on software product destination. Net revenue by geographic region was as follows: Three Months Ended December 31, Nine Months Ended December 31, 2020 2019 2020 2019 Net revenue recognized: United States $ 528,324 $ 536,841 $ 1,502,397 $ 1,361,981 International 332,565 393,288 1,030,944 966,448 Total net revenue $ 860,889 $ 930,129 $ 2,533,341 $ 2,328,429

MANAGEMENT AGREEMENT (Tables)

MANAGEMENT AGREEMENT (Tables)	9 Months Ended
	Dec. 31, 2020
MANAGEMENT AGREEMENT
Schedule of Restricted Stock Units Granted	In connection with the 2017 Management Agreement, we have granted restricted stock units as follows: Nine Months Ended December 31, 2020 2019 Time-based 79 92 Market-based(1) 145 168 Performance-based(1) IP 24 28 Recurrent Consumer Spending ("RCS") 24 28 Total—Performance-based 48 56 Total Restricted Stock Units 272 316 _______________________________________________________________________________ (1) Represents the maximum number of shares eligible to vest.

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	9 Months Ended
	Dec. 31, 2020
Fair Value Disclosures [Abstract]
Segregation of All Assets and Liabilities Measured at Fair Value on a Recurring Basis	The table below segregates all assets and liabilities that are measured at fair value on a recurring basis (which is measured at least annually) into the most appropriate level within the fair value hierarchy based on the inputs used to determine the fair value at the measurement date. December 31, 2020 Quoted prices Significant Significant Balance Sheet Classification Money market funds $ 745,564 $ 745,564 $ — $ — Cash and cash equivalents Bank-time deposits 471,688 471,688 — — Cash and cash equivalents Commercial paper 37,005 — 37,005 — Cash and cash equivalents Corporate bonds 300 — 300 — Cash and cash equivalents Corporate bonds 509,949 — 509,949 — Short-term investments Bank-time deposits 118,000 118,000 — — Short-term investments US Treasuries 45,041 45,041 — — Short-term investments Asset-backed securities 699 — 699 — Short-term investments Commercial paper 98,994 — 98,994 — Short-term investments Money market funds 469,988 469,988 — — Restricted cash and cash equivalents Bank-time deposits 560 560 — — Restricted cash and cash equivalents Money market funds 98,538 98,538 — — Long-term restricted cash and cash equivalents Private equity 6,178 — — 6,178 Other assets Foreign currency forward contracts (128) — (128) — Accrued expenses and other current liabilities Total recurring fair value measurements, net $ 2,602,376 $ 1,949,379 $ 646,819 $ 6,178 March 31, 2020 Quoted prices in active markets for identical assets (level 1) Significant other observable inputs (level 2) Significant unobservable inputs (level 3) Balance Sheet Classification Money market funds $ 497,861 $ 497,861 $ — $ — Cash and cash equivalents Bank-time deposits 313,757 313,757 — — Cash and cash equivalents Commercial paper 97,544 — 97,544 — Cash and cash equivalents Corporate bonds 9,888 — 9,888 — Cash and cash equivalents Money market funds 546,604 546,604 — — Restricted cash and cash equivalents Corporate bonds 334,631 — 334,631 — Short-term investments Bank-time deposits 191,000 191,000 — — Short-term investments US Treasuries 30,819 30,819 — — Short-term investments Commercial paper 87,553 — 87,553 — Short-term investments Cross-currency swap 11,275 — 11,275 — Prepaid expenses and other Money market funds 89,124 89,124 — — Long-term restricted cash and cash equivalents Private equity 2,759 — — 2,759 Other assets Foreign currency forward contracts (11) — (11) — Accrued and other current liabilities Total recurring fair value measurements, net $ 2,212,804 $ 1,669,165 $ 540,880 $ 2,759

SHORT-TERM INVESTMENTS (Tables)

SHORT-TERM INVESTMENTS (Tables)	9 Months Ended
	Dec. 31, 2020
Investments, Debt and Equity Securities [Abstract]
Schedule of Short-term Investments	Our Short-term investments consisted of the following: December 31, 2020 Gross Cost or Gains Losses Fair Value Short-term investments Bank time deposits $ 118,000 $ — $ — $ 118,000 Available-for-sale securities: Corporate bonds 508,431 1,617 (99) 509,949 US Treasuries 44,948 94 (1) 45,041 Asset-backed securities 697 2 — 699 Commercial paper 98,994 — — 98,994 Total Short-term investments $ 771,070 $ 1,713 $ (100) $ 772,683 March 31, 2020 Gross Cost or Gains Losses Fair Value Short-term investments Bank time deposits $ 191,000 $ — $ — $ 191,000 Available-for-sale securities: Corporate bonds 337,752 307 (3,428) 334,631 US Treasuries 30,481 338 — 30,819 Commercial paper 87,553 — — 87,553 Total Short-term investments $ 646,786 $ 645 $ (3,428) $ 644,003
Summary of the Contracted Maturities of Short-Term Investments	The following table summarizes the contracted maturities of our short-term investments at December 31, 2020: December 31, 2020 Amortized Fair Short-term investments Due in 1 year or less $ 573,013 $ 574,084 Due in 1 - 2 years 197,361 197,900 Due in 2 - 3 years 696 699 Total Short-term investments $ 771,070 $ 772,683

DERIVATIVE INSTRUMENTS AND HE_2

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Tables)	9 Months Ended
	Dec. 31, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Gross Notional Amounts of Foreign Currency Forward Contracts	The following table shows the gross notional amounts of foreign currency forward contracts: December 31, 2020 March 31, 2020 Forward contracts to sell foreign currencies $ 114,105 $ 122,024 Forward contracts to purchase foreign currencies 81,050 52,596

INVENTORY (Tables)

INVENTORY (Tables)	9 Months Ended
	Dec. 31, 2020
Inventory Disclosure [Abstract]
Schedule of Inventory Balances by Category	Inventory balances by category were as follows: December 31, 2020 March 31, 2020 Finished products $ 21,848 $ 17,984 Parts and supplies 4,885 1,124 Inventory $ 26,733 $ 19,108

SOFTWARE DEVELOPMENT COSTS AN_2

SOFTWARE DEVELOPMENT COSTS AND LICENSES (Tables)	9 Months Ended
	Dec. 31, 2020
SOFTWARE DEVELOPMENT COSTS AND LICENSES
Schedule of Capitalized Software Development Costs and Licenses	Details of our capitalized software development costs and licenses were as follows: December 31, 2020 March 31, 2020 Current Non-current Current Non-current Software development costs, internally developed $ 35,506 $ 353,982 $ 17,367 $ 305,970 Software development costs, externally developed 8,592 65,445 10,971 92,908 Licenses 4,686 17,275 11,978 2,900 Software development costs and licenses $ 48,784 $ 436,702 $ 40,316 $ 401,778

ACCRUED EXPENSES AND OTHER CU_2

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables)	9 Months Ended
	Dec. 31, 2020
Liabilities, Current [Abstract]
Schedule of Components of Accrued Expenses and Other Current Liabilities	Accrued expenses and other current liabilities consisted of the following: December 31, 2020 March 31, 2020 Software development royalties $ 680,428 $ 822,416 Compensation and benefits 170,780 81,791 Licenses 118,664 57,651 Refund liability 72,795 77,829 Marketing and promotions 62,664 40,797 Other 114,283 89,400 Accrued expenses and other current liabilities $ 1,219,614 $ 1,169,884

DEBT (Tables)

DEBT (Tables)	9 Months Ended
	Dec. 31, 2020
Debt Disclosure [Abstract]
Schedule of Information Related to Availability on Credit Agreement	Information related to availability on our Credit Agreement was as follows: December 31, 2020 March 31, 2020 Available borrowings $ 197,874 $ 198,336 Outstanding letters of credit 2,126 1,664

EARNINGS PER SHARE ("EPS") (Tab

EARNINGS PER SHARE ("EPS") (Tables)	9 Months Ended
	Dec. 31, 2020
Earnings Per Share [Abstract]
Schedule of Computation of Basic and Diluted Loss Per Share	The following table sets forth the computation of basic and diluted earnings per share: Three Months Ended December 31, Nine Months Ended December 31, 2020 2019 2020 2019 Computation of Basic earnings per share: Net income $ 182,248 $ 163,642 $ 370,074 $ 281,737 Weighted average shares outstanding—basic 115,004 113,251 114,436 112,996 Basic earnings per share $ 1.58 $ 1.44 $ 3.23 $ 2.49 Computation of Diluted earnings per share: Net income $ 182,248 $ 163,642 $ 370,074 $ 281,737 Weighted average shares outstanding—basic 115,004 113,251 114,436 112,996 Add: dilutive effect of common stock equivalents 1,113 1,003 1,137 1,013 Weighted average common shares outstanding—diluted 116,117 114,254 115,573 114,009 Diluted earnings per share $ 1.57 $ 1.43 $ 3.20 $ 2.47

ACCUMULATED OTHER COMPREHENSI_2

ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables)	9 Months Ended
	Dec. 31, 2020
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]
Schedule of Components of Accumulated Other Comprehensive Loss	The following table provides the components of accumulated other comprehensive loss: Nine Months Ended December 31, 2020 Foreign Unrealized Unrealized Unrealized Total Balance at March 31, 2020 $ (60,535) $ 600 $ 4,305 $ (2,746) $ (58,376) Other comprehensive income (loss) before reclassifications 53,697 — (2,972) 4,000 54,725 Amounts reclassified from accumulated other comprehensive loss — (600) (1,333) — (1,933) Balance at December 31, 2020 $ (6,838) $ — $ — $ 1,254 $ (5,584) Nine Months Ended December 31, 2019 Foreign Unrealized Unrealized Unrealized Total Balance at March 31, 2019 $ (33,090) $ 600 $ (5,285) $ 586 $ (37,189) Other comprehensive income (loss) before reclassifications (3,192) — 2,598 453 (141) Amounts reclassified from accumulated other comprehensive loss — — (1,157) — (1,157) Balance at December 31, 2019 $ (36,282) $ 600 $ (3,844) $ 1,039 $ (38,487)

ACQUISITIONS (Tables)

ACQUISITIONS (Tables)	9 Months Ended
	Dec. 31, 2020
Business Combinations [Abstract]
Schedule of Business Acquisitions, by Acquisition	The acquisition-date fair value of the consideration totaled $195,493, which consisted of the following: Fair value of purchase consideration Cash $ 97,846 Common stock (604 shares) 97,647 Total $ 195,493
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	The following table summarizes the preliminary acquisition date fair value of net tangible and intangible assets acquired, net of liabilities assumed from Playdots: Fair Value Weighted average useful life Cash acquired $ 12,098 N/A Other tangible net assets 8,206 N/A Other liabilities assumed (24,680) N/A Intangible Assets Developed game technology 69,000 6 User base 6,200 1 Branding and trade names 3,400 8 Game engine technology 2,200 4 Goodwill 119,069 N/A Total $ 195,493
Business Acquisition, Pro Forma Information	The amounts of revenue and earnings of Playdots included in our Consolidated Statement of Operations from the acquisition date to the period ending December 31, 2020 are as follows: Three Months Ended December 31, 2020 Nine Months Ended December 31, 2020 Net revenue 7,269 8,503 Net income (loss) (12,368) (18,417) The following table summarizes the pro-forma consolidated results of operations (unaudited) for the three and nine months ended December 31, 2020 and 2019, as though the acquisition had occurred on April 1, 2019, the beginning of Fiscal 2020, and Playdots had been included in our consolidated results for the entire periods subsequent to that date. Three Months Ended December 31, Nine Months Ended December 31, 2020 2019 2020 2019 Pro-forma Net revenue $ 860,000 $ 937,690 $ 2,553,352 $ 2,341,580 Pro-forma Net income $ 182,951 $ 153,691 $ 360,201 $ 247,406

REVENUE FROM CONTRACTS WITH C_3

REVENUE FROM CONTRACTS WITH CUSTOMERS - Disaggregated Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Revenue from External Customer [Line Items]
Total net revenue	$ 860,889	$ 930,129	$ 2,533,341	$ 2,328,429
Service and other
Revenue from External Customer [Line Items]
Total net revenue	578,830	481,301	1,662,456	1,327,433
Product
Revenue from External Customer [Line Items]
Total net revenue	282,059	448,828	870,885	1,000,996
Recurrent consumer spending
Revenue from External Customer [Line Items]
Total net revenue	533,475	340,496	1,508,604	973,822
Full game and other
Revenue from External Customer [Line Items]
Total net revenue	327,414	589,633	1,024,737	1,354,607
Console
Revenue from External Customer [Line Items]
Total net revenue	656,079	679,799	1,909,033	1,766,431
PC and other
Revenue from External Customer [Line Items]
Total net revenue	204,810	250,330	624,308	561,998
Digital online
Revenue from External Customer [Line Items]
Total net revenue	728,510	700,321	2,166,035	1,743,876
Physical retail and other
Revenue from External Customer [Line Items]
Total net revenue	$ 132,379	$ 229,808	$ 367,306	$ 584,553

REVENUE FROM CONTRACTS WITH C_4

REVENUE FROM CONTRACTS WITH CUSTOMERS - Geographical (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Disaggregation of Revenue [Line Items]
Total net revenue	$ 860,889	$ 930,129	$ 2,533,341	$ 2,328,429
United States
Disaggregation of Revenue [Line Items]
Total net revenue	528,324	536,841	1,502,397	1,361,981
International
Disaggregation of Revenue [Line Items]
Total net revenue	$ 332,565	$ 393,288	$ 1,030,944	$ 966,448

REVENUE FROM CONTRACTS WITH C_5

REVENUE FROM CONTRACTS WITH CUSTOMERS - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019	Mar. 31, 2020
Revenue from Contract with Customer [Abstract]
Contract with liability	$ 1,023,289		$ 1,023,289		$ 806,123
Contract with liability recognized	109,713	$ 193,468	722,658	$ 758,301
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining obligation	1,134,398		1,134,398
Contract asset	105,460		105,460		$ 81,625
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining obligation	$ 1,011,585		$ 1,011,585
Remaining obligation period	12 months		12 months

MANAGEMENT AGREEMENT (Details)

MANAGEMENT AGREEMENT (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended		9 Months Ended
	Nov. 30, 2017	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019	Mar. 31, 2020
Restricted stock units
Management Agreement
Stock-based compensation expense for non-employee awards		$ 6,887	$ 5,956	$ 20,544	$ 17,457
2017 Management Agreement | Restricted Stock Awards
Management Agreement
Vested (in shares)		297,000
Forfeited (in shares)				0
2017 Management Agreement | Maximum | Restricted stock units
Management Agreement
Vesting requirement for market-based restricted stock				75th
Zelnick Media Corporation
Management Agreement
Consulting expense benefit		$ 2,655	$ 3,166	$ 7,925	$ 6,541
Zelnick Media Corporation | 2017 Management Agreement
Management Agreement
Annual management fee	$ 3,100
Measurement period				2 years
Zelnick Media Corporation | 2017 Management Agreement | Time-based
Management Agreement
Granted (in shares)				79,000	92,000
Zelnick Media Corporation | 2017 Management Agreement | Market-based
Management Agreement
Granted (in shares)				145,000	168,000
Zelnick Media Corporation | 2017 Management Agreement | Performance-based
Management Agreement
Granted (in shares)				48,000	56,000
Percentage of grants earned				50.00%
Zelnick Media Corporation | 2017 Management Agreement | IP
Management Agreement
Granted (in shares)				24,000	28,000
Zelnick Media Corporation | 2017 Management Agreement | Recurrent Consumer Spending ("RCS")
Management Agreement
Granted (in shares)				24,000	28,000
Zelnick Media Corporation | 2017 Management Agreement | Restricted stock units
Management Agreement
Granted (in shares)				272,000	316,000
Unvested portion of the shares of restricted stock granted (in shares)		588,000		588,000		613,000
Zelnick Media Corporation | 2017 Management Agreement | Market-based Restricted Stock
Management Agreement
Vesting requirement for market-based restricted stock				50th
Zelnick Media Corporation | 2017 Management Agreement | Maximum
Management Agreement
Bonus per fiscal year based on the achievement of certain performance thresholds	$ 7,440

FAIR VALUE MEASUREMENTS - Recur

FAIR VALUE MEASUREMENTS - Recurring Fair Value Measurements (Details) - USD ($) $ in Thousands	Dec. 31, 2020	Mar. 31, 2020
Assets measured at fair value on a recurring basis
Short-term investments	$ 772,683	$ 644,003
Total recurring fair value measurements, net	2,602,376	2,212,804
Money market funds
Assets measured at fair value on a recurring basis
Cash and cash equivalents	745,564	497,861
Restricted cash and cash equivalents	469,988	546,604
Long-term restricted cash and cash equivalents	98,538	89,124
Bank time deposits
Assets measured at fair value on a recurring basis
Cash and cash equivalents	471,688	313,757
Short-term investments	118,000	191,000
Restricted cash and cash equivalents	560
Commercial paper
Assets measured at fair value on a recurring basis
Cash and cash equivalents	37,005	97,544
Short-term investments	98,994	87,553
Corporate bonds
Assets measured at fair value on a recurring basis
Cash and cash equivalents	300	9,888
Short-term investments	509,949	334,631
US Treasuries
Assets measured at fair value on a recurring basis
Short-term investments	45,041	30,819
Asset-backed securities
Assets measured at fair value on a recurring basis
Short-term investments	699
Cross-currency swap
Assets measured at fair value on a recurring basis
Prepaid expenses and other		11,275
Private equity
Assets measured at fair value on a recurring basis
Private equity	6,178	2,759
Foreign currency forward contracts
Assets measured at fair value on a recurring basis
Foreign currency forward contracts	(128)	(11)
Quoted prices in active markets for identical assets (level 1)
Assets measured at fair value on a recurring basis
Total recurring fair value measurements, net	1,949,379	1,669,165
Quoted prices in active markets for identical assets (level 1) | Money market funds
Assets measured at fair value on a recurring basis
Cash and cash equivalents	745,564	497,861
Restricted cash and cash equivalents	469,988	546,604
Long-term restricted cash and cash equivalents	98,538	89,124
Quoted prices in active markets for identical assets (level 1) | Bank time deposits
Assets measured at fair value on a recurring basis
Cash and cash equivalents	471,688	313,757
Short-term investments	118,000	191,000
Restricted cash and cash equivalents	560
Quoted prices in active markets for identical assets (level 1) | Commercial paper
Assets measured at fair value on a recurring basis
Cash and cash equivalents	0	0
Short-term investments	0	0
Quoted prices in active markets for identical assets (level 1) | Corporate bonds
Assets measured at fair value on a recurring basis
Cash and cash equivalents	0	0
Short-term investments	0	0
Quoted prices in active markets for identical assets (level 1) | US Treasuries
Assets measured at fair value on a recurring basis
Short-term investments	45,041	30,819
Quoted prices in active markets for identical assets (level 1) | Asset-backed securities
Assets measured at fair value on a recurring basis
Short-term investments	0
Quoted prices in active markets for identical assets (level 1) | Cross-currency swap
Assets measured at fair value on a recurring basis
Prepaid expenses and other		0
Quoted prices in active markets for identical assets (level 1) | Private equity
Assets measured at fair value on a recurring basis
Private equity	0	0
Quoted prices in active markets for identical assets (level 1) | Foreign currency forward contracts
Assets measured at fair value on a recurring basis
Foreign currency forward contracts	0	0
Significant other observable inputs (level 2)
Assets measured at fair value on a recurring basis
Total recurring fair value measurements, net	646,819	540,880
Significant other observable inputs (level 2) | Money market funds
Assets measured at fair value on a recurring basis
Cash and cash equivalents	0	0
Restricted cash and cash equivalents	0	0
Long-term restricted cash and cash equivalents	0	0
Significant other observable inputs (level 2) | Bank time deposits
Assets measured at fair value on a recurring basis
Cash and cash equivalents	0	0
Short-term investments	0	0
Restricted cash and cash equivalents	0
Significant other observable inputs (level 2) | Commercial paper
Assets measured at fair value on a recurring basis
Cash and cash equivalents	37,005	97,544
Short-term investments	98,994	87,553
Significant other observable inputs (level 2) | Corporate bonds
Assets measured at fair value on a recurring basis
Cash and cash equivalents	300	9,888
Short-term investments	509,949	334,631
Significant other observable inputs (level 2) | US Treasuries
Assets measured at fair value on a recurring basis
Short-term investments	0	0
Significant other observable inputs (level 2) | Asset-backed securities
Assets measured at fair value on a recurring basis
Short-term investments	699
Significant other observable inputs (level 2) | Cross-currency swap
Assets measured at fair value on a recurring basis
Prepaid expenses and other		11,275
Significant other observable inputs (level 2) | Private equity
Assets measured at fair value on a recurring basis
Private equity	0	0
Significant other observable inputs (level 2) | Foreign currency forward contracts
Assets measured at fair value on a recurring basis
Foreign currency forward contracts	(128)	(11)
Significant unobservable inputs (level 3)
Assets measured at fair value on a recurring basis
Total recurring fair value measurements, net	6,178	2,759
Significant unobservable inputs (level 3) | Money market funds
Assets measured at fair value on a recurring basis
Cash and cash equivalents	0	0
Restricted cash and cash equivalents	0	0
Long-term restricted cash and cash equivalents	0	0
Significant unobservable inputs (level 3) | Bank time deposits
Assets measured at fair value on a recurring basis
Cash and cash equivalents	0	0
Short-term investments	0	0
Restricted cash and cash equivalents	0
Significant unobservable inputs (level 3) | Commercial paper
Assets measured at fair value on a recurring basis
Cash and cash equivalents	0	0
Short-term investments	0	0
Significant unobservable inputs (level 3) | Corporate bonds
Assets measured at fair value on a recurring basis
Cash and cash equivalents	0	0
Short-term investments	0	0
Significant unobservable inputs (level 3) | US Treasuries
Assets measured at fair value on a recurring basis
Short-term investments	0	0
Significant unobservable inputs (level 3) | Asset-backed securities
Assets measured at fair value on a recurring basis
Short-term investments	0
Significant unobservable inputs (level 3) | Cross-currency swap
Assets measured at fair value on a recurring basis
Prepaid expenses and other		0
Significant unobservable inputs (level 3) | Private equity
Assets measured at fair value on a recurring basis
Private equity	6,178	2,759
Significant unobservable inputs (level 3) | Foreign currency forward contracts
Assets measured at fair value on a recurring basis
Foreign currency forward contracts	$ 0	$ 0

FAIR VALUE MEASUREMENTS - Narra

FAIR VALUE MEASUREMENTS - Narrative (Details) $ in Thousands	3 Months Ended	9 Months Ended
	Dec. 31, 2020USD ($)	Dec. 31, 2020USD ($)
Fair Value Disclosures [Abstract]
Investments in other assets	$ 45,000	$ 45,000
Gain on sale of investments	$ 19,791
Unrealized gain (loss) on investments		$ 20,797

SHORT-TERM INVESTMENTS - Schedu

SHORT-TERM INVESTMENTS - Schedule of Short-Term Investments (Details) - USD ($) $ in Thousands	Dec. 31, 2020	Mar. 31, 2020
Debt Securities, Available-for-sale [Line Items]
Cost or Amortized Cost	$ 771,070	$ 646,786
Gross Unrealized Gain	1,713	645
Gross Unrealized Losses	(100)	(3,428)
Fair Value	772,683	644,003
Bank time deposits
Debt Securities, Available-for-sale [Line Items]
Cost or Amortized Cost	118,000	191,000
Gross Unrealized Gain	0	0
Gross Unrealized Losses	0	0
Fair Value	118,000	191,000
Corporate bonds
Debt Securities, Available-for-sale [Line Items]
Cost or Amortized Cost	508,431	337,752
Gross Unrealized Gain	1,617	307
Gross Unrealized Losses	(99)	(3,428)
Fair Value	509,949	334,631
US Treasuries
Debt Securities, Available-for-sale [Line Items]
Cost or Amortized Cost	44,948	30,481
Gross Unrealized Gain	94	338
Gross Unrealized Losses	(1)	0
Fair Value	45,041	30,819
Asset-backed securities
Debt Securities, Available-for-sale [Line Items]
Cost or Amortized Cost	697
Gross Unrealized Gain	2
Gross Unrealized Losses	0
Fair Value	699
Commercial paper
Debt Securities, Available-for-sale [Line Items]
Cost or Amortized Cost	98,994	87,553
Gross Unrealized Gain	0	0
Gross Unrealized Losses	0	0
Fair Value	$ 98,994	$ 87,553

SHORT-TERM INVESTMENTS - Contra

SHORT-TERM INVESTMENTS - Contracted Maturities of Short-Term Investments (Details) - USD ($) $ in Thousands	Dec. 31, 2020	Mar. 31, 2020
Debt Securities, Available-for-sale, Maturity, Amortized Cost, Rolling Maturity [Abstract]
Amortized cost, Due in 1 year or less	$ 573,013
Amortized cost, Due in 1-2 years	197,361
Amortized cost, Due in 2 - 3 years	696
Cost or Amortized Cost	771,070	$ 646,786
Debt Securities, Available-for-sale, Maturity, Fair Value, Rolling Maturity [Abstract]
Fair value, Due in 1 year or less	574,084
Fair value, Due in 1-2 years	197,900
Fair value, Due in 2 - 3 years	699
Total fair value	$ 772,683	$ 644,003

DERIVATIVE INSTRUMENTS AND HE_3

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Details) - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Dec. 31, 2020	Jun. 30, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019	Mar. 31, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Forward contracts to sell foreign currencies	$ 114,105			$ 114,105		$ 122,024
Forward contracts to purchase foreign currencies	81,050			81,050		$ 52,596
Derivative instrument not designated as hedging instruments, gain (loss), net	$ (5,832)		$ (556)	$ (9,518)	$ (1,643)
Amount reclassified from accumulated other comprehensive income (loss) to earnings		$ 3,109
Proceeds from settled derivative asset		$ 7,420

INVENTORY (Details)

INVENTORY (Details) - USD ($) $ in Thousands	Dec. 31, 2020	Mar. 31, 2020
Inventory Disclosure [Abstract]
Finished products	$ 21,848	$ 17,984
Parts and supplies	4,885	1,124
Inventory	26,733	19,108
Estimated product returns included in inventory	$ 367	$ 506

SOFTWARE DEVELOPMENT COSTS AN_3

SOFTWARE DEVELOPMENT COSTS AND LICENSES (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019	Mar. 31, 2020
Finite-Lived Intangible Assets [Line Items]
Software development costs and licenses, Current	$ 48,784		$ 48,784		$ 40,316
Software development costs and licenses, Non-current	436,702		436,702		401,778
Impairment of software development	5,532	$ 0	25,227	$ 0
Software development costs, internally developed
Finite-Lived Intangible Assets [Line Items]
Software development costs and licenses, Current	35,506		35,506		17,367
Software development costs and licenses, Non-current	353,982		353,982		305,970
Software development costs, externally developed
Finite-Lived Intangible Assets [Line Items]
Software development costs and licenses, Current	8,592		8,592		10,971
Software development costs and licenses, Non-current	65,445		65,445		92,908
Licenses
Finite-Lived Intangible Assets [Line Items]
Software development costs and licenses, Current	4,686		4,686		11,978
Software development costs and licenses, Non-current	$ 17,275		$ 17,275		$ 2,900

ACCRUED EXPENSES AND OTHER CU_3

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Details) - USD ($) $ in Thousands	Dec. 31, 2020	Mar. 31, 2020
Liabilities, Current [Abstract]
Software development royalties	$ 680,428	$ 822,416
Compensation and benefits	170,780	81,791
Licenses	118,664	57,651
Refund liability	72,795	77,829
Marketing and promotions	62,664	40,797
Other	114,283	89,400
Accrued expenses and other current liabilities	$ 1,219,614	$ 1,169,884

DEBT (Details)

DEBT (Details) - USD ($)	Feb. 08, 2019	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019	Mar. 31, 2020
Credit Agreement
Credit Agreement
Debt term	5 years
Maximum borrowing capacity	$ 200,000,000
Amount of additional borrowings by which maximum borrowing capacity may be increased	250,000,000
Available borrowings		$ 197,874,000		$ 197,874,000		$ 198,336,000
Outstanding letters of credit		2,126,000		2,126,000		$ 1,664,000
Interest expense and fees		141,000	$ 82,000	305,000	$ 248,000
Letter of Credit
Credit Agreement
Maximum borrowing capacity	$ 25,000,000
New Credit Agreement
Credit Agreement
Outstanding borrowings		$ 0		$ 0
New Credit Agreement | Base rate
Credit Agreement
Interest rate at end of period		3.25%		3.25%
New Credit Agreement | Base rate | Minimum
Credit Agreement
Interest rate added to base rate	0.25%
New Credit Agreement | Base rate | Maximum
Credit Agreement
Interest rate added to base rate	0.75%
New Credit Agreement | LIBOR
Credit Agreement
Interest rate at end of period		1.44%		1.44%
New Credit Agreement | LIBOR | Minimum
Credit Agreement
Interest rate added to base rate	1.125%
New Credit Agreement | LIBOR | Maximum
Credit Agreement
Interest rate added to base rate	1.75%

EARNINGS PER SHARE ("EPS") - Sc

EARNINGS PER SHARE ("EPS") - Schedule of Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Computation of Basic earnings per share:
Net income	$ 182,248	$ 163,642	$ 370,074	$ 281,737
Weighted average shares outstanding—basic (in shares)	115,004	113,251	114,436	112,996
Basic earnings per share (in dollars per share)	$ 1.58	$ 1.44	$ 3.23	$ 2.49
Computation of Diluted earnings per share:
Net income	$ 182,248	$ 163,642	$ 370,074	$ 281,737
Weighted average shares outstanding—basic (in shares)	115,004	113,251	114,436	112,996
Add: dilutive effect of common stock equivalents (in shares)	1,113	1,003	1,137	1,013
Weighted average common shares outstanding—diluted (in shares)	116,117	114,254	115,573	114,009
Diluted earnings per share (in dollars per share)	$ 1.57	$ 1.43	$ 3.20	$ 2.47

EARNINGS PER SHARE ("EPS") - Na

EARNINGS PER SHARE ("EPS") - Narrative (Details) - Restricted stock shares in Thousands	9 Months Ended
	Dec. 31, 2020shares
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Restricted stock awards, vested (in shares)	1,235
Restricted stock awards, granted (in shares)	872
Restricted stock awards, canceled (in shares)	29

ACCUMULATED OTHER COMPREHENSI_3

ACCUMULATED OTHER COMPREHENSIVE LOSS (Details) - USD ($) $ in Thousands	9 Months Ended
	Dec. 31, 2020	Dec. 31, 2019
Changes in accumulated other comprehensive loss
Beginning balance	$ 2,539,244	$ 2,040,580
Ending balance	3,155,291	2,402,035
Foreign currency translation adjustments
Changes in accumulated other comprehensive loss
Beginning balance	(60,535)	(33,090)
Other comprehensive income (loss) before reclassifications	53,697	(3,192)
Amounts reclassified from accumulated other comprehensive loss	0	0
Ending balance	(6,838)	(36,282)
Unrealized gain (loss) on forward contracts
Changes in accumulated other comprehensive loss
Beginning balance	600	600
Other comprehensive income (loss) before reclassifications	0	0
Amounts reclassified from accumulated other comprehensive loss	(600)	0
Ending balance	0	600
Unrealized gain (loss) on cross-currency swap
Changes in accumulated other comprehensive loss
Beginning balance	4,305	(5,285)
Other comprehensive income (loss) before reclassifications	(2,972)	2,598
Amounts reclassified from accumulated other comprehensive loss	(1,333)	(1,157)
Ending balance	0	(3,844)
Unrealized gain (loss) on available-for- sales securities
Changes in accumulated other comprehensive loss
Beginning balance	(2,746)	586
Other comprehensive income (loss) before reclassifications	4,000	453
Amounts reclassified from accumulated other comprehensive loss	0	0
Ending balance	1,254	1,039
Total
Changes in accumulated other comprehensive loss
Beginning balance	(58,376)	(37,189)
Other comprehensive income (loss) before reclassifications	54,725	(141)
Amounts reclassified from accumulated other comprehensive loss	(1,933)	(1,157)
Ending balance	$ (5,584)	$ (38,487)

BUSINESS REORGANIZATION (Detail

BUSINESS REORGANIZATION (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Restructuring Cost and Reserve [Line Items]
Business reorganization expense (benefit)	$ (377)	$ (246)	$ (138)	$ 467
Fiscal 2018 Plan
Restructuring Cost and Reserve [Line Items]
Business reorganization expense (benefit)	(377)	$ 246	(138)	$ 467
Payments related to reorganization activities			3,500
Restructuring reserve, current	1,166		1,166
Restructuring reserve, noncurrent	$ 1,550		$ 1,550

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Income Tax Disclosure [Abstract]
Provision for income taxes	$ 34,198	$ 25,134	$ 54,151	$ 52,068
Effective rate	15.80%		12.80%
Income tax rate reconciliation, tax credit	$ 7,116		$ 17,778
Income tax rate reconciliation, employee stock-based compensation	$ 3,392		$ 13,580

ACQUISITIONS - Narrative (Detai

ACQUISITIONS - Narrative (Details) - USD ($) $ in Thousands	Sep. 04, 2020	Dec. 31, 2020	Dec. 31, 2020	Dec. 31, 2019
Business Acquisition [Line Items]
Cash paid for business acquisition			$ 79,525	$ 12,040
PlayDots
Business Acquisition [Line Items]
Cash paid for business acquisition	$ 97,846
Contingent consideration	$ 13,440	$ 9,600	9,600
Contingent consideration paid		3,840
Transaction costs		$ 41	$ 2,553
PlayDots | Common Stock
Business Acquisition [Line Items]
Issuance of common stock in connection with acquisition (in shares)	604,000

ACQUISITIONS - Schedule of Cons

ACQUISITIONS - Schedule of Consideration at Fair Value (Details) - USD ($) $ in Thousands	Sep. 04, 2020	Dec. 31, 2020	Dec. 31, 2019
Business Acquisition [Line Items]
Cash		$ 79,525	$ 12,040
PlayDots
Business Acquisition [Line Items]
Cash	$ 97,846
Common stock (604 shares)	97,647
Total	$ 195,493
PlayDots | Common Stock
Business Acquisition [Line Items]
Issuance of common stock in connection with acquisition (in shares)	604,000

ACQUISITIONS - Schedule of Asse

ACQUISITIONS - Schedule of Assets and Liabilities Assumed (Details) - USD ($) $ in Thousands	Sep. 04, 2020	Dec. 31, 2020	Mar. 31, 2020
Business Acquisition [Line Items]
Goodwill	$ 119,069	$ 534,535	$ 386,494
PlayDots
Business Acquisition [Line Items]
Cash acquired	12,098
Other tangible net assets	8,206
Other liabilities assumed	(24,680)
Total	195,493
PlayDots | Developed game technology
Business Acquisition [Line Items]
Intangible assets, excluding goodwill	$ 69,000
Weighted average useful life	6 years
PlayDots | User base
Business Acquisition [Line Items]
Intangible assets, excluding goodwill	$ 6,200
Weighted average useful life	1 year
PlayDots | Branding and trade names
Business Acquisition [Line Items]
Intangible assets, excluding goodwill	$ 3,400
Weighted average useful life	8 years
PlayDots | Game engine technology
Business Acquisition [Line Items]
Intangible assets, excluding goodwill	$ 2,200
Weighted average useful life	4 years

ACQUISITIONS - Schedule of Reve

ACQUISITIONS - Schedule of Revenue and Earnings Included in Statement of Operations (Details) - PlayDots - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Dec. 31, 2020	Dec. 31, 2020
Business Acquisition [Line Items]
Net revenue	$ 7,269	$ 8,503
Net income (loss)	$ (12,368)	$ (18,417)

ACQUISITIONS - Schedule of Pro

ACQUISITIONS - Schedule of Pro Forma Information (Details) - PlayDots - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2020	Dec. 31, 2019
Business Acquisition [Line Items]
Pro-forma Net revenue	$ 860,000	$ 937,690	$ 2,553,352	$ 2,341,580
Pro-forma Net income	$ 182,951	$ 153,691	$ 360,201	$ 247,406