THQ full-year losses hit $136m
Homefront ships 2.6 million units, uDraw tablet coming to Xbox 360, PS3
THQ has posted financial results which show a huge increase in losses since the same period last year, with quarterly losses of $44.1 million and yearly losses of $136.1 million for the period ending March 31, 2011.
Figures for the same period last year were a quarterly losses of $10.4 million and yearly losses of $9 million.
GAAP net sales also slowed, from $197.7 million for the fourth quarter 2010 to $124.2 million in 2011, despite a strong performance from Homefront, still 2011's best selling week-one release in the UK. Yearly sales slumped from $899.1 million to $665.3 million.
Figures were largely in line with corporate guidance for the period, and THQ CEO Brian Farrell seemed unfazed in his remarks regarding the report.
"THQ posted strong fourth quarter results primarily driven by the success of Homefront," said Farrell. "We have already shipped 2.6 million units, a solid start for this new franchise, which kicks off the strongest pipeline of AAA core games in our history.
"We also continued to grow the uDraw franchise with the successful international debut of this compelling new tablet. Today, I am pleased to announce that we plan to bring exclusively designed uDraw GameTablets to Microsoft Xbox 360 and Sony PS3 platforms this holiday.
"We expect to generate significant growth, profitability and cash in fiscal 2012, driven by the latest instalments of multi-million unit selling franchises, Saints Row, Red Faction, Warhammer 40,000, MX vs. ATV, UFC, WWE, and uDraw. We are creating a digital ecosystem for each of these games that will continue to keep consumers engaged and generate additional revenue opportunities beyond the initial retail sale.
"We also continue to aggressively invest in our digital initiatives, including online social and mobile offerings as well as our Warhammer 40,000: Dark Millennium Online MMO."
Farrell's predictions for the coming period are confident, with a large focus on the potential of forthcoming titles Red Faction: Armageddon and MX vs ATV Alive.
The motocross title in particular is key to the publisher's future, representing THQ's plans for a new pricing model, which offers consumers a lower price point for a game, with extended options for DLC and additional content.
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