$7m net loss for THQ in Q2

THQ has revealed its fiscal results for its second quarter, reporting a net loss of $7 million.

The figure compares poorly to the $11.6 million reported for the same period a year ago.

However, the company said that the loss was consistent with its revised financial guidance.

The firm’s total net sales for Q2 were $229.3 million, down from the $240.2 million reported in 2006, and were driven by sales of film adaptation Ratatouille, as well as Juiced 2: Hot Import Night and Stuntman: Ignition.

One success story for THQ was DS revenue, which doubled year-on-year thanks to the success of Ratatouille and new IP Drawn To Life.

In Q3, THQ expects net sales of USD 490 million. For the fiscal year ending March 2008, the company predicts net sales of approximately USD 1.06 billion.

"While we are disappointed with our recently revised fiscal 2008 financial guidance, we expect a solid second half to drive THQ’s thirteenth consecutive year of revenue growth," said THQ president and CEO Brian Farrell.

"Our proven holiday line-up features WWE SmackDown vs. Raw 2008, scheduled to release on twice as many platforms as last year. We have already shipped Cars 2: Mater-National, a sequel to last year’s top-selling family title, as well as games based on Nickelodeon’s popular Avatar, Nicktoons and SpongeBob characters," Farrell said.