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View Full Version : THQ blaming WWE for a loss in video game revenue?



John
05-07-2009, 03:49 PM
Credit: PWTorch.com

THQ, the publisher of WWE's "Smackdown vs. RAW" and "Legends of WrestleMania" video game titles, reported a greater-than-expected quarterly loss today. THQ partially blamed weak sales of the 2009 version of "Smackdown vs. RAW" video game for the loss.

THQ reported a net loss of $96.9 million in its quarterly report today. CEO Brian Farrell called fiscal 2009 a "disappointing year" with sales falling significantly.

The company recently fired 600 employees and cut $220 million in costs. THQ hopes to return to profitability after taking drastic measures.

"They've done pretty dramatic cost-cutting... They've eliminated a lot of the marginal products," said a video game analyst in a Reuters wire story. "But it comes down to the games, and are the games going to drive revenue."

THQ is depending on a resurgence for WWE's annual video game and the debut of UFC's "Undisputed" video game to help drive revenue in fiscal year 2010.