Wed, Apr 18, 2012 | 12:00 BST
THQ Q4 to “exceed expectations”, SR: The Third ships 4 million
THQ’s announced preliminary results for its fourth quarter, confirming it expects to “exceed” previous expectations with non-GAAP net sales in the region of $160 million to $170 million.
The figures are better than the $130 million to $150 million of non-GAAP net sales that was expected to be announced previously. It does expect a non-GAAP share loss, though, from $0.10 to $0.20, down from the previous expectation of $0.35 to $0.50.
The new outlook is down to strong performances of Saints Row: The Third, UFC Undisputed 3 and “higher than expected” digital sales driven by the former.
The Volition open-world title has shipped four million units to date since its November release. Net sales of UFC Undisputed 3, which launched back in January, is “slightly higher than expected”, according to THQ.
“THQ expects to report cash and cash equivalents of approximately $76 million at March 31, 2012, three times higher than the previous expectation for its year-end cash balance, due to better-than-expected operating results in the fourth quarter, as well as earlier-than-anticipated cash receipts,” it added.
“Additionally, the company ended the quarter with no outstanding borrowings on its $50 million credit facility, and did not borrow against the facility during the quarter. The company expects to utilize a substantial portion of its cash and cash equivalents as well as its credit facility as it launches its slate for the 2013 fiscal year, beginning with Darksiders II.”
THQ’s Q4 financial call will take place on May 15.
The news follows much speculation on the company’s future after it was reported earlier in the year it had canned its entire FY2014 line-up, offering itself for sale and that it was looking to sell MMO Warhammer 40k: Dark Millennium.
THQ denied the claims as such. Dark Millennium has now since been refocused into a single-player/multiplayer game than as an MMO.
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Posted in: THQ, THQ Financials
14 comments
#1
Telepathic.Geometry
18/04/12, 11:28 am
I hope this is true… THQ makes decent games and their heart is in the right place, I’d hate to see them take yet another hit.
#2
ianos
18/04/12, 11:33 am
What in the BLUE HELL does ‘non-GAAP’ mean?
#3
mtnman3888
18/04/12, 11:53 am
GAAP stands for generally accepted accounting principles, which is what all companies must use for external financial reporting purposes. So basically what this means is that THQ used other methods to calculate their balance sheet than what is required to report to shareholders, government agencies, etc. Non-GAAP methods are mainly used for internal reports and to make business decisions.
#4
Telepathic.Geometry
18/04/12, 11:56 am
Ooh, cheers for clearing that up fella. /plus 1
#5
Christopher Jack
18/04/12, 12:06 pm
Hope THQ survives, they just need to further their efforts on AAA titles & dump the gimmicky ones altogether. Dawn of War III @E3!
#6
GrimRita
18/04/12, 12:14 pm
@5 agree! We need a DoW3 but going back to the roots that made the original such a fantastic online game. DoW2 is ok but a shell of the original and CoH is another gem that they can focus on as well.
#7
Christopher Jack
18/04/12, 12:22 pm
Fully agreed, I like the micro management in the second where there was a focus on tactical placement & not simple spamming but I miss the base building & the likes too much. Turrets & such shouldn’t eat into the damn unit cap =\ Would actually prefer it to be more like C&C3: Tiberium wars but with W40K franchise, more variety, less spam & modern graphics.
#8
NeoSquall
18/04/12, 12:22 pm
@1 Too bad some of its people (coff coff.. the CEO’s.. coff) don’t look like they have the heart in the right place.
#9
ianos
18/04/12, 12:32 pm
@3
Cheers. T’would have been nice to not have to ask, but the story didn’t exactly make what the hell it was on about clear.
#10
ManuOtaku
18/04/12, 12:54 pm
I hope they can turn things around, i know the had made some mistakes with a lot of games, but man they have strong ips, and the new south park game is the icing to the cake, i really wish for their comeback to a goog healthy business state.
#11
The_Red
18/04/12, 2:02 pm
They have to potentially great games on their hands for 2012: DarkSiders 2 and South Park RPG. If they market these properly, I believe they can survive the current woes. InSane, Devil’s Third and few others could also help when 2013 arrives.
#12
Lord Gremlin
18/04/12, 2:54 pm
Well, this means more Saints Row in the future, always good news.
#13
LOLshock92
18/04/12, 3:16 pm
Good news!!
#14
albo88
18/04/12, 8:57 pm
they will not be missed
at last by me i still have to see an original IP by THQ
just copy from this and that and that’s it that’s the game experience u get from THQ