bigtroyjon
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They aren't quite out of the woods yet but if the games coming up this next FY perform to expectation, they should be in great shape going ahead in the future with their greatly reduced cost structure.
I expect the stock to jump up pretty big today, so congrats are in order to those of us who hopped on this train cheaply!
Year-End Cash Balance of $76 Million Significantly Exceeds Prior Guidance
AGOURA HILLS, Calif., Apr 18, 2012 (BUSINESS WIRE) --THQ Inc. (NASDAQ: THQI) today provided preliminary, unaudited financial results for the fourth quarter ended March 31, 2012.
For the fourth quarter, THQ expects to report non-GAAP net sales of $160 million to $170 million, which is above the company's previous outlook of non-GAAP net sales in the range of $130 million to $150 million. Revised net sales expectations reflect:
- continued strong net sales of the critically-acclaimed Saints Row(R): The Third(TM), which to date has shipped in more than four million units;
- higher-than-expected digital sales, largely driven by the robust digital content of Saints Row: The Third; and
- slightly higher-than-expected net sales of UFC(R) Undisputed(R) 3, which was released mid-February 2012 to highly-favorable critical reviews, achieving an average Metacritic score of 85.
The company currently expects a fiscal fourth quarter non-GAAP net loss per share in the range of $0.10 to $0.20, compared to its previous expectation of a net loss per share in the range of $0.35 to $0.50.
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. 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(R) II.
THQ's GAAP results for the fourth quarter ended March 31, 2012 are expected to include non-cash software development charges of approximately $30 million to $50 million resulting from decisions made related to the company's previously-announced product strategy.
THQ will report full GAAP and non-GAAP fiscal 2012 fourth quarter and full-year results, along with a reconciliation of those results, and provide its outlook for fiscal 2013 on Tuesday, May 15, 2012. Conference call details will be provided closer to the date.
They aren't quite out of the woods yet but if the games coming up this next FY perform to expectation, they should be in great shape going ahead in the future with their greatly reduced cost structure.
I expect the stock to jump up pretty big today, so congrats are in order to those of us who hopped on this train cheaply!