Saints Row sales help THQ bottom line
by Steve Watts, shacknews.com, Apr 18, 2012 4:30PM PDT
THQ has been in some financial trouble, but it can thank a bombastic street gang for keeping its fourth-quarter earnings surprisingly positive. The company reported its fiscal results for the quarter ending March 31, 2012 today, and expects to report net sales between $160-170 million, above its outlook of $130-150 million. This is largely due to Saints Row: The Third.
The company cited strong continued sales of Saints Row, along with higher-than-expected sales of DLC for the game. To a lesser degree, the company pointed to slightly higher-than-expected sales of UFC Undisputed 3.
These results have also led to a slightly more positive outlook for the company's stock value, which is expected to have a loss per share of 10-20 cents, as opposed to its expectation of 35-50 cents. That's not exactly good news, especially with a NASDAQ delisting hanging over its head, but it is certainly less bad news.
THQ expects to report cash and equivalent earnings of roughly $76 million at the end of the quarter, three times higher than its previous expectation, and boasts no outstanding borrowings. The full report will be coming on May 15, but as a preliminary look at the company's earnings it seems more positive than many would have thought.