Atari Reports Losses

MarkG · November 6, 2003, 05:09

Quote:

Atari Reports Losses

Officials from French publisher Atari have today announced the company’s financial results for the fiscal 2004 second quarter and the six months ended September 30.

Net revenue for the second quarter was $60.6 million compared to $109.4 million at the same time last year. Net loss for the quarter was $28.7 million, prior to a one-time non-cash dividend relating to the Company's recent recapitalization and public offering. Including the $39.4 million dividend, net loss for the quarter was $68.1 million, or $0.90 per share, compared to net income of $731,000, or $0.01 per share, last year.

Net revenue for the six-month period ended September 30 was $211.9 million versus $239.0 million in the same period last year. Net loss for the six-month period was $4.9 million. Including the $39.4 million dividend, net loss for the six-month period was $44.3 million, or $0.61 per share, compared to net income of $22,000, or $0.00 per share, last year.

The company puts the disappointing second quarter loss down to a purposeful lack of new releases during a traditionally quiet time of year for the video games business. Nevertheless the company remained the number two publisher in the US (behind Electronic Arts) and revenues for the forthcoming quarter are predicted at between $214 and $235 million, with an income of between $28 and $36 million.

Results for the entire fiscal year are estimated at a revenue of between $560 and $590 million, with a net income of $35 to $45 million.

MrWhereItsAt · November 6, 2003, 07:56

And then came Conquests.....

Ljube · November 6, 2003, 13:37

Their losses come from the name change.

vmxa1 · November 6, 2003, 14:28

I am not familiar with the way they do business, but often it is not enough to have a sellable product to make money.

Gramphos · November 6, 2003, 17:13

Quote:

Originally posted by ljcvetko
Their losses come from the name change.

Actually it is more likely from the aquering of all those game companies (just before the name change)

Spaced Cowboy · November 6, 2003, 17:36

It is either that, or it is the way that they are doing business. I look long and hard before I buy an Atari product, now, versus a year ago when I would buy it when it came out. Time shall be the judge here.

Panag · November 6, 2003, 19:51

hi ,

well they had to clean up a lot when they took over , those things tend to be costly ( clean ups ) , but then again , at least they invested , time shall tell , .....

have a nice day

Faboba · November 6, 2003, 20:01

I can't help but feel partially responisble... I've bought every Sims expansion pack....

CharlesBHoff · November 9, 2003, 00:05

Is this than real cash lose of than accounting lost which have no real cash lost. Than example: I as than Taxis company own 100 new taxis cab on which I than record than accounting lost thought despreation over 5 year as than lowering of asset value and than yearly expence of 20 % of the cost of buying then this is than non-cash expense as I donot lose any cash or pay anyone the money.

Admiral PJ · November 9, 2003, 13:39

Its common for many businesses to have losses in part of the year.. seasonal businesses. They will try and make money from their releases at christmas and maybe summer.
At least they didn't spend too much money on marketing people making a new name.. for some reason they went to the name Atari.. bad move, its an old brandname of a defunct game system. They were probably trying to move away from their french company roots, with some americans dislike of the French governments anti war policies (I guess most Americans prefer to blame others for their own problems as usual ) .

I think this means they won't need to pay any taxes, as dividends aren't taxable by the company .. they seem sexy for shareholders, the dividends go to directors and empoyees as well as city investors with money in the company. Shame they aren't sensible enough to invest all that dividend money in new software development.
They may be ripe for a take over, with some other media company, thats a share issue though .

I think Quake 3 may be released soon, which should do well, though it has more competition nowadays. I think its an Atari publishing.

I congratulate Atari on making many intelligent strategy style games such as Civ3.. if Conquests delivers perhaps they'll consider a civ4, there are definitely new intersting Firaxis products in the works (i can't reveal more).

CharlesBHoff · November 9, 2003, 15:38

Quote:

Originally posted by Admiral PJ
Its common for many businesses to have losses in part of the year.. seasonal businesses. They will try and make money from their releases at christmas and maybe summer.
At least they didn't spend too much money on marketing people making a new name.. for some reason they went to the name Atari.. bad move, its an old brandname of a defunct game system. They were probably trying to move away from their french company roots, with some americans dislike of the French governments anti war policies (I guess most Americans prefer to blame others for their own problems as usual ) .

I think this means they won't need to pay any taxes, as dividends aren't taxable by the company .. they seem sexy for shareholders, the dividends go to directors and empoyees as well as city investors with money in the company. Shame they aren't sensible enough to invest all that dividend money in new software development.
They may be ripe for a take over, with some other media company, thats a share issue though .

I think Quake 3 may be released soon, which should do well, though it has more competition nowadays. I think its an Atari publishing.

I congratulate Atari on making many intelligent strategy style games such as Civ3.. if Conquests delivers perhaps they'll consider a civ4, there are definitely new intersting Firaxis products in the works (i can't reveal more).

I support the French position on the war with Iraq. Bush and Tony (the Pimp) Blair commited perjury about WMD being in Iraq. Bush Iraq war isnot only inmortal but also illegality as he broke International law.

CharlesBHoff · November 9, 2003, 15:45

Let say I invert 110,000,000 million dollar in a taxis company
I buy 100 taxis cab for 100,000,000 dollar. The company earm 10,000,000 dollar have 6,000,000 dollar in cash expense and 20,000,000 doolar in non-cash expense. I report to IRS that I have than lost of 16,000,000 dollar but I than happy as I make 4,000,000 dollar tax free.

Kuciwalker · November 9, 2003, 16:49

Quote:

I support the French position on the war with Iraq. Bush and Tony (the Pimp) Blair commited perjury about WMD being in Iraq. Bush Iraq war isnot only inmortal but also illegality as he broke International law.

Pathetic troll. Take it to the OTF and actually learn something.

vmxa1 · November 9, 2003, 18:30

Very pathetic and wrong. I guess the UN vote does not count.
Perjury requires you to knowingly lie, not be wrong.
If I tell you I have 5 dollars in my pocket and it turns out I only 2, did I lie or was I mistaken?

CharlesBHoff · November 10, 2003, 03:28

Quote:

Originally posted by vmxa1
Very pathetic and wrong. I guess the UN vote does not count.
Perjury requires you to knowingly lie, not be wrong.
If I tell you I have 5 dollars in my pocket and it turns out I only 2, did I lie or was I mistaken?

The UN Vote on taken military action never took place as America would have lost 11-4 idiot before you say anything and I remember the Vietman era as I grew up in it you are too young to know anything. Bush withdrew with motion from the UN before it was defeat breaking his promise to the America people to have the UN vote on it take place no matter the outcome. The UN vote on haveing foreign troop help us occup Iraq was the UN kiss of death for Bush as the anti-UN voter in America willnot vote for Bush next election. Plus Pakistian, India and Turkey which Bush ask to send muslum troop willnot sent any no matter what the UN vote. India have alot of internal revolt taken place in each of it States about half of then have serious fighting going on, Pakistan doesnot want to sent any troop to Iraq for three reason, the first they donot want to be seen as than occuputerity of than Muslum nation, the people of Pakistan by 97 % donot want to have any troop sent to Iraq and third Pakistian will need those troop when India try to invade Pakistian. Turkey Government was going against the wishes of it people but the Iraq people must ok the sending of Turkey troop to Iraq, the Iraq people said they didnot want Turkey troop to occup then as the people of Iraq remember when the Ottomans Empire which
butal occup then for hundred of years.

Bush for repeat said Iraq have WMD and inogion intelligence reports which said they have no WMD which make him than prejury, and there is evind that some of the intelligence report where make false under order from Bush.

CharlesBHoff · November 10, 2003, 03:41

Quote:

Originally posted by skywalker

Quote:

I support the French position on the war with Iraq. Bush and Tony (the Pimp) Blair commited perjury about WMD being in Iraq. Bush Iraq war isnot only inmortal but also illegality as he broke International law.

Pathetic troll. Take it to the OTF and actually learn something.

First I than no troll. First only the UN have the legal right to declare war as the UN Chater state so clearly which is an treatry and all treatry become part of our constitrution which is why congress never declare war on Vietnam as they donot have the constitrution right to do so anymore. An how old are you younger. I than 53 year old and remember the Vietman era well as I grew up in it.

vmxa1 · November 10, 2003, 14:16

CharlesBHoff I won't bother to chastise you, but you do not know what you are talking about.
I enlisted in the Navy and went to bootcamp in SanDiego on 2/1/63. I spent 5 1/2 years in the Navy and got out in Oct 1968.
Do those years mean anything to you? I am pretty sure I know all about Vietnam. I was stationed at Point Loma in 1963 when JFK was heading to see us and was killed. I will not forget the fact that I was stuck in the barracks that weekend and they would not even let us play cards, out thier perception of respect. I never understood that crap. As to young, I do not think my grand daughters consider me young, so I have no idea what too young is to you.

vmxa1 · November 10, 2003, 14:56

The reason the term of pathetic and troll was used is that you are fond of posting political stuff in the general thread, instead of OT. Some people find that offensive and rude. No matter which side you take.

Traelin · November 10, 2003, 15:06

Quote:

Originally posted by vmxa1
CharlesBHoff I won't bother to chastise you, but you do not know what you are talking about.
I enlisted in the Navy and went to bootcamp in SanDiego on 2/1/63. I spent 5 1/2 years in the Navy and got out in Oct 1968.
Do those years mean anything to you? I am pretty sure I know all about Vietnam. I was stationed at Point Loma in 1963 when JFK was heading to see us and was killed. I will not forget the fact that I was stuck in the barracks that weekend and they would not even let us play cards, out thier perception of respect. I never understood that crap. As to young, I do not think my grand daughters consider me young, so I have no idea what too young is to you.

Wowsers is it just me or is anyone having a hard time understanding Hoff's posts?

dagta · November 10, 2003, 18:43

Quote:

Originally posted by Admiral PJ
I think Quake 3 may be released soon

Did you mean Quake 4? Quake 3 was released in 1999 or 2000.

-dagta

MrWhereItsAt · November 10, 2003, 21:21

Quote:

Originally posted by Faboba
I can't help but feel partially responisble... I've bought every Sims expansion pack....

Back on topic... (well, sort of)

Why should you feel responsible for this? Wouldn't that means you gave them MORE money?

Ming · November 10, 2003, 23:13

CharlesBHof

Cut the OTF discussion... Next time I see you pull a stunt like this in an On Topic thread, you're toast!

Kuciwalker · November 11, 2003, 00:32

What's sad is that his posts are even more pathetic than savatroll's or MOBIUS'

luckily, there is a solution:

Quote:

This person is on your Ignore List. To view this post click [here]

back on topic, I don't see how this is a problem at all. It'll likely all be made up during xmas season, and conquests can't hurt.

Mad Bomber · November 11, 2003, 11:54

Charles:

A quick lesson on the law: Bush did not commit purjury; and the reason is simple. In order to comit purjury one would have to knowingly lie when giving testimony or during a deposition. Since Bush's statements were either made at public speaking engagements or at the UN; it would be incorrect to state that he committed purjury regardless of whether or not he lied. I am no fan of Bush, but have your facts straight before posting Finally the US did not give up its soverign rights to declare or wage war when it joined the UN.

As for Atari losing money: what a pity; a crocidile tear for infogreed..... oh, right Atari.

Shogun Gunner · November 11, 2003, 12:07

I'm sure Atari's numbers will be much stronger in fourth quarter (obviously based on C3C sales). Also, they may restate earnings or expenses for other reasons which would revise the 2003 Fiscal year results.

It seems that Conquests is selling well, I hope someone posts some sales/revenue numbers when they are released. A strong revenue stream would encourage another investment into this franchise.

Ming · November 11, 2003, 12:15

One more time folks... stay on topic... not politics

CharlesBHoff · November 12, 2003, 08:18

Post the annual Stockholder report as I donot believe that they lost real money they might have paper lost like the cab company example I talk about above which some of you just cannot understand something that simple. It simple some asset must have their value lower each year you keep them untrill you replace then. The value must be lower to zero useing standard accounting practive. Since lower than value of than asset is than credit operation you need to post than debt operation to balance it. You cannot post than debt operation like this 99.9999 % of time on the liabilties and retain earming side of the balance sheet. There is only one other way to post than debt tranaction to balance the credit that is to post it as than expence like postal expense to buy stamp, and etc. This isnot than real expence as you donot write out than chech to pay it to somebody it is only than paper entry to balance the book. Have you ever wonder how taxis companies stay in bussien year after year with huge paper lost and why some wealth people invert in taxis companies. The lost are rarely real but only on paper.

Aqualung71 · December 4, 2003, 04:14

CharlesBHoff:

Please explain then in your immensely realistic taxi company example, how you can make a cash profit of 4 million, but a net loss of 16 million.

You've said that you have 20 million of non-cash expenses. What are these? Depreciation? If so, then the 100 million you have invested in taxi cabs will be depleted in 5 years, and though you have made 4 million cash per year, you have lost your initial 100 million investment, which will be reduced to the scrap value of 100 x 5 year old cabs.

CharlesBHoff · December 4, 2003, 07:32

Quote:

Originally posted by Thriller
CharlesBHoff:

Please explain then in your immensely realistic taxi company example, how you can make a cash profit of 4 million, but a net loss of 16 million.

You've said that you have 20 million of non-cash expenses. What are these? Depreciation? If so, then the 100 million you have invested in taxi cabs will be depleted in 5 years, and though you have made 4 million cash per year, you have lost your initial 100 million investment, which will be reduced to the scrap value of 100 x 5 year old cabs.

Well than billionair can own than taxis company an run it in away that it make money yet it pay no taxes. Non-cash expence is any expense that doesnot need to be pay for.
Goodwill is than other non-cash item on than balance sheet as is the value of copyright, patsons, painting. It very hard to figure what goodwill is worth or what than painting is worth.

Than the examle I make up isnot real but show the princple that than report lost can be no lost at all it view than certain way. I donot count most inventorie as current asset or at they full value. Than billion dollar worth of electronic hardware can be worth very little it if have to be sale at firebarn price to raise cash to meet debt or if is out of date an worth near zero in value.

GhengisFarb™ · December 4, 2003, 12:29

First rule of how to make money as a French company:

1) Leave France.