Activision Q4

Activision reports losses in the fourth quarter, and warns of more to come. Activision's loss for the fourth quarter totaled $53 million, an increase from a loss of just $5 million in the same period last year. Revenues for the quarter were flat, increasing to just $116 million from $115 million in the fourth quarter of 1999. The greatest portion of Activision's loss comes from a pre-tax restructuring charge of $70, and the company reports that net income totaled $1 million before the charges. Activision doesn't expect a turnaround soon, and is forecasting continuing losses for the next quarter and for the year as it transitions to a console focus. The company is suggesting that fiscal 2001 will see a 10 percent drop in revenues and a 30 percent fall in earnings.