Infogrames Halves Losses In Full Year Results

Officials from French publisher and Atari parent company Infogrames have announced details of the company’s full year results, during which the company saw net losses halve from €103.1 million ($159.5m) a year ago to €51.1 million ($79.1m). Operating losses for the company also fell from €61.8 million ($95.7m) to €45.5 million ($70.5m), but with relatively few major new titles released during the year, revenues fell from €305.3 million ($472.9m) to €290.7 million ($450.3m). Fourth quarter sales were also down, from €83.4 million ($129.2m) to €67.1 million ($103.9m), following the delay of both Alone in the Dark and Dragon Ball Z: Burst Limit. Europe and Asia accounted for more than 82 percent of the group’s total revenue, compared to 70 percent in the previous year. An $11 million merger with subsidiary Atari, Inc. though is expected to see a significant increase in North America sales in the coming months. In a group statement, executives are now said to be confident of the company achieving a 12 to 18 percent net sales growth in the current financial year, with full profitability expected within eighteen months. “Last year has been a difficult but crucial period for the Group. During that period, Infogrames has carried out an intensive restructuring of its capital base, leading to an improved financial situation and has initiated an important reorganization of its global distribution network and management structures," said CEO David Gardner. “In the months ahead," he concluded, "we will capitalize on the value of the Atari brand and implement the new strategy, with the clear objective of refocusing on profitability while ensuring growth.”