THQ Enjoys Record-Breaking Q4, Year

Revenue for the fourth quarter also broke a company record, reaching $190.9 million -- a 50% increase over last year. Company executives attributed the outstanding performance to its new wrestling titles (including WWF Smackdown! 2: Know Your Role for the PSX and WWF No Mercy for N64), kids titles (Rugrats in Paris, Scooby-Doo!: Classic Creep Capers), and its first PS2 title, Summoner. For the year, net income was $26.7 million ($1.28 per diluted share), on record revenue of $347 million. The results exclude the costs associated with acquiring Champaign, IL-based Volition, the developer of Summoner, last August. "We are extremely proud of our accomplishments in light of a difficult market environment," said Brian Farrell, president and CEO of THQ. "Our strategy of harvesting the existing platforms while establishing a leadership position on the new platforms is serving us well. We continue to look forward to a strong second half of 2001 as the installed base of PlayStation 2 rises, Microsoft launches Xbox, and Nintendo launches Game Boy Advance and GameCube. We plan to release 25 new titles for these advanced platforms throughout 2001."