Midway revenues soar – Zucker dates new machines for 2007
Corner turned for veteran firm
Less Sufering at Midway!
Veteran publisher Midway has announced impressive earnings, turning a corner in the company’s recent history and fending off talk that serious trouble was poised to engulf operations.
Revenues for the third quarter of 2004 were $17.0 million, up 47% from $11.6 million on 2003 said Midway CEO David Zucker. Unfortunately, the firm was unable to avoid posting a loss for the quarter of $13.9 million, nothing when compared to Q3 last year when Midway saw a $23.3 million slide to red.
“Although we now expect better revenues for the year, we are ramping up investment in next-generation development more quickly than anticipated, including the acquisition of Inevitable Entertainment,” said Zucker. “That will create more expenses for the quarter.” He continued, “We are well aware that prior transitions have not only been periods of volatility for the overall industry, but have also provided opportunities for well-positioned publishers to gain market share and strategically enter markets. Midway didn't manage the last transition well and this opportunity was lost. We are preparing carefully for this transition. We will not be shying away from investing in the right kinds of projects to position us for bigger and more profitable market share in the next console generation, beginning in 2007.”
Exactly why Zucker named 2007 as the year Midway is targeting was not made clear, though given his estimate falls behind common guesswork on the subject, it’s likely he means that by 2007, a decent and sustainable set of user-bases will be on offer.
Zucker made no comment relating the rumoured Viacom take-over, though this aggressive pitch by the firm’s CEO could well be seen as a last-minute value-add attempt.
See Midway’s entire financial report here.
More as it breaks.
Revenues for the third quarter of 2004 were $17.0 million, up 47% from $11.6 million on 2003 said Midway CEO David Zucker. Unfortunately, the firm was unable to avoid posting a loss for the quarter of $13.9 million, nothing when compared to Q3 last year when Midway saw a $23.3 million slide to red.
“Although we now expect better revenues for the year, we are ramping up investment in next-generation development more quickly than anticipated, including the acquisition of Inevitable Entertainment,” said Zucker. “That will create more expenses for the quarter.” He continued, “We are well aware that prior transitions have not only been periods of volatility for the overall industry, but have also provided opportunities for well-positioned publishers to gain market share and strategically enter markets. Midway didn't manage the last transition well and this opportunity was lost. We are preparing carefully for this transition. We will not be shying away from investing in the right kinds of projects to position us for bigger and more profitable market share in the next console generation, beginning in 2007.”
Exactly why Zucker named 2007 as the year Midway is targeting was not made clear, though given his estimate falls behind common guesswork on the subject, it’s likely he means that by 2007, a decent and sustainable set of user-bases will be on offer.
Zucker made no comment relating the rumoured Viacom take-over, though this aggressive pitch by the firm’s CEO could well be seen as a last-minute value-add attempt.
See Midway’s entire financial report here.
More as it breaks.
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