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THQ (THQI) shares are losing ground despite a strong earnings report for the fiscal fourth quarter ended March 31, as the company provided disappointing guidance for the June quarter.

For the first quarter, revenue was $172.1 million, far ahead of the Street consensus of $150 million; on a pro forma basis, the company earned 15 cents a share, a penny ahead of expectations. But for the fiscal first quarter ending June, the company now sees revenue of just $110 million, which is not only down dramatically on a sequential basis, but also far below the Street consensus of $147.1 million. The company sees a pro forma loss of 21 cents a share, worse than the Street consensus of a loss of 10 cents.

For the full year, the company maintained its previous guidance of $1.12 billion to $1.15 billion in revenue and pro forma EPS of $1.57 to $1.67.

Most of the analyst notes I saw on the stock Friday morning pointed out that the weak expectations for the current quarter reflect a very weak release schedule, with nothing coming before a game based on the new Pixar movie Ratatouille sometime next month. As the company told the Street yesterday, the company has canceled plans to ship a version of its Saint’s Row game for the Playstation 3; instead, the company is planning a sequel to the original game, which will be targeted at both the PS 3 and the Microsoft (MSFT) Xbox, but that game won’t ship until 2008.

THQ Friday morning was down $1.70 at $32.99.

THQI 1-yr chart:
thqi chart may 07

Source: THQ: FY Q1 Guidance Comes Up Light On Lack Of New Releases