THQ Inc., a Calabasas developer of video games, said its second-quarter profit tumbled 94% from a year earlier, to $26,000 from $450,000.
The lower earnings in the quarter ended June 30 reflected an increase in the number of games returned by toy retailers, and higher overhead costs "in anticipation of increased volume" during the second half of this year, which includes the crucial Christmas season, THQ said.
