THQ Inc., a Calabasas-based maker of video games and equipment, reported bigger losses in the third quarter that ended Sept. 30 as the company struggled to rein in costs and develop new products.
THQ reported a loss of $2.95 million in the latest quarter, 32% larger than the $2.24-million loss a year earlier. Sales in the third quarter totaled $1.36 million, down sharply from $6.95 million in the third quarter of 1993.
For the first nine months of the year, THQ reported a loss of $7.77 million on sales of $8.95 million, compared to a year-earlier loss of $5.7 million on sales of $24.2 million.
The company said no new video game titles were released in the third quarter. Four new products were released in the third quarter of 1993.
Cost-cutting measures reduced selling, general and administrative expenses by $1.15 million in the third quarter, and the company said it has completed a private placement of 3.5 million shares of common stock generating proceeds of $1.75 million. The company said the cash will be used to market and manufacture a video game modem that will enable playing across telephone lines.