Electronic Arts Inc. reported a loss of $17.9 million, or 13 cents a share, for its fiscal fourth quarter, citing increased spending to develop online games and software for Sony Corp.'s PlayStation 2. The Redwood City, Calif.-based company had reported net income of $3.4 million, or 3 cents, a year ago. Analysts on average expected a loss of 14 cents. Sales rose 4.4% to $307 million, exceeding the $297-million consensus forecast. Electronic Arts shares closed off $1.53 at $54.52 on Nasdaq before the results were released.
Separately, StarMedia Network Inc. posted a loss of $31.2 million, or 46 cents a share, compared with a loss of $35.1 million, or 54 cents, a year earlier. The company also said it will cut about 200 jobs, or 25% of its work force. Shares of New York-based StarMedia closed off 16 cents at $2.17 on Nasdaq before the announcement.