Activision Company

Activision Inc. is jamming, thanks to "Guitar Hero II." The Santa Monica-based company swung to a quarterly profit Thursday on strong sales of its video game that lets players pretend to be rock stars. Activision bucked the recent trend of game publishers posting summertime losses. "It was by far the strongest performance of any company in the industry this quarter," said Evan Wilson, an analyst with Pacific Crest Securities.

Activision Inc., the Santa Monica-based video-game publisher behind the "Guitar Hero" and "Tony Hawk" series, on Thursday posted higher fourth-quarter losses due in part to a costly internal inquiry into its stock-option accounting. Its fiscal fourth-quarter revenue rose 66% to $313 million from the year-earlier period. But Activision posted a net loss of $14.4 million, or 5 cents a share. It had lost $9.1 million, or 3 cents, the same quarter last year.

Vivendi's planned acquisition of Activision Inc. would blend the companies' strengths but won't necessarily lead to cross-pollination among game developers. Santa Monica-based Activision, whose shares rose nearly 13% on the news, is strong in console games, with titles that include the music game "Guitar Hero III," the combat game "Call of Duty 4" and skateboarding games starring Tony Hawk. Vivendi Blizzard Entertainment Inc.

Activision Inc., maker of the "Tony Hawk" series of video games, said Thursday that fiscal fourth-quarter profit dropped 46% as operating expenses increased. The company forecast an unexpected loss for the current period. Net income fell to $3.6 million, or 2 cents a share, from $6.7 million, or 3 cents, a year earlier. Sales rose 25% to $203.9 million, the Santa Monica-based company said. Activision, which followed larger rival Electronic Arts Inc.

Activision Inc., with weaker- than-expected holiday sales of its video games, Tuesday cut its revenue and profit projections for the quarter and full year. The Santa Monica publisher said sales for the fiscal year ending March 31, 2003, probably will be $823 million, 12% lower than projections it made in October. It also expected profit to be 32% lower at 88 cents a share. Shares of Activision, which added 8 cents to close at $15.

Video game maker Activision Inc. said Thursday that its fiscal third-quarter sales beat its forecast, and it raised its 2007 revenue projection. The Santa Monica company also said it would restate as many as 15 years of earnings reports because of misdated option grants. Preliminary figures for the quarter, which ended Dec. 31, indicate the company had a profit of 41 cents a share on revenue that rose to $822.8 million, topping a Nov. 6 forecast for $600 million.

Activision Inc. posted a smaller-than-expected quarterly loss Thursday amid a video game industry downturn spawned by a switch to new console technology. Santa Monica-based Activision had a fiscal fourth-quarter net loss of $9.2 million, or 3 cents a share, contrasted with net income of $3.6 million, or 1 cent, a year earlier. Revenue fell 7.7% to $188.1 million. The results topped estimates from analysts, who had expected the company to lose 8 cents a share on revenue of $132.

As the computer gaming industry converges on Los Angeles for its annual trade fair, two Southern California game makers reported red ink Tuesday, caught by consumers' wait for the next generation of game consoles to be released. Santa Monica-based Activision, publisher of the popular "Tony Hawk's Pro Skater" video game, said Tuesday that it lost nearly $53 million in its fiscal fourth quarter ended March 31. That includes a charge of $70 million for a company restructuring.