THQ Announces Financial Results, Cuts 24% Of Staff

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In November THQ announced it was cutting 250 people, as part of a "new strategic plan". Due to the current economic climate and disappointing results that number will increase; some 600 people will now be let go, representing a whopping 24% of the company's workforce.

During the last three months of 2008, THQ brought in sales of $357.3 million, while the company's net loss for the period was $191.8 million. A large chunk of that loss, $118.1 million, was due to a goodwill impairment charge. During the same period a year ago, THQ posted a net income of $15.5 million on $509.6 million in sales.

The company also revealed Saints Row 2 has shipped 2.6 million units, while WWE SmackDown vs. Raw 2009 shipped 4 million units and de Blob 700,000. The Wii game Big Beach Sports also did well with more than 1.2 million units shipped.

From The Chatty

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    February 4, 2009 3:47 PM

    What's with all the companies firing their staff?

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      February 4, 2009 3:57 PM

      You don't have to share as much of the profit.

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      February 4, 2009 4:24 PM

      They're all being super short sighted!

      It boggles my mind for companies like THQ which look to still be making a profit.

      Lets see, if every company in the whole world laid people off those people they laid off no longer have an income. If they don't have an income they're not going to be spending as much money. No money equals all companies doing worse because no one has the money to buy the products.

      If you're profitable (sure maybe not as much as before, but so what) then you should be keeping people employed!

      All the profitable companies who are just trying to improve there bottom line by reducing staff imo are going to be hurting our economy even more in the long term!

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        February 4, 2009 5:08 PM

        They didn't make a profit at all, they had a loss of 191.8 million during the 4th quarter.

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      February 4, 2009 4:50 PM

      The biggest expense for companies is people. When times are tough (like right now) and you are a public company, you have to display to Wall Street that you are and will be financially healthy. Especially when you lose $190 million in a quarter.

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      February 5, 2009 7:22 AM

      It's what you do when you can't pay them