Atari down $23.6M on shrinking revs

Once-mighty publisher's annual revenues $42.3 million lower than prior year, totaling just $80.1 million.

The ongoing restructuring at Atari is having the desired effect of reducing the publisher's losses, but the steps taken to right the ship--including selling off development studios and shying away from AAA games--are lowering revenues as well. Atari today announced its fourth quarter and year-end financial results for the 12 months ended March 31, and the company's numbers were suitably smaller all the way around.

For the full year, Atari revenues were $80.1 million, down roughly 35 percent from the previous year's $122.3 million in sales. During that time frame, the publisher chalked up net losses of $23.6 million, trimmed considerably from the $69.7 million lost the year before.

The publisher's fourth-quarter numbers followed the same trend as the full-year figures. Atari reported a loss of $3.7 million on sales of $15.3 million for the three months ended March 31. In the same quarter the previous year, Atari brought in $26.9 million in revenues, with a relatively whopping net loss of $61.7 million.

There is reason to believe the current quarter may prove kinder to Atari. In addition to the Xbox 360 and PlayStation 3 debuts of the Dragon Ball Z series with this week's release of Burst Limit, the long-awaited Alone in the Dark revamp has gone gold and will arrive in stores by the end of the month.

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93 comments
snakes3425
snakes3425

Seems Atari hasn't learned from it's mistakes, at least this time they're not torpedoing an entire industry.

subzero2k2004
subzero2k2004

I don't think that they are going to release it for the PS3, until they increase the sales profits on the sale when it goes out for the XBOX360 and the additional other consoles. Considering the net loss, and the amount they are lossing in profit value. They expect September for the release date for the PS3, but I doubt it. Considering that they are only releaseing it so far for the Wii, XBOX360 and the PC format.

arc_salvo
arc_salvo

"Atari"? Don't they mean "Infogrames"? That was the name of the studio back when Neverwinter Nights 1 was under development before it abruptly changed its name to "Atari" all of a sudden by the time NWN 1 was released. Ah well, at least they published NWN1 and NWN2. If only Interplay and especially Black Isle had stayed afloat, and they had helped Bioware release NWN1. History would've been much different, and we'd probably have more CRPG's and RPG's in general going around, like Planescape Torment 2, or KOTOR 3 and such.

marthinuss
marthinuss

As a 18 year PC gamer I must admit, I rarely play games on my PC anymore. Back in the day the NES was hopelessly under powered compared to my PC, but lately the PS3 is not that bad compared to a PC and just the fact that I can insert my BD and start playing far outweighs the problems I have installing games and making them run smooth and effiecient, esp. lately with stupid Vista and the whole Shader Model 2 vs. 3, I have shader model 2 but can't play any SM 3 games and I am sure as nuts not buying a new graphics card just for SM 3, plus my console's lifespan is a lot longer than my PC's

Marqmax
Marqmax

"mugupo I don't care why their stock did so bad, is it because of bad management perhaps need to fire their CEO? COD4 did so well in sales, yet their stock keep going down hill?" What does Atari have to do with Activision?

Humorguy_basic
Humorguy_basic

As a 20 year PC gamer I have to say this, although I don't want to..... Part of Atari's problems of late is that is had released more PC games than practically any other publisher, and PC games are not selling in high enough numbers any more. Neverwinter Nights 2 is a great game, but it has only sold around 70% of the number that the first Neverwinter Nights did. The new Alone in the Darkl will probably not sell on PC what the first, second or third Alone in the Dark's did 10 years ago! I hope PC gaming makes a comeback, and I hope Atari are part of that.

mugupo
mugupo

I don't care why their stock did so bad, is it because of bad management perhaps need to fire their CEO? COD4 did so well in sales, yet their stock keep going down hill?

Jedilink109
Jedilink109

I can't wait for Alone In The Dark. It looks awesome. I think they knew that after the horrendous movie, they had to make a AAA title for the next AITD game or else the series would die. And the new game looks fantastic! :D I can't wait. :)

Lord__Darkstorn
Lord__Darkstorn

I guess you can't support a company with one good game, even if The Witcher was astounding (I just beat it yesterday; wow that ending was good).

thug_angel123
thug_angel123

I am so eagerly waiting for alone in the dark 5 but I guess a single game can't do wonders and I played dbz's demo and it was below average

lamprey263
lamprey263

hopefully the new Alone in the Dark will make Atari a lot of money, especially since it's being ported every which way though, I think Atari's demise is pretty much guaranteed since Phil Harrison crossed over and started insisting they invest their efforts entirely into the MMORPG market

thenephariouson
thenephariouson

Dont confuse the brand name 'ATARI' with the company 'ATARI'.

DarkElf2112
DarkElf2112

It's hard to believe that one of gamings signature names is basically irrelevant. DBZ and Alone In The Dark are solid titles that will sell well but Atari really needs a monster hit to get back to being important again.

pourya_ahmadian
pourya_ahmadian

the ATARI is so GREAT;SO;it can put itself out of this;the ALON IN THE DARK can do it for ATARI;

Makhdoom82
Makhdoom82

Don't just stand there watching your losses Atari. Go make some good games right now !!! Or there will be no Atari !!!

slickr
slickr

Alone in the Dark is Atari's next game and its been developed by external studio. Watch the latest trailer, they've also had pressure from Atari to finish fast but fortunatly fought for longer development period. The game seems interesting in the trailers and gameplay videos but we'll have to wait and see. Alone in the dark ships in the end of this month i think!

ctburesch
ctburesch

The original Atari was sold many years ago. This development studio just bought the name which never helped them. And no person with brains would ever buy this studio. So whoever said maybe EA would buy them is a very much suicidal possibility. They just need to close their doors and flush the keys down the toilet.

SonicRaptor
SonicRaptor

Wow, a company named "Atari" going downhill...who would have thought it, huh? Guess they took just more than the name years ago.

jab692
jab692

I love the 2600, but that was they last time Atari was relevant. When people see news like this, they feel bad, but if there were no news stories about this and Atari just silently slipped into oblivion, no one would notice.

supercool4
supercool4

I'm sure some big company like ea or activision will buy them considering how historical their name is if worst comes to worst.

Diernes
Diernes

I do. Atari is a horrible publisher the sooner they die, the better it will be for their licenses. The Witcher was brilliant, but you do realise the development studio are releasing a new version under a new publisher If I believe because Atari didnt give them the time nessesary to polish their product. It happens to just about all Atari's games and for that reason i want them to die, another classic example is Obsidians Neverwinter nights 2 it would have been a great game with more resources and more time! DIE ATARI DIE!

Pete5506
Pete5506

Wow this is a bad thing, hope it dose not get out of hand

smitherean
smitherean

Who owns the Neverwinter Nights franchise right now? Atari could sell *that* to EA for a pretty penny.

ThreeVo
ThreeVo

Im sorry, i know atari is one of the truest grandfathers of teh industry.... but times change and things evolve and if u cant compete than its only natural to accept loss, The way i see it, is that many peopel here feel obligated to support atari simply for the fact that there "a long time player". Truth be told... ataris library of games have been mediocre at best, im sorry but tis the truth, save a few titles. Take a back track on there library of games... that have never had any true UMPH!. In an era where ur up against game fanchises like Final Fantasy, Metal Gear, Grand theft auto (to name a few) and top players pushing these titles, and i vividly recall one of the heads of atari saying in an interview not too long ago, that they are ok since they still have rights to some of the most desireble franchises in the industry, regarding DBZ(wich isnt even there own creation) and Alone in the dark. I see this as ignorance to say these are top dog franchises. Alone in the dark REALLY has to do something completley inovative on the highest calibur, cause there is no way its going to stay afloat int he same pool of Silent Hill 5 (and the upcoming one for 360) and Resident evil 5. Best of luck atari... u are going to need it. welcome to 2009

Indulge
Indulge

Hopefully Alone in the Dark will boost their revenues but otherwise...

otanikun
otanikun

See? Burst limit was a bad idea >.> But seriously what games that are epic, have been released by them recently? Hopefully they get over this hump, which I'm sure they will, and create something epic.

musicaz70
musicaz70

There isn't much to worry about. Quite a few people I know bought Burst Limit (who can blame them, Budokai was awesome) and Alone in the Dark looks great.

bandarman
bandarman

Ripper_TV great comment, totally agree... but now they have dear Philly... maybe he can turn the boat around for them. I would still hope though that Phil would return to Sony... I only watched E3 b/c he's a good presenter... unlike the idiot CEO who doesn't know what to say, how to say and when to say it! Coming to the point, ATARI will get on the track, it has some good games, and Alone in the Dark will definitely give ATARI some budget to build upon!

WarPrime
WarPrime

Who cares....Atari is there in name only...the name was bought by a French company some years ago who abandoned their completely unknown name in favor of Atari. And who could blame them?

therealFrek
therealFrek

Pffft....Atari isn't worried. Deer Hunter Tournament comes out in the fall. Anybody who thinks this won't bring in more money than WOW and the Sims combined is crazy. I'd buy some stock now while it's cheap before the marketing blitz for Deer Hunter starts.

andrew_ribbons
andrew_ribbons

It's sad to see this happening to once glorious and proud companies. I hope Atari remains bouyant, i would hate to see it bleat away into nothingness :/

VegasAceVII
VegasAceVII

Alone In The Dark has a shot, but all the DBZ games are lame. Didn't even know people bought those games...

Ripper_TV
Ripper_TV

Why is Atari "going down" constantly while SEGA (with its latest crappy games) seems to do just fine? SEGA, change some people.

ctg867
ctg867

Hopefully DBZ and Alone in the Dark both do well. Aside from that, whatever Atari is cooking up with Phil Harrison with that whole, online social deal, better end up being good. Otherwise Atari is going under.

RaiKageRyu
RaiKageRyu

Atari just keeps on getting smaller and smaller.

living_wmd_888
living_wmd_888

They need to just sell off Atari's legacy properties to Namco or Sega, who can package them with Pac-Man or Sonic, and retire the Atari name. Atari hasn't been associated with anything but failure since 1983. The only thing left of the old Atari is the name itself.

PerfectDark0Fan
PerfectDark0Fan

Its great that there failing. Using the name Atari to sell there terrible games. Whoever I forgot who brought them but I have to say they are the worst publisher, yeah worse then EA!

VenkmanPHD
VenkmanPHD

AHHHHAHAHAHAHAH!!!! DIE DIE DIE!!!! I hate you atari and it only makes me all warm and fuzzy inside to watch you die a slow and painful death! You have been killing games ever since Enter the matrix with your terrible desregard for quality. AHHHHHHHHHHHAHAHAHAHAHAHAHAAHAHAHAH!!!!!!!!!!

LindBergh2007
LindBergh2007

gin_rummy89, that's what I was saying. Infogrames is now Atari. The real Atari died in 2003.

CVM_123
CVM_123

thats because they suck

darth-sithious
darth-sithious

Alone in the dark looks like it should be a real good game , I hope that it turns out to be good and I will buy it . I will try to support atari as much as I can .

PlayerPrezident
PlayerPrezident

Atari has been around since... forever. I don't want to see them wither away and die. A company is only as good as the people behind it and it's sad to see them slowly preparing Atari's grave. It would be nice to see a financially sound company acquire Atari.

Gamer4Iife
Gamer4Iife

Sad, but I am surprised that Atari can make that much money to begin with. Hopefully, things will be better after Alone In The Dark.

mjk_1
mjk_1

Make a new Driver :P.