Take 2's Mother Lode

Take 2 has released it financial results for its fiscal year ending Oct. 31, 1997.

The company says that revenues increased by US$6.48 million (a rise of 51.8 percent) from 1996 to 1997, from $12.5 million to $19 million. However, the company posted a net loss for fiscal year 1997 of $4.49 million, compared to net income of $349,074 for fiscal 1996.

The loss from operations for fiscal year 1997 was $3.13 - compared to an income from operations of $810,784 for fiscal year 1996.

Ryan Brant, Take 2's chairman and CEO, chalked the loss up to delays on the company's upcoming title Black Dahlia, increased expenses, "one-time interest charges associated with the company's 1996 bridge loan financing," and "one-time charges relating to the company's acquisition of Inventory Management Systems Inc."

"Although I am disappointed with the loss," Brant said in a statement, "I am extremely pleased with the rapid growth the company has achieved in a short period of time. Take 2 has established a European distribution presence with the acquisition of Gametek UK, increased its domestic distribution with the acquisition of Inventory Management Systems Inc. and Alliance Distributors, and entered into the publishing and distribution market for the ... Nintendo 64 console gaming system."

And he expressed optimism for the future. (Of course, what CEO wouldn't?) "Based on preliminary unaudited financial information," Brant said, "the company expects to achieve substantial revenue growth and profitability in the first quarter of 1998. These results will reflect the strategy that the company implemented upon the completion of its initial public offering in April 1997."