Atari Might be Doomed After $12M Q1 Loss
By Chris on Wednesday, November 7th, 2007 at 9:02 PM PST In Atari, Computer, Game Companies, Game Consoles, Game Platforms, Games, Games Industry, Microsoft, Nintendo, Nintendo, Portable, Sony, Sony
Atari’s been doing very poorly from a financial standpoint for some time now, with a loss of $0.54 per share during 2006 – a figure which has now increased to a loss of $0.89. With revenues at just $19.5 million last year during the same period, that number has nearly been cut in half to $10.4 million.
Things aren’t looking for the old goliath.
Executives revealed yesterday that, following a loss of $11.9 million in Q1, they cited “substantial doubt about [their] ability to continue as a going concern.”
And understandably so. The company no longer owns the rights to some of its more popular franchises, including Driver and Stuntman, and just recently the rights to Dragonball-Z were demanded back by FUNImation. As 1UP points out, the only series Atari has left are Dungeons & Dragons and Alone in the Dark, neither of which seem strong enough to keep the company afloat. At this point, it seems like more of an issue of “when,” rather than “if.”
