THQ - Most assets sold - another auction in May - Crytek to buy Darksiders IP

Too bad THQ had to cancel this.
http://www.youtube.com/watch?v=HHBW2BwAKU4


[quote name='Thomas96']Darksiders 2 will sell poor I hope the comas any isn't serious about it saving their company.[/QUOTE]
most of that doesn't make sense other than you PREDICTING Darksiders 2 will sell poorly. I'm not sure why you think that when the first one sold over a million fairly quickly and the second one seems to be quite popular.
 
http://www.marketwatch.com/story/th...sults-to-exceed-prior-expectations-2012-04-18


AGOURA HILLS, Calif., Apr 18, 2012 (BUSINESS WIRE) -- THQ Inc. THQI -4.23% today provided preliminary, unaudited financial results for the fourth quarter ended March 31, 2012.
For the fourth quarter, THQ expects to report non-GAAP net sales of $160 million to $170 million, which is above the company's previous outlook of non-GAAP net sales in the range of $130 million to $150 million. Revised net sales expectations reflect:
-- continued strong net sales of the critically-acclaimed Saints Row(R): The Third(TM), which to date has shipped in more than four million units;
-- higher-than-expected digital sales, largely driven by the robust digital content of Saints Row: The Third; and
-- slightly higher-than-expected net sales of UFC(R) Undisputed(R) 3, which was released mid-February 2012 to highly-favorable critical reviews, achieving an average Metacritic score of 85.
The company currently expects a fiscal fourth quarter non-GAAP net loss per share in the range of $0.10 to $0.20, compared to its previous expectation of a net loss per share in the range of $0.35 to $0.50.
THQ expects to report cash and cash equivalents of approximately $76 million at March 31, 2012, three times higher than the previous expectation for its year-end cash balance, due to better-than-expected operating results in the fourth quarter, as well as earlier-than-anticipated cash receipts. Additionally, the company ended the quarter with no outstanding borrowings on its $50 million credit facility, and did not borrow against the facility during the quarter. The company expects to utilize a substantial portion of its cash and cash equivalents as well as its credit facility as it launches its slate for the 2013 fiscal year, beginning with Darksiders(R) II.
THQ's GAAP results for the fourth quarter ended March 31, 2012 are expected to include non-cash software development charges of approximately $30 million to $50 million resulting from decisions made related to the company's previously-announced product strategy.
THQ will report full GAAP and non-GAAP fiscal 2012 fourth quarter and full-year results, along with a reconciliation of those results, and provide its outlook for fiscal 2013 on Tuesday, May 15, 2012. Conference call details will be provided closer to the date.
About THQ
THQ Inc. THQI -4.23% is a leading worldwide developer and publisher of interactive entertainment software. The company develops its products for all popular game systems, personal computers, wireless devices and the Internet. Headquartered in Los Angeles County, California, THQ sells product through its global network of offices located throughout North America, Europe and Asia Pacific. More information about THQ and its products may be found at http://www.thq.com/ . THQ, Darksiders, Saints Row, Saints Row: The Third and their respective logos are trademarks and/or registered trademarks of THQ Inc.
All other trademarks are property of their respective owners.
Non-GAAP Financial Measures
This press release discloses forward-looking information that includes expectations that are not presented in accordance with United States generally accepted accounting principles ("GAAP"). THQ believes that the use of non-GAAP financial measures provides meaningful supplemental information regarding its financial condition and results of operations, and helps investors compare actual results to its long-term operating goals as well as to its performance in prior periods. The non-GAAP financial measures included in the press release should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, GAAP results.
THQ Inc. Caution Concerning Forward-Looking Statements
This press release contains statements that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on current expectations, estimates and projections about the business of THQ Inc. and its subsidiaries (collectively referred to as "THQ"), including, but not limited to, the company's expectations for: its net sales and net loss for the fourth quarter ended March 31, 2012, its cash and cash equivalents at March 31, 2012, non-cash charges for the quarter ended March 31, 2012, and its future use of cash and borrowings under the company's credit facility. These statements are based upon management's current beliefs and certain assumptions made by management. Such forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such forward-looking statements, including, but not limited to, business, competitive, economic, legal, political, and technological factors affecting our industry, operations, markets, products, or pricing. Readers should carefully review the risk factors and the information that could materially affect THQ's financial results, described in other documents that THQ files from time to time with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the fiscal period ended March 31, 2011 and subsequent Quarterly Reports on Form 10-Q, and particularly the discussion of trends and risk factors set forth therein. Unless otherwise required by law, THQ disclaims any obligation to update its view on any such risks or uncertainties or to revise or publicly release the results of any revision to these forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release.
SOURCE: THQ Inc.
 
Last edited by a moderator:
To put things in perspective:
In January they had 50 million in cash to pay employees and keep the lights on. They gave guidance stating that they'd be down to 25 million by April (the start of the following quarter). This brought on bankruptcy fears. Now they've given guidance saying they're going to have 76 million cash on hand. So instead of having 50% less cash after 3 months, they're going to have 50% MORE cash. All bankruptcy fears are gone. The stock is skyrocketing and will likely be over $1 soon.

Five day chart is fun.
file.gif
 
Last edited by a moderator:
[quote name='pitfallharry219']The author is a CAG. He's even posted in this thread.[/QUOTE]

You're right, I didn't even notice. I'm just glad that THQ is looking so good now. Management finally made some smart decisions and it paid off. They no longer need Darksiders 2 to save them though they do need it to sell reasonably well so they aren't back in the same position they started.
 
THQ needs to actually make some quality UFC and WWE games. They are trying to pump out these games like EA was doing in the early 2000s.

Take a step back and figure out the game mechanics.
 
[quote name='j-cart']THQ needs to actually make some quality UFC and WWE games. They are trying to pump out these games like EA was doing in the early 2000s.

Take a step back and figure out the game mechanics.[/QUOTE]

I thought UFC 3 was supposedly a big improvement from the last one? It got an 86 on metacritic which is pretty good for that type of game.
 
[quote name='Blaster man']I wonder if the author of this article reads CAG? The title is almost identical to mine here.

http://www.goozernation.com/video-g...520-can-darksiders-2-prevent-the-death-of-thq[/QUOTE]

Guilty as charged, the original title was will Darksiders prevent the death of THQ...but I thought it was too negative. You guys had some interesting points in the thread that inspired me. Hope you don't mind, next time I'll mention CAG in the intro.

Do you guys think the August release date is better?
 
Polish is good.
As long as they are not like V2 sniper canceling it a week before i dont hav ea problem with a delay. i do think august is a bit late tho because it'll most likely get lost in the holiday releases.
 
[quote name='kube00']Guilty as charged, the original title was will Darksiders prevent the death of THQ...but I thought it was too negative. You guys had some interesting points in the thread that inspired me. Hope you don't mind, next time I'll mention CAG in the intro.

Do you guys think the August release date is better?[/QUOTE]

Waiting sucks but I rather play a good game than a rushed product that is going to need patches.
 
[quote name='kube00']Guilty as charged, the original title was will Darksiders prevent the death of THQ...but I thought it was too negative. You guys had some interesting points in the thread that inspired me. Hope you don't mind, next time I'll mention CAG in the intro.

Do you guys think the August release date is better?[/QUOTE]

They announced that they will have 76 million cash on hand instead of 25 million. A few hours later they announce Darksiders 2 is delayed until August. I don't think that's a coincidence. If there was a delay announced without the earnings pre-announcement the stock would have tanked as everyone would have assumed bankruptcy since they wouldn't have had the cash on hand to fund opertation through August without a new release. If they had allowed the stock to tank then they would have had to deal with the big fund managers harassing them.

The delay will be good for the game. There have been a lot of good things said about the alpha version professional game reviewers played BUT they noted a lot of bugs (even some that crashed the game) and some frustrating problems where they couldn't figure out what to do next. So yes, this delay is going to be good for the game and may be the difference from a metacritic score in the low 80's to the high 80's or even low 90's.

THQ will is almost certainly saved because of the extra cash on hand BUT in theory if Darksiders 2 failed then they'd still be in dire straights and if holiday releases do poorly also then the company is done.

Darksiders 2 is starting to look really good and despite it's dark horse status, I think it will do rather well. The stock price is low right now. It's a huge gamble and investors can lose everything but if the company survives they will do quite well. The stock is 57 cents now so for simplicity sake, $570 buys 1,000 shares. If the company survives then in a few years it could be 10-15 a share. Or not.
 
[quote name='advanced']Good! Now I better get my South Park RPG this year. Thats all I really want from this company.[/QUOTE]

That will probably be delayed untl next year. They've stated that the creators of South Park (can't recall the names) are actively working with them to make the game as they want it and their schedules are busy due to the current season.

I posted this in the Darksiders 1 deal thread in the regular forum but felt it could go here too. I feel like these guys are genuinely excited about their game. I don't think they're acting.

http://www.youtube.com/watch?v=OT3eCfsTVzs&feature=youtu.be
 
Last edited by a moderator:
I just dont understand how a company in such bad shape continues to release software when theyre in the shitter already.

On a side not I checked my games and Ive bought two THQ titles- Red Faction Armageddon which was actually pretty fun if forgettable, and Warhammer Space Marine which i still havent played yet.
 
I actually like a bunch of THQ games but I buy most of them when they cost below 20 bucks then I am like "oh this is better than I thought" same goes with a lot of ubisoft stuff.
Doubt Darksiders 2 will do that great. I liked the first but not enough to get the second one right away. Most their games I like but feel like they would be so much better with coop multiplayer campaign like the Red Faction games would have been awesome to have coop multiplayer like the saints row games did.
 
[quote name='Blaster man']Danny Bilson, President of THQ "is leaving to pursue other interests" and is being replaced by Jason Rubin, co-founder of Naughty Dog.[/QUOTE]

Everytime, I hear Rubin name I cannot help but think of that gametrailers interview he did a few years back were he was saying everyone and their brother needed to adopt the farmville market scheme.... So this sort of lowers what had been high hope for me of late but hopefully he'll surprise me.
 
THQ sold the rights to the UFC games to EA. The 2009 version sold 3.5 million copies, 2010 sold 2.5 million copies, and UFC 3 (the new one) only sold 1 million copies. No doubt they're worried about interest in the game declining further and don't want to gamble on it (particularly if they have to sink a bunch of money into developing versions for the new consoles). EA can easily afford to gamble on this.
 
[quote name='Blaster man']THQ sold the rights to the UFC games to EA. The 2009 version sold 3.5 million copies, 2010 sold 2.5 million copies, and UFC 3 (the new one) only sold 1 million copies. No doubt they're worried about interest in the game declining further and don't want to gamble on it (particularly if they have to sink a bunch of money into developing versions for the new consoles). EA can easily afford to gamble on this.[/QUOTE]

I think its a smart move... I'm not a huge UFC fan but it seems like their is a huge amount of turnover in the fighters... aka development means constant work with making new rosters and its not like every fighters body looks the same so you're talking about allot of scan work... No cheap task I would imagine.

That said its a shame that everyone in San Diego developing this title got fired with the move.
 
They are probably getting a buyout by a private equity firm. They're going to screw over investors. Jason Rubin said all the games in development are garbage and need to be delayed to be fixed. They spent half their credit line. They have only 36 million cash on hand at the end of the quarter they released a "huge" game (darksiders 2). They said they need more working capital. They pulled their previous quarterly and annual guidance. They suspended all guidance going forward. They refused to do a Q&A at the end of the call and they finished an hour long call in 12 minutes.

This is the quarterly conference call for their quarterly earnings that they just had. It was the most depressing piece of garbage I've heard.
http://www.youtube.com/watch?feature=player_embedded&v=laeLCCA3KNg
 
[quote name='Blaster man']I already own a small part of them and I've lost 60%.[/QUOTE]

You likely should have gotten out when Rubin came on board... He's never struck me as a trustworthy guy and I've always felt if this went south he would be looking to laying the blame on everyone but himself.

Now its certainly not all his fault, and maybe it was salvageable when he started, but quotes such as:

“Our fourth quarter releases are the first titles that I have had the ability to materially impact, and experience told me that the games needed additional development time to be market-ready. “
Click to expand...
(Source: Link)

All but look at pushing the buck elsewhere...

Anyhow, I find the news really disheartening... Hopefully, they can still right the ship but its looking pretty bleak.
 
Bad news because Darksiders 2 and the new WWE game are both rock solid in my opinion. WWE '13 needs more patches but it's the most fun I've had with a new wrestling game since Fire Pro Returns got a US release in... 2006?
 
[quote name='INMATEofARKHAM']You likely should have gotten out when Rubin came on board... He's never struck me as a trustworthy guy and I've always felt if this went south he would be looking to laying the blame on everyone but himself.

Now its certainly not all his fault, and maybe it was salvageable when he started, but quotes such as:

(Source: Link)

All but look at pushing the buck elsewhere...

Anyhow, I find the news really disheartening... Hopefully, they can still right the ship but its looking pretty bleak.[/QUOTE]

Well, at this point I'm hoping that they get sold for...anything.

[quote name='Halo05']Bad news because Darksiders 2 and the new WWE game are both rock solid in my opinion. WWE '13 needs more patches but it's the most fun I've had with a new wrestling game since Fire Pro Returns got a US release in... 2006?[/QUOTE]
Maybe WWE13 will do well. It's in the current quarter earnings and not the one that they just reported so I have no idea how well it's done.
 
[quote name='Blaster man']Well, at this point I'm hoping that they get sold for...anything.[/quote]If they do go under I'm sure someone will buy them for something, and not something ridiculous like a dollar, as they have without question two developers worth owning, a number of noteworthy IPs, two licenses of some cloth, and a third that they might have some sort of for publish rights for. (Metro 2033)
 
[quote name='INMATEofARKHAM']If they do go under I'm sure someone will buy them for something, and not something ridiculous like a dollar, as they have without question two developers worth owning, a number of noteworthy IPs, two licenses of some cloth, and a third that they might have some sort of for publish rights for. (Metro 2033)[/QUOTE]

Well I do the math like this...even if you disregard anything else that they can sell from the catalog titles or anything else in production...
Saint's Row 4 is sure to sell a lot. They announced that Saint's Row 3 sold 5 million copies. So I'd hope that the company would be worth AT LEAST 200 million base on Saint's Row 4 alone selling at least as much or more than Saint's Row 3.

If they managed to sell for 200 million, pay the 150 million in debt they'll have by the end of the year = 50 million left.
50/6.8 (million shares) = about $7 a share. I paid $6.70 for mine so I'm hoping to at least break even if I hold onto it through to the end (whichever route it goes - bankruptcy or buyout).

I should add, with Metro 2033, THQ holds the rights to make those games. They announced that the original game, Metro 2033 made a nice profit and it's sequel, Metro Last Light is coming out next year. The reason Metro 2033 did so well despite poor sales is because the studio that made it is in the Ukraine so the cost to make it were low. Given that, I imagine anyone looking at a buyout would probably consider the next Metro game as a profit too.
 
[quote name='Erad30']It would be a shame if there were no more Darksiders titles...[/QUOTE]

I agree. I thoroughly enjoyed the first two. I love Zelda games, but those two games out Zelda'ed Skyward Sword by a mile. I just cannot figure out why this game and Kingdoms of Amalur didn't do so hot. They both have great combat, interesting worlds, fantastic visuals and interesting adventuring. And they both bombed. Sure they weren't the most original in the world, but the market seems to support Medal of Call of Halo Part 47 and Madden Now With Real Leather Texture on the Football every year, so innovation isn't necessarily a requirement to success.
 
[quote name='hankmecrankme']Let's do a Kickstarter and buy THQ.[/QUOTE]
Let's do it! Between my innovative ideas and someone that actually knows how to program we can turn this shit around and buy Capcom in 5 years!
 
[quote name='CaptainJoel']Let's do it! Between my innovative ideas and someone that actually knows how to program we can turn this shit around and buy Capcom in 5 years![/QUOTE]
Will we finally see a mega man game when you guys take over?
 
You must log in or register to reply here.
bread's done
Back
Top