Publisher Southpeak Interactive (Two Worlds, Ninjatown
) saw revenues cut in less than half to $8.4 million, alongside a loss of $1.3 million during its first fiscal quarter.
However, company maintains it's seeing relatively normal flux, and credits the slump to marketing costs and expenses related to its first quarter in public trading and a tough comparison to its Two Worlds
title in the same period last year.
"SouthPeak’s results of operations, as is typical in the videogame industry, can fluctuate significantly from quarter-to-quarter based upon the timing of videogame title releases," the company said in a statement.
The publisher raised $12.9 million
earlier this year to fund a variety of independent games, and just last month it announced its acquisition
of Gamecock Media Group and its associated titles, including Legendary, Mushroom Men
and Velvet Assassin
As such, the company says it's "well-positioned," is enthused about its pipeline that also includes Ninjatown, My Baby Boy
and My Baby Girl
. The company still expects to "dramatically exceed" last year's performance in its fiscal 2009, planning on $40.5 million in revenue.
"We built a great deal of momentum coming into our current quarter," says SouthPeak CEO Melanie Mroz. "We are very excited by the strong retail response to our titles and we look forward to having the best holiday season in our history."