Over 12 million copies sold, but without profit for Activision Blizzard
After the record-setting popularity of Modern Warfare 2, Activision Blizzard now posts a better-than-expected results on Wednesday saying that it but still couldn’t manage a profit.
Modern Warfare 2 though has sold over 12 million copies, but the loss of the company grew to $286 million in 2009’s last three months due to accounting changes and also because of a hefty reduction of music games value such as Guitar Hero and some other titles for the Wii console of Nintendo.
Bobby Kotick, the CEO of the company said, “Last year was a really tough year in the category. The casual consumer in an economy like this one is going to be very cautious about where they spend their dollars.”
The shares of Activision rallied in after-hours trading after the company announced that it would be paying an annual stock dividend. The company even announced about a $1 billion stock buyback program. In the regular session, the shares of the company added 5 cents, to $10.10. Later on they rose to $10.55.
Kotick also added, “It shows you the strength and confidence we have.”
In the holiday quarter the sales were led by CoD and games like World of Warcraft in online. The monthly fees of it makes the company compared with other software games