Midway Games (MWY) swung to a fourth-quarter profit as revenue more than doubled, but the company's expectations for first-quarter revenue were well below the current Street consensus.
The video-game software publisher said after the bell Monday that it earned $17.6 million, or 19 cents a share, for the quarter ended Dec. 31, compared with a loss a year earlier of $27.8 million, or 52 cents a share.
Both quarters contained writedown development charges, but the latest quarter's results were offset by $5 million due to a legal settlement.
Revenue rose to $77.2 million from $30.1 million a year ago.
A Thomson First Call survey had expected the company to earn 20 cents a share on revenue of $79.4 million.
For the company's current first quarter, Midway expects revenue of $14 million and a loss of about $18 million. Analysts had been expecting revenue of $38.4 million and a loss of 9 cents a share.
For the full year, the company expects revenue to grow about 40% to $225 million and expects a loss of about $38 million, including approximately $2 million of stock-options expense in the second half of the year. The benefits of continued revenue growth will be offset in 2005 by investment in titles releasing in 2006 and 2007 for next generation consoles, the company said.
The First Call full-year consensus calls for a loss of 3 cents a share on revenue of $227 million.