Edison, New Jersey game studio Majesco Entertainment Company’s first quarter results confirm an expected drop in revenue over last year.
The company’s net revenue was US$14.5 million for Q1 2007, compared to US$21.6 million for the same period last year. The company derived 47% of its Q1 net revenues from new releases, 29% from catalogue titles, a whopping 20% from Dance Dance Revolution alone, and 4% from other products. Operating losses for the quarter were US$182,000, while the company chalked up a net loss of US$926,000.
Majeseco’s interim CEO Jesse Sutton pinned the revenue downturn on the company’s new strategy to move away from high-cost premium games to focus on easy-to-play mass-market games. The company is banking on the launch of its first Wii titles and new Nintendo DS games for a better Q2.