New York City-based 4Kids Entertainment reported net revenues of US$15 million for Q1, up slightly from the same period last year. However, net losses for the quarter rang in at US$6.4 million, compared to a net loss of US$200,000 in Q1 2007.
Revenue included approximately US$2.4 million from the sale of Chaotic trading cards, which were rolled out at major retailers across the US and Canada through the quarter.
Al Kahn, chairman and CEO, said that the Q1 results were affected by the investment of US$3.6 million in new initiatives, including Chaotic and decreased licensing revenues from some of the company’s properties.
Kahn also pointed out that Chaotic has gained traction and now has more than 15 million cards registered online and one million unique visitors logging on to www.chaoticgame.com to date.