THQ Inc. on Thursday raised its earnings outlook for its fiscal third quarter, increased its guidance for the 2006 fiscal year and added it expects to eclipse $1 billion in sales in fiscal year 2007.
The Agoura Hills-based videogame developer said it expects third quarter sales of $475 million for the quarter ended Dec. 31, with earnings per share of 97 cents, including a 6 cent options charge. This is an increase from original guidance of $400 to $425 million in sales and earnings of 69 cents to 74 cents.
For the fiscal fourth quarter, ending March 31, THQ said it expects $146 million in sales, and earnings of 14 cents, including a 5-cent options charge.
For the fiscal year 2007, THQ said it expects sales of approximately $1 billion and earnings per share of approximately $1.20. This compares with previous guidance of net sales in the range of $925 million to $975 million and earnings per share in the range of $0.95 to $1.05.
The company is delinquent in reporting its third quarter earnings after receiving an inquiry from the Securities and Exchange Commission last summer requesting documents relating to the company's stock-option grant practices dating back to 1996. THQ said it expects to report its third quarter numbers by Feb. 2 and said earlier this week that an investigation found no wrongdoing in it issuing of options.
Shares in THQ were down 12 cents to $33.28 in midday trading Thursday.
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