Interactive games developer and publisher Eidos increased sales by 75% to 137m pounds for the year to 31 March 1998. However, investors were disappointed by lower sales growth of 49% for the final quarter, leading to a 180p drop in its share price on 27 May. For the full year, Eidos posted an operating profit of 19.5m pounds compared with a loss of 6.4m pounds a year ago. After losses from discontinued operations of 1.85m pounds and net interest charges of 1m pounds, pre-tax profit tax was 16.5m pounds compared with a loss of 6.8m pounds last year. According to chairman Ian Livingstone, the company is reducing costs by releasing fewer games, while increasing quality. In the final quarter the company released two titles compared with five titles a year earlier. This strategy contributed to the company’s profitability and the lower growth in sales. Eidos, which has 33 products under development at a cost so far of 18.9m pounds, has been demonstrating some of the new games at the Electronic Entertainment Expo (E3) in Atlanta this week. The company says that it will release the third installment of Tomb Raider, the star product developed by Core Design, in the fourth quarter of 1998. Core Design is also the creator of Ninja: Shadow of Darkness, which is due to be released for the PlayStation, and of the Nintendo64 game Force 64. Omikron, a title by Parisian developer Quantic Dream for both the PlayStation and PC, will include real-time facial motion. Eidos is also publishing games from developers IONStorm, SquareSoft, Looking Glass Studios, Mucky Foot, and Hot House Creations.
