Revenues were $9.9 million, compared to $20.2 million reported for the second quarter of last fiscal year. The net loss for the quarter decreased by 42% to $9.7 million, or $0.20 per share, compared to a loss of $16.7 million, or $0.45 per share in the same quarter last year. The company recorded an adjustment to the second quarter of the prior fiscal year which resulted in a reduction of $1.8 million of revenue and $0.5 million in cost of sales following the company’s implementation of Staff Accounting Bulletin No. 101 Revenue Recognition in Financial Statements and to meet the requirements of Accounting Principle Board Opinion No. 20 Accounting Changes.
For the first half of the fiscal year, revenue totaled $23.2 million compared to $29.9 million in the prior year, while the net loss was $19.2 million, or $0.40 per share compared to $43.0 million, or $1.16 per share in the prior year.
With the upcoming holiday season, we are pleased to have most of the market transition behind us and are excited about our upcoming releases of Cubix Robots for Everyone: Race ‘n Robots for the PlayStation game console, Game Boy Color system and personal computer and of Jonny Moseley Mad Trix for the PlayStation 2 computer entertainment system. Both of these brands are well positioned for the demographics of their respective platforms and have real hit potential, said Trip Hawkins, CEO of 3DO. We continue to hold the line on operating expenses, have reduced inventory levels and improved accounts receivable collections. We are not borrowing against our credit line and remain debt free. We look forward to returning to profitability in our fourth fiscal quarter.
During its second fiscal quarter, the company released Portal Runner for the PlayStation 2 computer entertainment system and Game Boy Color system, High Heat Major League Baseball for the Game Boy Advance system and Jumpgate, a massively multiplayer Internet game.
