“Singapore’s Creative Technology Ltd., which competes against Apple Inc. in the MP3 player market said Wednesday its fourth- quarter net loss widened to $19.3 million from $12.7 million a year earlier, due largely to lower sales in the U.S.,” Vladimir Guevarra reports for Dow Jones Newswires.
“Creative, which is delisting from the Nasdaq later this month, posted sales of $165.2 million for the quarter ended June 30, down from $230.9 million on year,” Guevarra reports.
“The company said in a statement that 30% of its revenue came from the Americas, down from 46% in the same period last year. Sales from Europe accounted for 47% of total revenue for the quarter, up from 37%,” Guevarra reports. “Sales from Asia and other regions made up 23% of revenue, up from 17%.”
“Creative said 57% of its revenue came from personal digital entertainment products, including MP3 players, down from 65% a year ago,; Guevarra reports. “For the full year, net profit was $28.2 million, compared with a net loss of $118.2 million in the previous year.”
“OCBC Investment Research analyst Carey Wong noted the full-year profit includes a $100 million payment from Apple for the use of Creative’s ZEN patent in arranging MP3 files,” Guevarra reports. “Excluding the payment, Creative would have reported a net loss of $53.8 million from its core operations, Wong said.”
Full article here.
[Thanks to MacDailyNews Reader “Mike in Helsinki” for the heads up.]
&tSome “war” this turned out to be. So, what happens when that $100 million gift from Apple runs out, Creative? Better get crackin’ on those “Made for iPod” accessories!
Sim Wong Hoo will have to find a new job.
It’s crack-a-lackin’.
Now there’s a place that should sell the company and give the money back to the shareholders.
I guess you can’t have a $100 million donation from Apple every quarter.
Creative needs to get crackin’ on suing more companies!
Creative? Are they still in business?
Yikes, that’s not gonna be good for the industry. Zune may still have a chance. Ugh.
LOL @ the Related Articles list.
Poor Sim Wong Hoo didn’t know what he was getting into.
Hoo let the dogs out.
Hoo Hoo
Going Round and Round