You will be redirected back to your article in seconds

Midway Games logs heavy losses

Net loss more than doubled to $75.9 million

With its cash rapidly depleting and stock hovering well below the $1 mark, Sumner Redstone-owned Midway Games reported another quarter of heavy losses in the quarter ending Sept. 30.

Vidgame publisher reported that its net loss more than doubled to $75.9 million, while revenues were up 40% to $51.4 million.

Midway ended the quarter with just over $10 million in cash on hand, a potentially dire situation given that it is projecting a loss of about $18 million in the current quarter and has a $79 million convertible debt note due in April.

CEO Matt Booty assured analysts on the call that Midway is working to address the problem but didn’t provide any details.

“The board and management are actively engaged in addressing liquidity issues,” he said.

Company released one major new title, “TNA Impact,” late in the quarter and didn’t release any sales data. In the current quarter, most of its hopes are pinned on next week’s release of “Mortal Kombat vs. DC Universe.”

Midway has spent much of its time recently cutting costs and dealing with corporate drama. During the quarter, it canceled two undisclosed licenses and killed a game in development at its Austin studio called “Career Criminal” that was co-created by director Tony Scott.

Last Friday, Midway’s chairman, Shari Redstone, Sumner’s daughter, unexpectedly ankled in order to spend more time focusing on the debt problems of National Amusements, the Redstone clan’s exhib chain and investment vehicle, from which Midway has borrowed tens of millions of dollars.

New chairman Peter Brown, CEO of AMC Entertainment, wasn’t part of Monday’s earnings conference call. It was led by CEO Booty, who has held the job on an interim basis since March and was officially named to the job on Oct. 30.

Midway stock closed down 23% at just 43¢ before earnings were released. It has been trading at under $1 since late last month, putting the company in danger of delisting.

More Scene

  • UnReal Athena Film Festival

    How Trump Beating Clinton Impacted the Gender Politics of 'UnReal' Season 3

    With its cash rapidly depleting and stock hovering well below the $1 mark, Sumner Redstone-owned Midway Games reported another quarter of heavy losses in the quarter ending Sept. 30. Vidgame publisher reported that its net loss more than doubled to $75.9 million, while revenues were up 40% to $51.4 million. Midway ended the quarter with […]

  • 'Unsolved: The Murders of Tupac and

    'Unsolved' Stars Point Out Racial Injustice in Biggie and Tupac Murder Cases

    With its cash rapidly depleting and stock hovering well below the $1 mark, Sumner Redstone-owned Midway Games reported another quarter of heavy losses in the quarter ending Sept. 30. Vidgame publisher reported that its net loss more than doubled to $75.9 million, while revenues were up 40% to $51.4 million. Midway ended the quarter with […]

  • Taura Stinson, Common, and Diane WarrenVariety

    Common, Pasek and Paul, Diane Warren Reveal Inspiration Behind Oscar-Nominated Songs

    With its cash rapidly depleting and stock hovering well below the $1 mark, Sumner Redstone-owned Midway Games reported another quarter of heavy losses in the quarter ending Sept. 30. Vidgame publisher reported that its net loss more than doubled to $75.9 million, while revenues were up 40% to $51.4 million. Midway ended the quarter with […]

  • 'Game Night' film premiere

    'Game Night': Director, Writer Talk 'Straddling Genres' and the Influence of 'Get Out'

    With its cash rapidly depleting and stock hovering well below the $1 mark, Sumner Redstone-owned Midway Games reported another quarter of heavy losses in the quarter ending Sept. 30. Vidgame publisher reported that its net loss more than doubled to $75.9 million, while revenues were up 40% to $51.4 million. Midway ended the quarter with […]

  • Esquire 'Mavericks of Hollywood' party

    Terry Crews on His Sexual Assault Lawsuit: 'If I Don’t Get Justice, Nobody Can'

    With its cash rapidly depleting and stock hovering well below the $1 mark, Sumner Redstone-owned Midway Games reported another quarter of heavy losses in the quarter ending Sept. 30. Vidgame publisher reported that its net loss more than doubled to $75.9 million, while revenues were up 40% to $51.4 million. Midway ended the quarter with […]

  • 20th Annual Costume Designers Guild Awards

    'I, Tonya,' 'The Shape of Water' Win at 2018 Costume Designers Guild Awards

    With its cash rapidly depleting and stock hovering well below the $1 mark, Sumner Redstone-owned Midway Games reported another quarter of heavy losses in the quarter ending Sept. 30. Vidgame publisher reported that its net loss more than doubled to $75.9 million, while revenues were up 40% to $51.4 million. Midway ended the quarter with […]

More From Our Brands

Access exclusive content